PropTrack reveals 2024’s strongest property value growth areas

Much of Australia has entered a property correction phase, except for these areas that just can’t stop growing.

National home prices dipped in December for the first time in two years, marking the beginning of a correction phase for a number of major markets across Australia.

But some areas remain stronger than others, with PropTrack data revealing a number of regions still experiencing stubborn price growth.

The data revealed that, overall, home prices grew by 4.7 per cent across the Australia in 2024, despite value falls in the final month of the year.

Regional areas were the strongest, up 5.1 per cent, while capital cities increased 4.6 per cent.

Of the capitals, Perth led the way for growth, but there were strong regions within each of the eastern capitals.

REA Group economic analyst Megan Lieu said there were common growth drivers for Sydney, Adelaide and Brisbane markets.

“Price growth throughout 2024 was fuelled by strong demand, driven by population growth, tight rental market conditions, home equity gains and the impact of July tax cuts,” Ms Lieu said.

REA Group economic analyst Megan Lieu. Supplied

“Adding to this trend were the challenges in building activity, as ongoing housing shortages continued to limit supply, intensifying market pressures and driving prices higher.”

Things were different in Melbourne.

“Home prices fell by 2.5 per cent over the year, which was contrary to the trend in most of our capitals,” Ms Lieu said. “Within the city, houses led in terms of the decline with prices falling by 2.7 per cent compared to 1.6 per cent for units. A similar trend was apparent in regional Victoria, where dwelling prices fell by 2.1 per cent since December 2023.

“The weaker growth trends in Victoria were fuelled by higher taxes on investment properties which led to more investors selling and buyers having more choice relative to other states. Construction rates of new homes relative to population growth has also been more balanced compared to other parts of the country which has helped to alleviate market pressures and drive prices down.”

MORE: Adelaide’s top growth suburbs of 2024

The Barossa was one of South Australia’s top performing regions. Pics: Supplied

SA

In Adelaide, home prices increased by 13.5 per cent over the year, ranking second to Perth among capitals. Units and houses saw similar growth, rising 13.6 per cent and 13.1 per cent respectively.

In regional South Australia, dwelling prices grew by 13 per cent since December 2023.

Some areas recorded substantial growth, Ms Lieu said, such as the Barossa – Yorke – Mid North, Adelaide – West and Adelaide -North regions, where house prices grew 16.8 per cent, 16.1 per cent and 15.4 per cent respectively.

For units, Adelaide – North, Adelaide – West and Adelaide – South led annual price growth, increasing by 15.4 per cent, 14.6 per cent and 14.1 per cent, respectively.

MORE:Shock Qld suburbs where values have soared

The Whitsundays featured in the best performing regions list for the sunshine state.

QLD

“In Brisbane, home prices rose by 11.4 per cent,” Ms Lieu said, which “was well above the national rate and the third highest among all capitals behind Perth and Adelaide.

“Within the city, units led in terms of growth with prices rising by 15.4 per cent compared to 10.6 per cent for houses.

“In regional Queensland, dwelling prices grew by 10.5 per cent … The Townsville, Central Queensland and Mackay – Isaac – Whitsunday regions experienced the highest annual growth in house prices, at 27.1 per cent, 23.3 per cent and 16.9 per cent.

“Houses in Ipswich and Darling Downs – Maranoa saw prices rising by 15.3 per cent and 13.3 per cent.

“For units, Logan – Beaudesert, Brisbane – North and Ipswich led price growth, increasing by 24.9 per cent, 20.4 per cent and 19.8 per cent respectively.”

MORE:The Sydney suburbs where home values rose $200k in 2024

The Blue Mountains was a top performing region in NSW.

NSW

In Sydney, home prices rose by 3.4 per cent over the year which was less than the national rate.

“Within the city, houses led in terms of growth with prices rising by 3.6 per cent compared to 3 per cent for units. In regional NSW, dwelling prices grew by 3.5 per cent.,” Ms Lieu said.

“Although prices in most areas rose during the year, some regions recorded substantial growth.

The Richmond – Tweed, Sydney – Blacktown and Sydney – Outer West and Blue Mountains regions experienced the highest annual growth in house prices, sitting 7.5 per cent 7 per cent and 6.9 per cent higher than December 2023.

“Houses in Sydney – Parramatta and Sydney – Inner South West also saw notable increases, with prices rising by 6.8 per cent and 6 per cent during the year.

“For units, Richmond – Tweed, Sydney – Outer West and Blue Mountains and Sydney – Sutherland regions led price growth, increasing by 8.2 per cent, 6.2 per cent and 5.6 per cent respectively.”

MORE:Melbourne’s surprise suburbs that were 2024’s big growth winners

The Mornington Peninsula was a leading Victorian region for price growth.

VIC

Prices in most Victorian areas fell during the year, but there were some outliers experiencing growth.

“The North West, Melbourne – South East and Bendigo regions experienced the highest annual growth in house prices, sitting 1.5 per cent, 0.5 per cent and 0.04 per cent higher than December 2023,” Ms Lieu said.

“For units, North West, Hume and Mornington Peninsula regions led price growth, increasing by 3.4 per cent, 2.5 per cent and 1.6 per cent respectively.”

Originally published as PropTrack reveals 2024’s strongest property value growth areas