Australian home prices surged 8% in 2023 but rates, inflation cloud outlook

Australian home prices rose last year, a significant turnaround from the 5% dip seen in 2022, but interest rate hikes and persistent cost of living pressures have somewhat slowed the pace of growth through the final months of the year. Figures from property consultant CoreLogic out on Tuesday showed prices nationally jumped 8.1% in 2023, but well below the 24.5% surge recorded in 2021. But CoreLogic analysts said along with higher rates and inflation, affordability challenges, rising advertised stock levels and low consumer sentiment have taken some heat out of the market through the second half of last year.