1 in 3 Australian Homes Now Worth Over $1 Million: Report
Australia's housing crisis has hit new highs, with one in three homes now worth over $1 million (US$643,000), and four major cities ranked among the world's most unaffordable.
Two separate reports released on May 16 reveal the depth of the country's housing crisis.
New research from Cotality (formerly CoreLogic) shows that over 34 percent of homes across Australia were now valued above $1 million.
Just a decade ago, in April 2015, that figure was only 10 percent.
Eliza Owen, head of research at Cotality, said the million-dollar mark is becoming 'increasingly standard,' especially after median home values for most capital cities crossed that mark last year.
'But all of this sort of research points to the same thing, which is how unaffordable the Australian housing market is, Sydney in particular … It's pretty grim,' she said.
Related Stories
5/11/2025
5/8/2025
Even with $1 million, Owen noted, the quality and location of available properties are deteriorating.
In fact, just a few days earlier, a viral video showed a dilapidated property in Sydney's far western Mount Druitt selling for
'If you can afford these properties, you've got a very high income, you've sold another property well, or you have wealth from your family. You need that big pool of wealth to participate in the market, and it's locking out those that don't.'
In an aerial view, vacant land sectioned off for housing is seen in the western suburbs of Sydney on Jan. 11, 2024.Four Aussie Cities Among World's Least Affordable
The Demographia International Housing Affordability survey by Chapman University ranks four Australian cities among the 15 most unaffordable in the world.
Sydney was ranked second globally, behind only Hong Kong. Melbourne, Adelaide, and Brisbane also made the top 10.
Perth narrowly missed out, with a median multiple of 8.3—just shy of the 'impossibly unaffordable' threshold of 9.0 used in the study.
The report measures affordability by comparing median house prices to median household incomes. A ratio of 3.0 or lower is considered affordable. None of the 95 cities surveyed met that standard.
'Sydney has had the first-, second- or third-least affordable housing of any major market in 16 of the last 17 years,' the report said. 'It's remarkable that Australian markets, including Melbourne and Brisbane, are now less affordable than cities like New York, London, or Chicago.'
An aerial view of completed houses in a recently developed estate in Clyde North in the federal seat of Holt in Melbourne, Australia, on March 26, 2025.Wages Stagnate as Prices Climb
Owen attributed the crisis to runaway property values and stagnant wages—particularly following the pandemic-era housing boom that spread price inflation beyond capital cities to regional centres.
'You need that big pool of wealth to participate in the market, and it's locking out those that don't,' Owen warned.
The lack of affordable housing options has also strained social services. Public housing stock has steadily declined, while waitlists have ballooned.
Many Australians are now being tipped into overcrowded housing or, in extreme cases, homelessness.
Planning Laws and Urban Containment Under Fire
The Demographia report points to restrictive urban planning policies—particularly 'urban containment' rules—as a root cause of the crisis.
These rules limit land supply for development, forcing prices upward and pricing out average households.
Over the last 50 years, the report said, these policies have made it harder for the middle class to own a home.
'Given the primacy of housing costs in household budgets, this also means that these stronger policies have been associated with greater overall poverty,' it stated.
Experts add there is a basic mismatch between demand and supply. Australia has not been building enough homes to keep up with its fast-growing population. The resulting scarcity pushes prices higher across the board, from rentals to home ownership.
New Zealand Offers Reform Blueprint
The report highlights New Zealand's 'Going for Housing Growth' policy as a potential model.
The reform program opens land for greenfield development and uses 'Special Purpose Vehicles' to fund infrastructure. These vehicles allow developers or future residents to cover costs over time, reducing the upfront financial burden on governments.
Grim Outlook Without Urgent Reform
Without serious reform, the report warns, home prices will remain out of reach for millions. Major cities risk losing residents to more affordable regions or countries, weakening their economic pull and further fracturing the housing landscape.
Some states, including Victoria and New South Wales, have begun encouraging higher-density development near transport hubs. But whether these plans will be implemented swiftly enough to change the trajectory remains to be seen.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
4 hours ago
- Yahoo
World Bank and IMF climate snub 'worrying', says COP29 presidency
The hosts of the most recent UN climate talks are worried international lenders are retreating from their commitments to help boost funding for developing countries' response to global warming. Major development banks have agreed to boost climate spending and are seen as crucial in the effort to dramatically increase finance to help poorer countries build resilience to impacts and invest in renewable energy. But anxiety has grown as the Trump administration has slashed foreign aid and discouraged US-based development lenders such as the World Bank and the International Monetary Fund from focussing on climate finance. Developing nations, excluding China, will need an estimated $1.3 trillion a year by 2035 in financial assistance to transition to renewable energy and climate-proof their economies from increasing weather extremes. Nowhere near this amount has been committed. At last year's UN COP29 summit in Azerbaijan, rich nations agreed to increase climate finance to $300 billion a year by 2035, an amount decried as woefully inadequate. Azerbaijan and Brazil, which is hosting this year's COP30 conference, have launched an initiative to reduce the shortfall, with the expectation of "significant" contributions from international lenders. But so far only two -- the African Development Bank and the Inter-American Development Bank -- have responded to a call to engage the initiative with ideas, said COP29 president Mukhtar Babayev. "We call on their shareholders to urgently help us to address these concerns," he told climate negotiators at a high-level summit in the German city of Bonn this week. "We fear that a complex and volatile global environment is distracting" many of those expected to play a big role in bridging the climate finance gap, he added. - A 'worrisome trend' - His team travelled to Washington in April for the IMF and World Bank's spring meetings hoping to find the same enthusiasm for climate lending they had encountered a year earlier. But instead they found institutions "very much reluctant now to talk about climate at all", said Azerbaijan's top climate negotiator Yalchin Rafiyev. This was a "worrisome trend", he said, given expectations these lenders would extend the finance needed in the absence of other sources. "They're very much needed," he said. The World Bank is directing 45 percent of its total lending to climate, as part of an action plan in place until June 2026, with the public portion of that spilt 50/50 between emissions reductions and building resilience. The United States, the World Bank's biggest shareholder, has pushed in a different direction. On the sidelines of the April spring meetings, US Treasury Secretary Scott Bessent urged the bank to focus on "dependable technologies" rather than "distortionary climate finance targets." This could mean investing in gas and other fossil fuel-based energy production, he said. Under the Paris Agreement, wealthy developed countries -- those most responsible for global warming to date -- are obliged to pay climate finance to poorer nations. Other countries, most notably China, make voluntary contributions. - Money matters - Finance is a source of long-running tensions at UN climate negotiations. Donors have consistently failed to deliver on past finance pledges, and have committed well below what experts agree developing nations need to cope with the climate crisis. The issue flared up again this week in Bonn, with nations at odds over whether to debate financial commitments from rich countries during the formal meetings. European nations have also pared back their foreign aid spending in recent months, raising fears that budgets for climate finance could also face a haircut. At COP29, multilateral development banks (MDBs) led by the World Bank Group estimated they could provide $120 billion annually in climate financing to low and middle income countries, and mobilise another $65 billion from the private sector by 2030. Their estimate for high income countries was $50 billion, with another $65 billion mobilised from the private sector. Rob Moore, of policy think tank E3G, said these lenders are the largest providers of international public finance to developing countries. "Whilst they are facing difficult political headwinds in some quarters, they would be doing both themselves and their clients a disservice by disengaging on climate change," he said. The World Bank in particular has done "a huge amount of work" to align its lending with global climate goals. "If they choose to step back this would be at their own detriment, and other banks like the regionally based MDBs would likely play a bigger role in shaping the economy of the future," he said. The World Bank declined to comment on the record. klm/np/mh/jj
Yahoo
4 hours ago
- Yahoo
Hong Kong Airlines Celebrates Inaugural Flight to Sydney
Offering Travellers More Direct Flight Options to Australia HONG KONG, June 21, 2025 /PRNewswire/ -- Hong Kong Airlines' inaugural flight between Hong Kong and Sydney, Australia, departed yesterday, making it the second local airline to operate this route and providing greater travel options for business, leisure, and transit passengers. To mark this new milestone in its network expansion, Hong Kong Airlines held celebratory events at both Hong Kong International Airport (HKIA) and Sydney Airport (SYD). Prior to departure, a launch ceremony was held at the boarding gate of the HKIA. The event was attended by distinguished guests, including Mr Jeff Sun, President of Hong Kong Airlines; Mr Ian McGraw from the Australian Consulate-General in Hong Kong; Ms Carmen Tam and Ms Vivien Yuen from Tourism Australia; Ms Jennifer Tung from Destination New South Wales; and Mr Ricky Chong from Airport Authority Hong Kong. The guests interacted with passengers and presented them with bespoke souvenirs to commemorate the historic occasion. During the event, Hong Kong Airlines President Mr Jeff Sun stated: "As a full-service local carrier, the launch of our Sydney service marks a significant step in our transformation to an international airline. Sydney is not only a popular destination for leisure and business travel but also one of Australia's most vital economic hubs. The expansion of the bilateral traffic rights agreement allows us to offer more choice to travellers in both cities, strengthening the connection between them." He added, "While Hong Kong Airlines may be a younger brand in the mature Australian market, we are endeavouring in our commitment to providing quality service. We operate this route with our Airbus A330 aircraft, featuring comfortable business and economy class cabins, and strive to deliver a passenger-centric in-flight experience through attentive service and fine dining for our long-haul customers." Sydney Airport CEO Mr Scott Charlton said: "We're proud to welcome Hong Kong Airlines to Sydney as our 52nd airline partner with its strong reputation for service excellence, efficiency and value. This inaugural service comes on the back of the first expansion in bilateral air traffic rights between Australia and Hong Kong in 19 years and we thank the Albanese Federal Government for its role in enabling this important agreement, which reflects the strength of our longstanding cultural and economic ties." NSW Minister for Jobs and Tourism Steve Kamper, said: "Hong Kong is a priority international market for NSW, with incoming travellers contributing substantially to the NSW visitor economy. The Minns Labor Government has made it very clear; we want to grow our visitor economy and the best way to do this is by increasing airline capacity and unlocking new international markets for NSW. We've set our sights on increasing the state's aviation capacity by 8.5 million seats, and this new Hong Kong route will complement other new routes we're securing as we work towards landing this goal." Mr Wang Yu, Consul General of People's Republic of China (Sydney), said: "As the second Hong Kong-based airline to operate the Hong Kong–Sydney route, Hong Kong Airlines not only provides a convenient new option for traveling between China and Australia, but also contributes to enhanced exchanges among students, tourists, business professionals and friends from all walks of life. This new service will strengthen Hong Kong and Sydney's role as vital gateways for the flow of people and goods, injecting fresh momentum into the economic and cultural ties between China and Australia. Its launch will also attract more international travelers to transit through Hong Kong or Sydney, further strengthening both cities' positions as global aviation hubs and creating new opportunities for trade and investment. Looking ahead, the Consulate-General of China in Sydney will continue to encourage and support airlines from both China and Australia in restoring or launching new routes based on the principle of mutual benefit and win-win cooperation. We believe that Hong Kong Airlines will continuously enhance its service quality and showcase a good corporate image." Also in attendance at the Sydney welcome ceremony were representatives from the Consulate-General of the People's Republic of China in Sydney, Destination NSW and the Hong Kong Economic and Trade Office (Sydney). Exclusive Lounge Access for Connecting Passengers To celebrate the launch of the new service, passengers travelling on this route and transit at Hong Kong for selected Hong Kong Airlines flights* to Vancouver, Bali, Tokyo, Osaka, Fukuoka, Shanghai (Pudong), Haikou, or Sanya, between 20 June and 31 October 2025, will receive complimentary access to the airline's flagship lounge "Club Autus" at Hong Kong International Airport. *Please click here for the relevant terms and conditions. Expanding Route Network The launch of the Sydney service indicates Hong Kong Airlines' overarching strategy for its network expansion. Coupled with the various significant destinations that have been inaugurated or reinstated since the start of the year, including Gold Coast in Australia, Vancouver in Canada, and Hulunbuir in Inner Mongolia of mainland China, the airline has cultivated a more extensive and diversified route map. This further underscores Hong Kong Airlines' commitment and contribution to the aviation industry's recovery and long-term development. In addition to the new routes, the Company also increased the frequency of services on multiple routes to cater to the summer travel demand. This includes the resumption of seasonal flights to the Maldives and an increase in flights to Da Nang to two per day. Additionally, flights to Shanghai Pudong will be increased to four per day, while services to Hangzhou and Nanjing will become twice day. The variety of flight times available throughout the day provides business, leisure, and transit passengers with the flexibility to plan their itineraries. The Company will launch another new service in July, providing passengers with more travel options. Hong Kong Airlines flight schedule* between Hong Kong and Sydney is as follows (All times local): Route Flight Number Departure Arrival Frequency HKG – SYD HX017 22:25 09:50+1 Daily SYD – HKG HX018 11:30 19:10 * Flight number and schedule may change without prior notice Please download high-resolution photos through this link. About Hong Kong Airlines Established in 2006, Hong Kong Airlines is a full-service airline firmly rooted in Hong Kong. The airline flies to over 30 destinations across the Asia Pacific and North America, and currently maintains interline and codeshares with multiple airline partners and ferry service providers. Hong Kong Airlines operates an all-Airbus fleet. It has been awarded the internationally acclaimed four-star rating from Skytrax since 2011. For more information, please visit or our social media channels on LinkedIn, Twitter, Instagram and Facebook. View original content to download multimedia: SOURCE Hong Kong Airlines Inicia sesión para acceder a tu portafolio
Newsweek
7 hours ago
- Newsweek
Texas Homeowners Worry About 'Loopholes' in New Property Tax Cut Law
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Texas homeowners struggling under the growing burden of rising housing costs are supportive of the new package of property tax cuts signed into law by Governor Greg Abbott on Monday. However, some are worried that appraisers may find "loopholes" around them to keep bills high. "The governor is trying to help, but local counties will just find loopholes in the laws and pull the money from our pockets," Jeff, a Parker County Texas homeowner, told Newsweek, revealing a deep frustration with Texas' County Appraisal Districts (CAD) which seems to be shared by several other readers. What's Behind Texas Homeowners' Frustration? Property tax bills have surged over the past five years in Texas due to skyrocketing home values exacerbating locals' affordability struggles. Between 2019 and 2023 alone—years marked by the pandemic homebuying frenzy—property taxes in the Lone Star State jumped by 26 percent, according to Cotality. As of 2025, Texas homeowners pay the seventh-highest property taxes in the country, according to SmartAsset, at an effective rate of 1.63 percent, significantly higher than the national average of 0.90 percent. Photo-illustration by Newsweek/Getty/Canva On average, a Texas homeowner pays $3,872 a year in property taxes, which are levied by local governments and used to fund public services, including schools, roads, police, and firefighting. The rise in property taxes, which has occurred nationwide, has hit senior homeowners the hardest, as they often rely on a fixed income and are less well-equipped to shoulder a suddenly heavier financial burden. What Do the New Laws Promise Homeowners? The new package of property tax cuts, which includes two key bills raising the homestead exemption in the state, is Abbott's latest attempt to offer homeowners relief after signing into law what was the largest property tax cut in the state's history in 2023. One bill contained in the package, signed by the governor on Monday, SB 4, would raise the existing homestead exemption from $100,000 to $140,000 for all homeowners. Another, SB 23, would raise it to $200,000 for those with disabilities or those aged 65 and above. The two bills include constitutional amendments that would need to be approved by voters in November to be enshrined into Texas state law. Why Do Homeowners Remain Skeptical About Relief? Several readers wrote to Newsweek, expressing enthusiasm for the new property tax cuts, but also voicing concerns that they might not result in a significant reduction in their bills. "No homeowner over 70 should pay property taxes. And 65 to 70 only half. Our senior years are fraught with enough worries, medical, food, insurance etc without worrying about losing their home," one Austin-based homeowner said. "I've had to sell all of my investment holdings to afford property tax for my remaining years. But it seems that the CAD just raises our appraised values to counteract Abbott's help." Jeff said that his home has appreciated in market value by 73 percent since 2020, a number that he can hardly believe is accurate. "Local governments blame [price] growth, but in all reality, it's poor management by our local government," he said. "I personally have now protested my taxed appraised market value three times now, each time getting minimal relief. The fact that they are willing to adjust your market value tells you they are playing the numbers to bring in more money," he said. John, another Texas homeowner, said that, on average, his property evaluations have increased from $270,000 to $563,000 over the last eight years. "My annual property tax leapt from $4,300 annually, to just north of $7,000," he said. "This past year, as well as this year, upcoming, will be in the neighborhood of $6,200, largely due to the efforts of the past two legislative periods," he added. The news of the new property tax cuts signed by Abbott was "music to my ears," John said. "You've always heard that mantra, 'I don't want to rent my home after it's paid for from my school district,'" Texas Lieutenant Governor Dan Patrick said after the two bills passed the state legislature. "Well, seniors, to the average senior out there, you're never going to have to do that again." John said that Patrick's comment about paying rent to the school district "is no quip." "My breakdown, most recently, is at $15,00 city, $1,250 county, and $3,500 school district distribution," he said. "While it's true that 'it takes a village,' my kids are adults in the workforce themselves. While paying much higher property taxes to schools, I was still on the hook for community pencils, paper, notebooks, and Kleenex, for distribution to children by the teachers," he said. "Along with anything teachers did to create a more engaged environment in their classrooms, that was out of their pockets." While John appreciates how municipal governments spend the money he pays in property taxes, he feels that there is insufficient transparency regarding the way school districts allocate their funding. "Long story short, I will support this legislation to the extent of posting pro-bill signage in my yard, and on my vehicle, if I do think it will come to that," he said. "People are sick to death of the Central Appraisal Districts and their chokehold on property owners." Are you a Texas homeowner? I'd like to hear from you about your experience with property appraisals and rising property tax bills. Email me at
