Brisbane property market update, September 2025

Compared with other capitals, Brisbane continues to stand out. While most cities have seen detached houses outperform units in 2025, Brisbane has bucked the trend for the seventh consecutive quarter, with units surging 1.7 per cent in September compared to 1.1 per cent growth for houses. This affordability-driven divergence is a clear marker of demand shifting towards more accessible price points, especially in inner and middle-ring suburbs.

Buyer urgency intensified throughout September in the sub-$1 million market segment. This was largely spurred by the federal government’s decision to bring forward the First Home Buyer Guarantee Scheme from January 2026 to 1 October 2025. The scheme enables eligible purchasers to buy with just a 5 per cent deposit without paying lenders mortgage insurance, significantly reducing the upfront barrier to entry. Anticipating heightened competition once the scheme commenced, many buyers accelerated their purchasing timelines, creating frenzied conditions in affordable brackets. Price jumps in some unit and townhouse markets under $1 million were evident in the last 4–5 weeks as buyers competed fiercely for limited stock.

Importantly, while this scheme will support demand, it may also influence the Reserve Bank’s monetary policy decisions. With the cash rate held steady in September following the August cut, the stimulatory effect of the scheme could delay further rate reductions if housing demand and inflationary pressures accelerate in the coming months.

Economic fundamentals remain broadly supportive. Consumer sentiment rose again in September, with the Westpac-Melbourne Institute Index 12.8 per cent higher than a year earlier. Real wages growth hit 1.3 per cent annually, the strongest level since mid-2020 and the labour market remains tight, with unemployment steady at 4.2 per cent. Economic growth also surprised to the upside in the June quarter, with household consumption up 2 per cent year-on-year against the Reserve Bank of Australia’s (RBA) 1.5 per cent forecast. Together, these conditions underpin strong ongoing housing demand while reducing the likelihood of further near-term cash rate relief.

In Brisbane specifically, supply remains the greatest challenge. At the end of September, total advertised listings were around 31 per cent below the long-term average. Sales volumes, however, continue to track above average, highlighting the demand-supply imbalance driving upward price pressure. Days on market shortened further to 22 days, down from 23 in August, with quicker sales concentrated in the affordable price brackets.

The prestige market also remains strong, particularly in Brisbane’s riverfront and blue-chip inner suburbs. According to the Prestige Property Report – Spring Edition 2025, downsizer demand, interstate migration and limited premium stock have kept activity buoyant despite affordability pressures at the broader market level.

Brisbane dwelling values

Brisbane’s median dwelling value reached $969,868 in September, reflecting monthly growth of 1.2 per cent, quarterly growth of 3.5 per cent and annual growth of 8.8 per cent.

Compared nationally, Brisbane continues to outperform Sydney (0.8 per cent monthly, 3 per cent annual) and Melbourne (0.5 per cent monthly, 1.9 per cent annual).

Source: Cotality

Stratified analysis shows that growth is strongest at the lower quartile, in line with Perth and Adelaide, highlighting affordability-led demand. In contrast, Sydney and Melbourne’s growth is concentrated in the mid-market segments.

Source: Cotality

Brisbane house values

House values rose by 1.1 per cent in September, taking quarterly growth to 3.3 per cent and annual growth to 8.1 per cent, with a new median of $1,062,109. This represents a slowdown in monthly price growth from August, when house prices rose 1.2 per cent monthly, although both quarterly and annual house price growth is continuing to accelerate.

While still showing strong growth, Brisbane’s house market is being outpaced by units, reflecting affordability constraints and competition from first home buyers entering at lower price points. By contrast, Perth and Adelaide continue to post stronger detached house growth relative to units, underscoring Brisbane’s unique market dynamic.

PropTrack data also confirms Brisbane house values rose 0.3 per cent in September, consistent with Cotality’s reported growth.

Source: Cotality

Brisbane unit values

Brisbane’s unit market remains the standout performer, recording 1.7 per cent growth in September, up from 1.3 per cent in August. Quarterly growth for units hit 4.7 per cent and annual growth surged to 12.4 per cent, with the median unit value now sitting at $755,087.

By comparison, August recorded a median unit value of $740,992, with quarterly growth of 3.9 per cent and annual growth of 11.1 per cent.

PropTrack’s data mirrors this trend, reporting 0.9 per cent unit price growth in September, reinforcing the narrative that units are the most in-demand dwelling type in Brisbane. Affordability, investor appetite and ongoing supply shortages in the inner and middle-ring suburbs continue to underpin this strength.

Source: Cotality

Brisbane’s rental market

Brisbane’s rental market remains extremely tight, with the vacancy rate edging up slightly to 1.0 per cent in September from 0.9 per cent in August.

Rental growth accelerated again, with house rents up 5.4 per cent annually (up from 5.0 per cent in August) and unit rents up 6.4 per cent annually (up from 6.2 per cent). This reflects a reacceleration in rent growth for both property types.

Gross yields remain steady for houses at 3.4 per cent but declined slightly for units to 4.3 per cent (from 4.4 per cent in August). This modest decline reflects faster price growth relative to rents in the unit sector.

With affordability constraints pushing buyers towards units and tenants facing accelerating rents in this segment, conditions remain particularly competitive for investors targeting high-yielding unit stock.

Source: Cotality

Summary

September 2025 confirmed Brisbane’s status as one of the strongest capital city markets in Australia. All dwelling values grew for the month, supported by heightened buyer demand and restricted supply. Units continue to outperform houses, with affordability pressures and government incentives fuelling demand at the lower end of the market.

With the First Home Buyer Guarantee Scheme now in effect, changes are expected to sustain this momentum. This is particularly so in the sub-$1 million segment, although they may temper the pace of further RBA rate cuts if demand surges further.

Rental markets remain undersupplied, with vacancy rates near record lows and rents accelerating for both houses and units. Yields are steady to slightly lower, reflecting ongoing capital growth.

Looking ahead, the spring selling season is poised to be competitive. Vendors are in the driver’s seat, with multiple offers and quick sales commonplace. For buyers, the cost of waiting is tangible. At current growth rates, a $1 million purchase today could be $12,000 more expensive in just one month.

For investors and home buyers alike, Brisbane remains a market where decisive action, backed by sound strategy, is critical.