Selling conditions were tightest in Western Australia and Queensland, where median time on market was 20 and 24 days, respectively, and vendor discounting averaged 3.3% in both states. Albany recorded the shortest selling time nationally at just 10 days.
Regional rents also rose faster than city rents, up 1.6% for the quarter against 1.4% for the capitals. Over five years, regional rents have climbed 41.9%, far outstripping wage growth of 17.5%.
“As with their city counterparts, rental affordability has deteriorated for residents in the regions. Cost pressures and labour shortages have held back supply across the country, and the stock of regional homes hasn’t expanded fast enough to absorb the added demand from internal migration away from the capitals,” Burg said.
Tasmania recorded some of the fastest rental increases, with Devonport rising 5.0%, Launceston 4.3%, and Burnie-Somerset 3.2%. Albany led annual rental growth nationally at 16.9%, followed by Devonport at 11.8%.
Notable decline of capital cities in late 2025
National property values continued to show resilience through 2025 and into 2026. Total residential real estate market value in Australia reached about $12.4 trillion in January 2026, with national dwelling values rising 2.4% in the early part of the year, a pace supported by sustained demand amid a slowing broader market.