Australian Residential Figures Report Q4 2025

Key Findings:

• Australia’s residential market delivered a mixed performance in the final quarter of 2025. After building momentum through most of the year, Sydney and Melbourne recorded only marginal price growth in the past quarter. In contrast, Brisbane, Perth, and Adelaide continued to post strong gains, supported by population growth and below-trend listing volumes. 
• Strong population growth continues to place pressure on housing demand. Australia’s national population grew by 1.5% in the year to June 2025, adding 410,000 people over the year. CBRE forecast the future supply of apartments is likely to hover around 60,000 per annum through to 2030 versus the 75,000 needed just to maintain current vacancy. This imbalance is contributing to ongoing strain on the sales and rental markets.
• The national vacancy rate was sitting at 1.4% at December 2025, still trending near a historic low. Despite this tight environment, rental uplift in most capital cities has slowed, likely due to affordability constraints. The combined capitals median house rent increased by 2.3% over the quarter and was up 2.3% y-o-y at $665/week. The median unit rent sat at $650/week, flat over the quarter but up 3.2% y-o-y. CBRE expects the current slowdown to be temporary, forecasting average annual rent growth of 4% through to 2030.