Median land prices are rising nationally, with new analysis showing a 7.6% increase in the past 12 months.

HIA economist Maurice Tapang says analysis of 52 housing markets across Australia shows the median price of land sold in the September 2024 quarter hit a record high of $366,510. The price of land in capital city markets drove the increase, up by 9.2% in the past 12 months to $408,160. “Prices have increased the fastest in areas where either home building activity is beginning to pick up or where the cost of providing the infrastructure for new lots is high,” Tapping says. “Brisbane and Perth recorded the strongest growth in their median land prices, up in the past 12 months by 21.2% and 38.6%, respectively.”

The analysis says that Sydney land prices are up by 7.2%. Tapping says as a result of prices rising, buyers are looking at more affordable locations to purchase land, such as growing regional locations or they are reducing costs by buying smaller lots. “Australia’s regions continue to provide better land purchasing opportunities compared to the capital cities, with the median price growing in the year by a slower 2% cent to $281,910,” Tapping says.