November Home Values: Is This The Fastest Decline in 40 Years?

It’s been seven months since home values started to drop nationally, with the drop in prices since May being the fastest decline in recent history. Previously stalwart property markets of Brisbane and Perth have led the decline.

What is the Home Value Index (HVI)?

The Home Value Index (HVI)^[1], also known as the Hedonic Home Value Index, leverages recent property sales from each state to track the median value growth of homes nationwide. It serves as a key metric for analysing the performance of the Australian residential property market and is useful when looking at the affordability and investment potential of states and capital cities.

Source: Cotality HVI Report November 2026

State Market Report.

These median values are as of 2nd of November 2026.

Sydney

The median home value decreased by 1.6% to $1,178,959.

Melbourne

The median home value decreased by 0.8% to $773,027.

Brisbane

The median home value decreased 2% to $1,018,401.

Adelaide

The median home value decreased 1.2% to $916,860.

Perth

The median home value decreased 1.2% to $942,018.

Hobart

The median home value actually increased 0.5% to $743,854.

Darwin

Darwin grew 0.6% to $641,873.

Canberra

The median home value decreased 0.7% to $844,400.

Small City Outliers

Darwin continued the trend of last month, being one of the only cities to increase in Median Home Value. Darwin was also the only city not to see an increase in vacancy rates. It was joined in its growth by Hobart. While larger and mid-sized cities are experiencing drops,

Less Buyers in the Market

Less homes are clearing at auction, and vendors are selling for less than their asking price more often. For home buyers, this means that there are more potential opportunities, and more properties that may fall in their budget. Buyers are still cautious as interest rate increases impact their affordability. For buyers the question is whether the decrease in property values effectively offsets the impact of rate increases on affordability.

What Does This Mean? 

While home values are dropping, and fast, we likely havent seen the bottom of property prices yet. Cost of living pressures, high inflation and high interest rates will likely push property prices down further over the coming months. There is silver lining, that a decrease in property prices gives buyers more choices in their budget, provided they can meet higher interest rates.

[1]Cotality (2026). Housing markets set to weaken further as RBA hikes again in november. [online] Cotality.com. Available at: https://www.cotality.com/au/press-releases/housing-markets-set-to-weaken-further-as-rba-hikes-again-in-november [Accessed 9 Nov. 2026].

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