Australian Residential Figures Q3 2025

Key Findings:
 
Australia’s residential markets saw solid Q3 gains, driven by positive sentiment and increased borrowing capacity. Brisbane, Perth, and Adelaide experienced the strongest price growth, supported by below-trend listing levels. Sydney also performed well. Melbourne is showing some early signs of recovery while Canberra's performance remains mixed.

Nationally, property listings are sitting ~20% below the 10-year average. The shortage, however, is most acute in the smaller markets, with Sydney and Melbourne a little above their long-term trends.

CBRE forecast the future supply of apartments is likely to hover around 60,000 per annum through to 2030. Since 2023, we have cut 50,000 apartments from our forecast pipeline. Feasibility challenges, soft presales markets and labour shortages, are amongst the factors preventing approvals from translating into completed dwellings. 

The national vacancy rate was sitting at 1.2% as of September 2025, still trending near a historic low. Despite this, most capital cities saw flat rent growth this quarter. The combined capitals median house rent was unchanged over the quarter at $650 per week. The median unit rent also sat at $650 per week, flat on the quarter but up 3.2% y-o-y. CBRE expects the current slowdown to be short-lived, forecasting average annual rent growth of 4% through to 2030.