“This market is so volatile, everything costs so much more than this time last year. I ended up settling in July on a two-bedroom apartment in Bondi, but the week before, equivalents were $50,000 less.”

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After Cammeray, with its new house median of $3.38 million, Lidcombe had the biggest jump in house prices of 24.5 per cent to $1.79 million, Mount Pritchard rose 24.2 per cent to $1.18 million, Bankstown rose 21.2 per cent to $1,485,000 and Kingswood gained 20 per cent to $900,000.

“In Cammeray, we’ve also seen a lot of extensively renovated houses come onto the market and people realise, since COVID, that it’s much better to buy something already renovated and to save the money and the stress of doing it themselves,” said agent Helen Wilson of Belle Property Neutral Bay. “That’s had a domino effect on thinking, and prices, and we’re seeing great results from the competition for those.”

With units, Darling Point rose most by 25.5 per cent to $2,950,000, Balgowlah by 18.6 per cent to $1,327,500, Stanmore by 17.9 per cent to $955,000, Milsons Point by 17.4 per cent to $2,172,500 and Redfern by 15.9 per cent to $1.2 million.

Besa Deda, former chief economist of the Westpac Business Bank, and now chief economist of accounting advisory firm William Buck Australia, said Sydney prices are booming largely as a result of the rate cuts, the expectation of two more next year, the healthy jobs market and the net increase in overseas migration.

“Population growth is still underpinning demand and, while supply is improving, it’s still slow which is continuing to put upward pressure on prices,” she said. “We are predicting that prices will rise 6 per cent this year and 7-8 per cent the next.

“Housing affordability is still challenging but we do have the First Home Guarantee and no longer any cap.”

Kate Browne, head of research at financial comparison site, Compare Club said the Australian government 5 per cent deposit scheme has convinced a lot of first home buyers that they’re now in a position to buy – even though many are not. But they’ve added to the swelling demand for property.

“But for a number, the rapid increase in prices is still a major hurdle, along with the income they need to service the mortgage,” Browne said. “For a $1.5 million property on a $1.4 million loan, a single person now needs to earn $285,000 and a couple, $290,000.

“It can be hard too to save a deposit when you’re paying the highest rents in the country. The astonishing thing is that the Sydney market remains so resilient despite everything, like COVID and stagnant wages, thrown at it.”