25/06/2026
State of the Nation: May 2026
The outlook for Australia’s real estate has become more complex.
Higher interest rates, persistent inflation, reduced borrowing capacity and softer consumer sentiment are already placing pressure on parts of the market. The Federal Budget’s changes to negative gearing and Capital Gains Tax now add a structural shift to the way investors assess residential property.
Over the longer term, inflation should eventually moderate and interest rates should reduce, although they are unlikely to return to the unusually low levels seen before and during the pandemic. The interest rate cycle is also expected to be more volatile than it has been over recent decades. As a result, property owners should not expect price growth to be as consistently strong as it has been in the past.
For the full report Text or call Henriette on 0419 243 399