Australian Housing Market Forecasted For Moderate Growth In 2025

According to Odaily, following a 4.9% increase in Australian house prices in 2024, AMP's Chief Economist Shane Oliver anticipates an average rise of around 3% in 2025. However, he notes that the year's performance will be divided, with weaker conditions in the early months due to high interest rates and rising unemployment. The latter half of the year is expected to improve as lower interest rates eventually provide a boost. Oliver predicts that the Reserve Bank of Australia will begin cutting interest rates by May, with three reductions of 25 basis points each expected this year.