First published 28 Oct 2026, 3:50pm
Home prices haven’t been falling everywhere and some suburbs have seen a spike in growth. Picture: Sarah Wilson
Home values have soared by over $100,000 in just the past three months across some unlikely Sydney and NSW pockets – even as one of the worst housing downturns in history rips through the rest of the market.
Analysis of exclusive realestate.com.au figures revealed home price falls were the norm in more than 80 per cent of the Sydney and NSW market over the September quarter, but there were 17 suburbs across the state that defied the downturn with six digit rises in median dwelling values.
The bulk of these areas were on Sydney’s north shore, but there were also some in the southwest, inner west and Central Coast.
There were also multiple suburbs with sharp value rises in the Coffs Harbour-Grafton region of northern NSW.
MORE: ‘Almost over’: 5 suburbs set to boom as slump ends
Figures such as John McGrath have predicted the market could recover next year, although the shorter-term outlook remains weaker. Picture: David Swift
Median dwelling value rises of $80,000-$90,000 were recorded in two suburbs within Sydney’s inner east: Woolloomooloo and Elizabeth Bay.
My Housing Market economist Andrew Wilson revealed that buyers were showing signs of “just getting on with it” after the initial shock of earlier rate hikes wore off, although he noted this may change if there is another rate hike in November or December.
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“Eventually life goes on,” Mr Wilson said. “We did see that in the 2022/23 rate hiking cycle. Initially there was a huge shock, but eventually people got back into the market.”
He added that prime blue-chip suburbs were seeing a very early recovery driven by shorter days on market and a growing perception that “some areas have become good value again”.
This recovery would likely be impacted by a rate hike, with inflation figures released Wednesday pointing to a strong likelihood of the RBA increasing rates next week.
Realestate.com.aus quarterly figures showed the top growth areas in nominal terms were the neighbouring suburbs of Milsons Point and Lavender Bay on Sydney’s north shore.
One of the top growth suburbs was Copacabana, where Anthony Albanese owns a property. Picture: David Crosling
Albanese bought the home in 2024. It had a recent rebound in value after a fall earlier this year.
Dwelling values in the former jumped up by an average of $217,000 over the September quarter and by $192,000 in the latter.
Nearby McMahon’s Point had a similar injection of growth over the three months, with average rises of $178,000. Dwelling values were based on data for house, unit and townhouse transactions.
Central Coast suburb Copacabana, where Prime Minister Anthony Albanese owns a clifftop mansion bought in 2024, had a 10.7 per cent quarterly jump in dwelling prices over the period.
This pushed the median dwelling value up by $174,000. It remains one of the few areas in Sydney where dwelling prices remain higher than they were at this time last year.
An automated valuation of Mr Albanese’s property shows that, after an initial dip earlier this year, his property has increased in value over recent months, growing to an estimated $4.07m.
That’s down from the $4.3m the Prime Minister paid in 2024, but up from the $3.96m the home was estimated to be worth back in August.
Ray White chief economist Nerida Conisbee said some suburbs across Sydney had shown very early signs of recovery prior to the release of inflation figures on Wednesday, which have made another rate hike a strong possibility.
Ms Conisbee said short-term price falls could continue but the longer-term outlook for the market was continued growth.
She explained that this was largely due to severe delays in the construction of new housing at a time of high population growth.
REA Group economist Angus Moore revealed last week that the housing market could bottom out in the second half of 2027.
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