House prices fall in four capital cities as Sydney values drop nearly $50,000 this year

Median house prices are falling in four capital cities as Adelaide joined Melbourne, Sydney and Canberra with a one-month decline in June, according to Cotality. Photograph: Dan Himbrechts/AAP View image in fullscreen Median house prices are falling in four capital cities as Adelaide joined Melbourne, Sydney and Canberra with a one-month decline in June, according to Cotality. Photograph: Dan Himbrechts/AAP House prices fall in four capital cities as Sydney values drop nearly $50,000 this year More than half of homes taken to auction not selling while median property price in Adelaide started to slide in June Get our breaking news email , free app or daily news podcast House prices are now falling in four capital cities with the Adelaide market beginning to slide in June, while Sydney values have dropped by $48,000 since the start of the year. Data from Cotality, released on Wednesday, showed Sydney and Melbourne recorded their biggest one-month decline in values since August 2022, falling 1.2% and 1% respectively. 1 July changes: minimum wage rises, Centrelink indexation, payday super, parental leave and everything else coming for the 2026–27 financial year Read more Sydney median home prices have fallen $48,000 since January and were now just $3,000 above where they were in June 2025, according to Cotality. Melbourne’s median prices were now $7,000 below where they were in June 2025. In Canberra , prices were $8,000 below January levels – but still $25,000 above where they were a year earlier. Adelaide home prices had risen for 15 consecutive months, including a 15.4% rise in the last year. But prices fell in the second half of June after a modest rise, Cotality’s daily data shows . Table showing home price changes in Australia's capital cities Interest rates have risen three times since February and the government’s tax reforms have reduced property investors’ borrowing capacity, weighing down housing demand. The Reserve Bank board left interest rates on hold in June after being caught off-guard by the rapid slowdown, according to minutes of its meeting published on Tuesday. More than half of homes taken to auction are not selling, with national clearance rates holding below 50% since the end of May. Sign up for the Breaking News Australia email Luke Banitsiotis, Ray White’s chief auctioneer for Victoria and Tasmania, said buyers were still showing up to auctions but many sellers were unwilling to drop their prices. “You are still able to sell,” Banitsiotis said. “It’s probably just at a different price point than you were able to do two months ago.” Overall, home sales have slowed. According to Cotality, the total number of sales in capital cities in the three months to June was 16.2% down on the same period last year. skip past newsletter promotion after newsletter promotion Banitsiotis said homebuyers were waiting for the perfect opportunity or for a big discount. “There’s ones that are there and will move if it’s the right property, but …