SYDNEY, Oct. 22 (Xinhua) -- House prices fell across every Australian capital city for the first time in 15 years during the third quarter of 2026, according to industry data released on Thursday.
The quarterly house price report from residential real estate marketplace Domain revealed that the combined capital city median house price fell 4.7 percent between June and September, the largest quarterly decline on record, while median unit prices declined 3.5 percent.
The report said it was the second consecutive quarter of falling prices for both property types and that annual price growth turned negative for the first time in over three years.
It noted that house prices fell in the capital cities of all eight Australian states and territories for the first time in 15 years.
In Sydney, Australia's most expensive property market, the median house price fell by 4.7 percent over the quarter to a two-year low.
Perth, capital of Western Australia, recorded a quarterly house price fall of 7.4 percent and a unit price fall of 6.5 percent, both of which were the largest declines of any capital.
Domain attributed the nationwide downturn to lower buyer confidence as a result of interest rate rises, cost-of-living pressures and the federal government's move to wind back tax concessions for property investors.
"What began as weakness concentrated in some cities has broadened considerably," Nicola Powell, Domain's Chief Residential Economist, said.
"Confidence has become one of the market's biggest headwinds. Higher interest rates and persistent cost-of-living pressures are reducing how much buyers can borrow and their willingness to transact. When buyers expect prices could fall further, there is less urgency to act and greater incentive to wait."
The Reserve Bank of Australia's Monetary Policy Board at the end of September voted unanimously to raise the cash rate target to a 15-year high of 4.60 percent.
The board will next meet to consider the key interest rate early in November. ■