Facts V Media Hype

Dene Tucker is a 35 year + Real Estate Agent & Auctioneer and has been hands-on in over $2,000,000,000 of successful residential property transactions across Australia & New Zealand.

Welcome to our February update. I hope you’re well and truly back into the rhythm of the year and enjoying what is shaping up to be another strong year across South-East Queensland.

With today’s much-anticipated interest rate rise, I wanted to cut through the noise and bring some clarity to what’s ‘actually happening’ on the ground in residential property - where it truly affects you.

Much of what dominates headlines is, by many people’s definitions, media hype. Below are the facts and a realistic view of what’s likely ahead.

According to KPMG, national house prices are forecast to rise by 7.7% this year, with market momentum expected to continue into 2026 despite ongoing speculation around interest rates.

KPMG Chief Economist Dr Brendan Rynne notes that the unexpected strength of the market in the second half of 2025 - driven by government policy settings and persistent inflation - has pushed prices higher than originally anticipated.

“Affordability pressures were expected to temper demand in early 2025, but instead, price growth accelerated in the second half of the year, particularly in already heated markets such as Perth and Brisbane, supported by the expanded 5% Deposit Scheme,” Dr Rynne said.

He went on to say “Despite ongoing housing supply shortages, buyers in these cities are willing to pay premiums that extend beyond what supply constraints alone would justify. As a result, the entry-level segment is expected to continue outperforming in 2026, with more first-home buyers breaking the rent cycle, intensifying competition at the affordable end and keeping prices firm.”

And I can tell you based on 35+ years’ experience, this activity trickles ‘UP’ consequently stoking the 2^nd, 3^rd and so on Buyers Markets.

City by city price growth forecasts for houses and units in 2026/2027

Location	House 2026	House 2027	Unit 2026	Unit 2027
Sydney	5.8%	5.7%	5.3%	4.0%
Melbourne	6.8%	7.3%	7.3%	5.5%
Brisbane	10.9%	8.9%	7.8%	4.9%
Adelaide	8.2%	3.3%	6.6%	3.8%
Perth	12.8%	5.1%	11.6%	3.9%
Hobart	5.4%	4.1%	5.1%	4.0%
Darwin	10.5%	6.8%	13.4%	9.3%
Canberra	4.7%	3.3%	4.9%	3.6%

Looking ahead, Brisbane house prices are forecast to rise by almost 11% this year, with unit values expected to grow by close to 8%. Importantly, the city’s underlying strength is anticipated to extend beyond 2026, defying earlier expectations of a more subdued market.

If you value facts over fear and would appreciate pragmatic, honest property advice - for yourself, your friends, or your family - I’m always happy to have a chat. It costs nothing but time, and as the ancient Greek philosopher Theophrastus once said, “Time is the most valuable thing a person can spend.”

I look forward to catching up soon.

Credit Dr Brendan Rynne - KPMG

You can contact Dene at dene.tucker@remax.com.au or +61 405 102210.