When it comes to wealth creation, residential property is the Gout Gout of asset classes, breasting the winning tape with an Aussie record $12 trillion, leaving everything else in its considerable wake.

Moreover, the vast majority of Australians believe prices will continue to rise, and that’s putting sellers in the driver’s seat to achieve a great price for their property.

Talk about buoyant! The Aussie property market is enjoying an outstanding run, and experts agree that we are looking at a ‘sellers’ market’.

Australia's residential property market hit the fastest pace in over two years as national dwelling values surged 1.1% in October 2025.

It marked the strongest monthly gain since June 2023 and pushed the annual growth rate in property prices to 6.1%[1].

The price rises are unlikely to stop there.

A recent survey by API Magazine found a record 9 in ten (88%) respondents think property prices will keep rising[2].

It’s hard to argue with their logic.

Aussie property is first past the post

Cotality reports the surge in values through October 2025 has seen the value of Australia’s residential property market push past the $12 trillion milestone way faster than expected[3].

For context, the Australian share market is in a distant third place at $3.3 trillion[4] - and don’t forget Australian Real estate Investment Trusts (REITs) make up approximately 10-11% of the total market capitalisation of the S&P/ASX 200 Index. The nation’s superannuation savings total $4.3 trillion^[5] is the runner – and even then, a significant portion of those retirement funds is invested in residential and commercial real estate.

So, what do all these numbers mean if you’re thinking of selling your property?

Let’s take a closer look.

Sellers are in an exceptional position

It’s no secret Australia is experiencing a housing shortage.

We’re simply not building enough new homes to keep up with demand. The supply of new housing is near its lowest level in a decade, according to the National Housing Supply and Affordability Council. Only 177,000 new dwellings were completed in 2024, falling significantly short of underlying demand for housing which was estimated at 223,000 for the same period.

And demand has escalated thanks to the newly expanded Home Guarantee Scheme, which allows first home buyers to get started in the property market with just 5% deposit and zero lenders mortgage insurance.

On the supply, fewer properties are listed for sale. Research group Cotality reports that listings nationally are 14.8% lower than October 2024, and 18.3% below the average for this time of year[6][7].

“In today’s market, where demand far outstrips supply, it’s Economics 101 that property prices will continue to climb higher,” says Angus Raine, Executive Chairman, Raine & Horne. “For sellers, this is creating valuable opportunities.”

Cotality reports, for instance, that vendor discounting nationally has reached its lowest level in more than 3.5 years (at just 3.1%)[8].

Angus adds, “Put simply, if you’re a seller, you’re likely to get very close to your asking price. For every buyer who wants to negotiate a discount, there is likely to be another happy to pay your asking price.”

The verdict

Swelling buyer interest combined with limited housing stock – and the prospect of more interest rate cuts in 2026 – makes it no surprise that the vast majority of Australians think the only way for property prices to go is up.

“If you’re thinking of selling, the time to act is now,” Angus urges. “The key is to take advantage of the robust conditions sellers are enjoying today.

“It can let you maximise your sale price, and provide an effortless head start when it comes to buying your next property.”

If you thinking of selling contact your local Raine & Horne agent before Christmas for an obligation-free appraisal of the value of your property. 

[1] https://www.cotality.com/au/insights/articles/housing-values-rising-at-the-fastest-pace-in-more-than-two-years

[2] https://www.apimagazine.com.au/docs/investor-report/API_Property-Sentiment-Report_Q3-2025.pdf

[3] https://www.cotality.com/au/insights/articles/monthly-housing-chart-pack---november?utm_source=adwords&utm_medium=ppc&utm_campaign=2025_Cotality_Search_Brand_Leads&utm_term=cotality

[4] https://www.asx.com.au/about/market-statistics/historical-market-statistics

[5] https://www.superannuation.asn.au/super-statistics/

[6] https://nhsac.gov.au/news/release-state-housing-system-report-2025#:~:text=The%20supply%20of%20new%20housing,approval%20systems%20in%20some%20jurisdictions.

[7] https://discover.cotality.com/hubfs/441896203/Gated-Content/AU-Housing-Chart-Pack-Nov-2025.pdf

[8] https://discover.cotality.com/hubfs/441896203/Gated-Content/AU-Housing-Chart-Pack-Nov-2025.pdf