Even in a high-interest market, Australians spent the most on buying properties. Further, this has broken all the previous records and even emerged as an alarming signal for experts who were saying a high interest rate would reduce inflation and bring the property market to a stable condition.
A total property purchase that occurred in 2024 was worth $714.7 billion, which is higher than the previous year by 17.3%. Further, around 723,000 properties were sold, among which $630.7 billion worth are residential properties across mainland states and $84 billion worth are commercial ones.
Here is the top list of those properties that attracted the attention of first-home buyers due to relatively affordable prices with high yields:
(Source: Sydney Morning Herald, 2025)
As shown above, most residential sales occurred in Victoria, in Tarneit, followed by Craigieburn, with settlements of $6,133 million and $5,794 million. In New South Wales, Marsden Park attracted the highest settlements worth $3,257 million, followed by Kellyville worth $2,440 million.
Almost in every mainland state, properties seek the highest settlements, like in Queensland, Newtown got settlements worth $3,479 million, followed by Andergrove worth $3,239 million. In Western Australia, Halls Head followed Piara Waters, broke the records of settlements worth $3,539 million and $2,870 million. Lastly, in South Australia, the highest settlements occurred in Andrews Farm, followed by Mount Barker, worth $1,129 million and $1,060 million.
Comparing regionally, Victoria outperformed all the other states, with the top settlement worth $6,133 million in Tarneit.
The Decision of RBA and House Market in 2025
Varied fluctuations occurred from 2022 to 2024. For example, in 2022, prices were low despite high interest rates. However, in 2023 and 2024, prices were high. This highlights the fluctuation in the housing market and may lead to high prices. But recently, inflation has been falling in RBA’s set range of 2-3%, which might impact the decision of RBA to consider further rate cuts.
The decision is still pending and will take place on 17-18 February. The rate cut will likely cause low prices in suburbs in Victoria, Queensland, and South Australia, which can surprise or shock the entire housing market.
However, if still, the rate is still unchanged, it can lead to stability in property prices with slow growth. This will further make homebuyers more cautious to look for affordable properties, while sellers will look for new pricing strategies to sustain in this environment. But for first-time buyers, it may be more difficult to find affordable homes.
Thus, although we got the most popular suburbs for investors and homebuyers with the best prices. However, it remains uncertain what the next surprise or shock will be in 2025, depending on RBA’s next move. For this, you should prepare well to find the best mortgage broker for you. Only this way, you can be the first benefit seeker of the best suburbs for investments and rental yields.
For more guidance, you can contact us at Nfinity Financials or 1300 GET LOAN (1300 438 562) or 0456 456 267.
