Australia Luxury Residential Real Estate Market Size (2024 - 2029)

Australia Luxury Residential Real Estate Market Analysis

The Australia Luxury Residential Real Estate Market size in terms of transaction value is expected to grow from USD 23.88 billion in 2024 to USD 31.58 billion by 2029, at a CAGR of 5.75% during the forecast period (2024-2029).

• In Australia, the rising population of High Net Worth Individuals (HNWIs) is fueling demand for luxury properties, especially in major metropolitan hubs like Sydney and Melbourne.
• The limited availability of high-end properties, particularly in coveted areas such as Sydney Harbour, continues to intensify competition and demand. For example, in April, the national median home value in Australia reached a record high of USD 774,000, marking a 6.6% increase since 2023. While housing stock remains limited, prices surged 20% in Perth and 14% in Adelaide year-over-year.
• According to Industry Association’s latest Prime Global Cities Index, all four Australian (Perth, Sydney, Brisbane, Melbourne) cities saw an uptick in luxury residential property prices. Leading the pack was Perth, which saw a 3.7% rise over the past year up to June. Sydney followed with a 3.1% increase, then came Brisbane at 2.4%, and finally Melbourne, which saw a modest 0.6% uptick.
• These developments have heightened interest from offshore buyers in Australia's luxury real estate market. In response, the Foreign Investment Review Board (FIRB) revamped its foreign investment framework policy in May. The updated regulations promise a streamlined application process for investors with a history of compliance. Notably, the FIRB aims to process 50% of applications within the standard 30-day review window.
• Residential real estate is witnessing a surge in foreign investment, with transactions up by 27% from the previous year 2023. New dwellings captured 49.3% of foreign investments, while vacant residential land attracted 16.7%. Notably, international buyers hailing from China, Hong Kong, and India are leading the charge in residential real estate purchases, as highlighted by Industry Associations in September 2024.

Australia Luxury Residential Real Estate Industry Segmentation

Luxury residential real estate is characterized by its prime location, elevated price, spaciousness, use of valuable materials, expert design, high-end amenities, and often, a prestigious history. This report delves into the Australian luxury residential real estate market, offering a comprehensive analysis. It encompasses an evaluation of the economy and the contribution of various sectors, an overview of the market, size estimations for key segments, emerging trends, market dynamics, and geographical insights.

Australia's luxury residential real estate market is segmented by type (apartments and condominiums, villas, and landed houses) and by cities (Sydney, Perth, Melbourne, Brisbane, and other cities). The report offers market sizes and forecasts in value (USD) for all the above segments.