NSW property values will flatline this year as interest rates bite, after strong growth last year put residential, commercial and rural real estate assets on track to hit a new high of $3 trillion, says Valuer General Sally Dale.

The rebound in the value of residential property in the year to June – from a fall of 3.8 per cent last year to 8 per cent growth – would not be repeated in the current year as increasing volumes of stock on the market and sustained high borrowing costs limited what people could pay, she said.