Australia Housing Market

Australia Housing Market Overview:

The Australia housing market size reached USD XX Billion in 2024. Looking forward, IMARC Group expects the market to reach USD XX Billion by 2033, exhibiting a growth rate (CAGR) of XX% during 2025-2033. The market is dominated by robust population growth, rising demand for housing, and changing government policy programs. The rising demand is stimulating strategic action throughout the industry, with government initiatives such as the Homes for Australia Plan to increase housing supply and facilitate affordability. These forces are boosting the Australia housing market share.

Australia Housing Market Trends:

Government Initiatives to Enhance Housing Affordability

In response to escalating housing costs, the Australian government has introduced several policies aimed at improving affordability. The USD 43 Billion Homes for Australia Plan is a cornerstone of this strategy, offering first-time buyers the opportunity to purchase homes with a 5% deposit, supported by a 15% government guarantee. This action is expected to reduce the cost of access to homeownership and increase demand in the housing market. Additionally, the government has committed to constructing 100,000 new homes, focusing on social and affordable housing, to address the existing imbalance of supply. These measures are intended to equalize the demand-supply factor and render housing affordable for a greater segment of the population.

Regional Migration Influencing Housing Demand

The trend of migration from urban centers to regional areas continues to shape the housing market dynamics. For instance, in the 12 months to September 2024, the pattern of Australians moving from cities to regional communities continued, as seen in the Regional Movers Index (RMI). The index indicated a 1.1% increase in metropolitan-to-regional migration over the September quarter, with the movement representing 11.3% of overall internal migration. Factors  including the growing demand for remote working and the desire for cheaper forms of living have pushed people and households to seek out properties within regional towns. This has driven demand for property in places like the Sunshine Coast, Gold Coast, and Geelong, driving prices up accordingly. As such, the previously distinct line between metropolitan and regional property markets is fading, and the regional zones are growing as if they were metropolitan centers.

Interest Rate Fluctuations Affecting Market Sentiment

Interest rates continue to serve as a significant driver in shaping the dynamics of the housing market by directly influencing mortgage affordability, investor sentiment, and overall purchasing power. In 2024, the Reserve Bank of Australia has maintained elevated interest rates at 4.35 per cent to manage inflation, which has tempered housing demand, particularly in high-priced cities like Sydney and Melbourne. However, any potential future reduction in interest rates is likely to reignite buyer interest by lowering borrowing costs, improving access to credit, and boosting housing affordability. Such a shift would stimulate buyer activity, pushing up transaction volumes and prices, and further contributing to Australia housing market growth in the medium to long term.

Australia Housing Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region/country level for 2025-2033 Our report has categorized the market based on provider, size of unit, and location.

Provider Insights:

• Private Builders
• Government
• Public Private Partnership

The report has provided a detailed breakup and analysis of the market based on the provider. This includes private builders, government, and public private partnership.

Size of Unit Insights:

• Up to 400 Square Feet 
• 400-800 Square Feet 
• Above 800 Square Feet 

The report has provided a detailed breakup and analysis of the market based on the size of unit. This includes up to 400 square feet, 400-800 square feet, and above 800 square feet.

Location Insights:

• Urban
• Rural

The report has provided a detailed breakup and analysis of the market based on the location. This includes urban and rural.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Housing Market News:

• In May 2025, Pyrmont Place, a $900 million residential project by Landream, is set to transform Sydney’s waterfront with luxury living in the Blackwattle Bay precinct. Offering 237 high-end residences starting at $850,000, it combines heritage charm with contemporary design. Residents will benefit from world-class amenities, stunning bay views, and proximity to top schools, public transport, and the redeveloped Sydney Fish Market. Pyrmont Place blends resort-style living with urban convenience, positioning it as a key contributor to Sydney’s evolving premium property landscape.
• In May 2025, QM Properties’ Harrisville Pastures estate in Queensland’s Scenic Rim tapped into the growing tree-change trend. Offering 3,000sqm lots from $450,000, it blends rural charm with modern amenities. The estate features eco-conscious design, green corridors, and strong community appeal. With proximity to Brisbane and Ipswich, it supports multigenerational living and is ideal for families seeking space, affordability, and lifestyle change. Limited acreage supply adds long-term investment value, positioning Harrisville Pastures as a standout opportunity in Queensland’s regional property market.
• In March 2025, Housing Australia supported the construction of the Purrkanaitya Aboriginal Elders Village in Bedford Park, South Australia, through a $5.15 million grant from the National Housing Infrastructure Facility. Developed with Aboriginal Community Housing Limited and other partners, the project will deliver 40 culturally appropriate one-bedroom homes designed for independent living. Set near the Kaurna ceremonial site Warriparinga, the village offers accessible, community-focused housing for Aboriginal elders, aiming to foster belonging, cultural connection, and wellbeing. Completion is expected by June 2026.

Australia Housing Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia housing market performed so far and how will it perform in the coming years?
• What is the breakup of the Australia housing market on the basis of provider?
• What is the breakup of the Australia housing market on the basis of size of unit?
• What is the breakup of the Australia housing market on the basis of location?
• What is the breakup of the Australia housing market on the basis of region?
• What are the various stages in the value chain of the Australia housing market? 
• What are the key driving factors and challenges in the Australia housing market?
• What is the structure of the Australia housing market and who are the key players?
• What is the degree of competition in the Australia housing market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia housing market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia housing market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia housing industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.