Australia’s housing market is on the cusp of another boom that will push prices even higher than Sydney’s new median house price record of $1,654,668 when rate cuts next year give potential buyers more funds to compete for properties, data provider Domain says.

House and unit prices in Sydney, Brisbane, Adelaide, and Perth hit new records in the September quarter as sentiment improved among consumers that borrowing costs had stabilised and the next move would be down, Domain chief economist and research head Nicola Powell said.