Australia’s Cotality Home Value Index rose 0.8% month-over-month in August 2025, up from July’s 0.6% increase, marking the strongest monthly gain since May 2024. The rise was supported by higher buyer demand due to boosted borrowing capacity, real wage growth, stronger confidence, alongside low levels of advertised stock. Among major cities, Perth and Brisbane led with 1.1% gains, followed by Adelaide (0.9%), Sydney (0.8%), and Melbourne (0.3%). On an annual basis, national home values increased 3.6%. The August results reflect home prices “gradually building momentum” since the Reserve Bank of Australia began cutting interest rates in February. Last month, the central bank implemented its third rate cut of the year and signaled the potential for further easing as inflation continues to cool.