Property Insights | June Quarter data shows Australian Property Recovery Continues

This report details the latest property settlement trends across Australia’s five mainland states, NSW, VIC, QLD, WA and SA. Over 95% of all property transactions nationally are covered in this report, including all digital and paper-based settlements for residential and commercial property, but excluding non-monetary property settlements such as family transfers, inheritances or gifts.

Key Findings: Financial Year 2025

• Nearly 722,000 properties were settled in FY25 across the five mainland states, 3.2% higher than the settlement volumes in FY24.
• QLD settled 196,000 properties – the most out of all states. Most states grew modestly compared to the previous financial year. WA was the only state with no growth in settlement volumes in FY25.
• The aggregate value of property settled in FY25 ($726.6 billion) grew by 9.4% y/y, outpacing annual growth in settlement volumes. This stronger pace of growth for values compared to volumes reflected average price growth over the year. At a state level, this values growth is driven strongest by properties in QLD and WA.

Key Findings: June quarter 2025

• Although the total settlement volumes in FY25 exceeded FY24, settlement volumes in the Jun-25 Qtr were weaker than in the same period in the previous year by -1.6%, driven by a decline in residential settlements.
• QLD had the highest volume of settlements in FY25, but the number of settlements were higher in VIC and NSW in the Jun-25 Qtr.
• Vacant land settlements typically peak in the month of June each year. The month of June 2025 was no exception, where over a quarter of all settlements were for vacant lots in VIC and QLD.
• There were several factors that had an impact on how the property market performed in the Jun-25 Qtr, including wild weather towards the end of the financial year and the delay in settlement activity due to the Federal election in May (Elections typically cause a pause or delay in many types of high-value activity and decision-making).

Macroeconomic influences on Australia’s property markets during FY25

• Gross Domestic Product (GDP) in Australia in the Mar-25 Qtr grew by a very modest 0.2% q/q and 1.3% y/y, driven by higher household consumption. The Reserve Bank of Australia (RBA) estimates that Cyclone Alfred in South-East Queensland and Northern New South Wales had a negative impact on GDP growth, knocking 0.1 to 0.2 percentage points off of growth in the quarter. The RBA forecasts the Australian economy to grow by only 1.8% y/y over FY25 due to the aforementioned weather disruptions, weak consumer spending and slow business investment. Looking ahead, GDP growth is expected to improve to 2.2% y/y in FY26 and FY27.
• The RBA cut the cash rate twice during FY25, with a 25-basis point reduction in both February and May 2025. These cuts helped to support household sentiment, consumption, home purchases and savings rates, all of which improved in the Mar-25 Qtr National Accounts data and other more recent indicators.
• Labour market resilience has been a key strength in Australia’s economy in FY25. Adult population growth moderated from recent peaks, but jobs growth remained robust (2.3% y/y to May 2025) and unemployment remained low (4.1% in May). Wage inflation (3.4% in March) moved back above consumer inflation (2.4% in March) so that real incomes are recovering. This strength was a key reason why mortgage arrears rates stayed low and home prices resumed rising, despite ongoing concerns about the ‘cost of living’ through FY25.

Building industry and policy influences on Australia’s property markets during FY25

• Nationally, new home building approvals recovered by 3.2% m/m and 6.5% y/y in May but remain below previous building cycle peaks. The full impact of RBA rate cuts in February and May are yet to flow through to building approvals, construction and sales.
• Looking ahead, National Supply and Affordability Council’s (NHSAC) longer-term forecasts indicate a worsening housing shortage. NHSAC expects 938,000 homes to be built nationally by 2029, which will add 825,000 homes net of demolitions. This is lower than their expected growth in ‘underlying demand’ of 904,000 new households to 2029. This ongoing shortage will exacerbate demand for existing homes. Stiff competition is likely to push prices and trading volumes higher across many locations.
• The NHSAC expects that VIC will come closest to meeting its share of the National Housing Accord. As building approvals are a leading indicator for building construction, any further declines in the level of approvals will further jeopardise a state’s ability to achieve their target.

VIC overtook QLD with the highest number of residential settlements – nearly 49,000 – in the Jun-25 Qtr

• Every state other than VIC recorded a year-on-year decline in the Jun-25 Qtr.
• In financial year terms, each state other than WA, which was flat, grew modestly compared to FY24.

• Property prices in Greater Brisbane and regional Queensland continued to grow, up 12.5% and 13.8% year-on-year respectively.

• In FY25, growth in regional settlement volumes in all five states was strong, particularly in regional NSW and regional VIC.
• This signals a possible reversal of the trend of migration into more metropolitan areas. As housing becomes increasing unaffordable, moving regional has become a more attractive option for homeownership.

• The top 10 suburbs in all states are by some degree, characterised by the areas that have experienced a high level of residential development.
• In Sydney’s west, Castle Hill, Rouse Hill, Tallawong, Blacktown and Austral were popular. Lidcombe and Rhodes were the only two suburbs on the list less than 15 kilometres away from the Sydney CBD.
• Melbourne, as usual, is dominated by growth suburbs. Mickleham and Wollert stand out, as these suburbs are less developed, which is reflected in the high proportion of settlements for vacant land.
• QLD’s top 10 list is usually limited to suburbs in South-East Queensland and FY25 is not an exception. Redbank Plains, Greenbank and Yarrabilba are particularly interesting because they are developing inland suburbs, as opposed to the other coastal suburbs on the list.
• In Perth, the most popular suburbs, other than Perth and East Perth, are on the outer fringes of the city.
• In SA, regional towns were popular in FY25, with Mount Barker, Murray Bridge, Mount Gambier and Port Lincoln making the top 10 list.

$643 billion was spent on residential property in FY25

• In FY25, the aggregate value of residential property settled in QLD surpassed VIC, given that property is now more expensive in QLD.
• As such, the aggregate value in QLD grew the strongest (+19.8%), followed by WA (+19.1%).

Over 31,000 commercial properties were settled in FY25

• The commercial property sector performed better compared to their residential counterparts in both NSW and QLD.

• Commercial settlement volume growth was stronger in regional NSW, regional VIC and in Brisbane.

For further enquiries about this report or other property and mortgage insights, please reach out to our Research team.

Contact us

Copyright

© 2025 PEXA. PEXA and its licensors own all rights (including copyright) in this document. No content may be copied, modified, published or distributed to any other party with PEXA’s prior written permission. All Rights Reserved.

PEXA Disclaimers

This document is general in nature. It doesn’t constitute advice, doesn’t take into account your circumstances, and shouldn’t be relied upon. Please seek professional advice where appropriate. All information is provided “as is” without representation, guarantee or warranty of any kind, whether expressed or implied, including any warranty that the information is accurate, current, reliable, complete, or suitable for any purpose, or any guarantee that any forward-looking statements, including estimates, projections and opinions will be achieved or will prove to be correct. Any estimates, projections and opinions are based on assumptions and events that may be subject to change (without notice). To the full extent permitted by law, PEXA excludes all liability for any loss or damage however arising out of or in connection to this document, including in relation to reliance by you or any third party on the information contained in this document. By accessing and using this document, you acknowledge and agree to the following additional disclaimers that apply to information in the document from PEXA’s licensors.

South Australia

WARNING

The information contained in this dataset is extracted from the records of land status and cadastral boundary definition held by the Government of the State South Australia (the “State”). The information is not represented to be accurate complete, or suitable for any purpose, at the time of its supply by the State, and may have changed since the date of supply by the State. The software by which the information is provided is not represented to be error free. No responsibility is accepted by the State for any reliance placed by any person upon the information, or the software by which it is provided. Persons acquiring or using the information and its associated software must exercise their independent judgement in doing so.

COPYRIGHT

Copyright in this information remains with the Crown in right of the State of South Australia. The information is reproduced under licence from the Crown.

PRIVACY

The information contained in this dataset must not be used for the purposes of compiling contact lists, whether personalised or not.