House Prices to Fall by 10–14% in 2023 Australia

Here’s NAB’s Residential Property Survey Q4-2021 released on 4 February 2022. “The view from NAB… With our view on rate hikes coming forward, we now expect the turning point in property prices to occur in the second half of 2022”. We can see in their Hedonic Dwelling Price Forecasts Table, in 2021, prices soared by an average of 21% in the capital cities. It was actually Hobart that increased the most at 28.1% and Brisbane second at 27.4%. However, in 2022, NAB predict that due to interest rate hikes, price rises will soften quite substantially with an average of only 2.7% price rises. But as rate hikes take their toll, they suspect in 2023 that prices will fall quite dramatically by an average of 9.3% with Sydney and Melbourne worst off with predicted falls of 11.4%.