Australian housing market slowdown widens as prices fall in multiple cities

REA Group reported a 12% jump in underlying earnings to $1.2 billion for the year to June 30 and recorded a record 146 million visitors to its platforms. Chief executive Cameron McIntyre said the market is still recalibrating after the federal budget and that consumer confidence should improve once interest rates stabilise. He noted the Reserve Bank of Australia is expected to hold the cash rate at 4.35% at its August meeting, suggesting the peak of the rate‑cycle may have been reached.

Cotality data for July 2026 shows national dwelling values fell 0.7%, the biggest monthly decline since December 2022. Price drops have spread beyond Sydney and Melbourne to Brisbane, Adelaide and Canberra, with house values falling 0.8% versus 0.5% for units. Sydney and Melbourne saw house price falls of 1.7% and 1.4% respectively, while units held up better. The slowdown reflects higher borrowing costs and affordability pressures, with upper‑quartile home values down 3.2% over the past three months while lower‑priced homes posted a modest 0.3% rise.