2024 Property Local Forecast

Cara Lane |
January 3, 2024

2024 Property Forecast

Expect the trends that fuelled prices in 2023 will likely persist, underpinning price growth next year despite less affordability and higher interest rates.
Regional resurgence as prices in the major cities continue to grow and buyers are pushed out to regional areas.  While the pace of price growth is tipped to slow nationally, forecasts vary widely across states and territories as imbalances between supply and demand intensify.

The previous 13 rate hikes between May 2022 and November 2023 have seen mortgage repayments surge by 62% on average, and reduced borrowing capacity by more than 30%.The housing market has remained resilient with “few forced sales, and price growth and demand lifting in 2023.”

Despite higher interest rates reducing borrowing capacities and housing affordability, a large correction in prices over 2024 is still unlikely
“Price growth is forecast to continue into 2024, with the supply of homes for sale predicted to remain subdued relative to buyer demand.
“Furthermore, population growth is likely to outpace development activity, which will continue to be hampered by high costs and build times.”
Extreme tightness in the rental market will underpin house growth, as those with the means to purchase take the step into homeownership sooner than they otherwise would have.

As such, tight rental markets and strong rental price growth are likely to continue to buffer home price falls.