Australia’s housing market has shown increased optimism heading into the Spring season, according to the latest NAB Residential Property Survey. The survey reports that the NAB Residential Property Index rose to +44 in the June quarter, reaching its highest level in a year. This improvement is attributed to recent interest rate cuts and expectations of further easing.
Victoria experienced the largest rise in sentiment, moving from +16 points to +36 points. The ACT also shifted into positive territory at +30 points after two consecutive negative quarters. Nationally, confidence in the housing market grew by 11 points to 62 points, marking the highest level seen in over a year.
Denton Pugh, NAB Home Lending Executive, commented on these trends: “Spring is traditionally the busiest time of year for property sales, and this year is shaping up to be no exception,” Mr Pugh said.
“With recent rate cuts and confidence returning, we’re seeing more Australians, especially first home buyers, taking steps towards buying a home.
“It’s encouraging to see optimism returning – Victoria and the ACT are standouts when it comes to buyer confidence right now, but we expect other states to follow.”
The survey found that first home buyers now represent 34% of those interested in purchasing property—the highest share since 2022. In Victoria, first home buyer interest was strongest at 40%, followed by New South Wales at 36.4%.
“With more homes expected to hit the market and eager buyers returning, Spring is shaping up to be a season of opportunity,” Mr Pugh said.
The NAB Residential Property Survey Q2 2025 included responses from about 250 property professionals across Australia such as real estate agents, developers, and owners or investors. Sentiment measures are based on expectations for house prices and rents over the next twelve months.