Buyers are still focused on affordability, which is driving strong price growth in the unit market, according to PropTrack’s January 2025 Home Price Index.

In the past 12 months, median unit prices have increased at a higher rate than house median prices in Brisbane and Perth, while in Adelaide, they are on par with the two asset classes. Unit prices are up 18.8% in Perth compared with house prices, which rose by 17.5% during the same period. In Brisbane, unit prices rose by 15.4% compared with a 10.6% increase in house prices, and in South Australia, unit prices rose by 13.1% compared to houses, which rose by 13.6%.

Even in Melbourne, where both house and unit markets recorded a decline in the past 12 months, the unit market still performed better, with its median down by 1.6% compared to a 2.7% drop in the house market.

Senior Economist Anne Flaherty says buyers are still focused on affordability with prices rising the most in Brisbane, Adelaide and Perth in the past 12 months as a result of demand. CoreLogic research director Tim Lawless says the most affordable quartile of the capital city markets has shown the highest rates of value growth in 2024.