While the headline message is reassuring, the fact that one city surged by $51,000 in 90 days should raise caution flags, not comfort. It suggests that speculative demand is still strong in some markets, potentially inflating a new bubble even as others correct. The national slowdown could quicken if the Reserve Bank is forced to raise rates further due to stubborn inflation. Household debt remains near record highs, and even a mild rise in unemployment could trigger financial stress among mortgage holders. The divergence between cities also masks that many regional areas that boomed during the pandemic are now seeing sharp falls. For buyers, the surge in Adelaide could mean overpaying if the market turns. The risk is that a shallow national cooling lulls governments and regulators into inaction, delaying needed supply-side reforms. A genuine housing correction should be broad-based and gradual, not a patchwork of spikes and dips. Policymakers should treat the mixed signals as a warning that the market is not out of danger.
News From Multiple Perspectives
Warning against complacency as price divergence masks deeper risks
Published July 25, 2026 at 9:02 PM UTC