Median house value Australia 2023, by city

Sydney had the highest median house value compared to other capital cities in Australia as of December 2023, with a value of over 1.4 million Australian dollars. Canberra similarly had relatively high median residential housing values, passing Melbourne to top the pricing markets for real estate across the country alongside Sydney.

Housing affordability in Australia

Throughout 2023, the average price of residential dwellings recovered across Australia, with most capital cities breaking price records despite interest rate hikes. Rising house prices continue to be an issue for potential homeowners, with many low and middle-income earners priced out of the market. In the third quarter of 2023, Australia’s house price-to-income ratio reached new heights at 121.7 index points. With the share of household income spent on mortgage repayments increasing alongside the disparity in supply and demand, inflating construction costs, and low borrowing capacity, the homeownership dream has become an unattainable prospect for the average person in Australia.

Does the rental market offer better prospects?

Renting for prolonged periods has become inevitable for many Australians due to the country’s largely inaccessible property ladder. However, record low vacancy rates and rising median weekly house and unit rent prices within Australia’s rental market are making renting a less appealing prospect. In financial year 2023, households in the Greater Sydney metropolitan area reported spending around 29 percent of their household income on rent.