Fri Sep 13 04:56:00 UTC 2024: ## Australia Reaches Grim Milestone: Median House Price Tops $1 Million

**Sydney, Australia** – The Australian property market has reached a new peak, with the national median house price exceeding $1 million for the first time. This milestone, while positive for existing homeowners, represents a significant hurdle for aspiring buyers, according to industry experts.

New data from the Real Estate Institute of Australia (REIA) reveals a median house price of $1.049 million at the end of June 2024, marking a $70,000 increase over the past financial year. This surge is driven by strong price growth in traditionally more affordable cities like Brisbane, Perth, and Adelaide.

While Sydney remains the most expensive city, with a median house price exceeding $1.6 million, its price growth has been surpassed by other regions. Brisbane saw a 14.1% jump to $880,000, Perth surged by 26.7% to $735,000, and Adelaide experienced a 13.2% rise to $787,000.

REIA president Leanne Pilkington expressed concern about the affordability implications of this milestone. “We need 48% of family income for an average mortgage across the country, but in Sydney, that’s 58%,” she stated. She emphasizes the need for increased housing construction to address the growing affordability gap.

Real Estate Buyers Agents Association of Australia president Melinda Jennison echoed these concerns, highlighting the “scary” implications for potential homebuyers. She pointed out that income growth hasn’t kept pace with the rapid rise in property prices, making saving for a deposit increasingly challenging.

Jennison also emphasized the need for buyers to consider more affordable options like units or townhouses. “It’s going to take people much longer to save a deposit,” she said. “And it reinforces the requirement for a lot of people to start with an entry-level home that’s more likely a unit or townhouse.”

This milestone signals a significant shift in the Australian property landscape, raising concerns about affordability and accessibility for first-time homebuyers. The increasing cost of housing is likely to continue influencing the choices and financial planning of Australians for years to come.

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