Australia's housing market looks very different than it did at the start of the year.
After the Reserve Bank lifted the cash rate five times in 2026, raising borrowing costs, property values have come under increasing pressure.
But not all housing types have been hit equally.
Across most capital cities, unit prices have generally recorded smaller percentage declines than detached houses.
The shift marks a reversal from last November, when houses were generally leading price growth in most markets.
Units underperformed houses for most of the pandemic period, but affordability constraints mean more Australians are trading backyards for balconies.
This has helped apartment values hold up noticeably better than houses through this downturn.
Across the combined capitals, house values have fallen 5.9 per cent since the end of January, while unit values are down 3.6 per cent.
The gap highlights how the affordability crunch is reshaping buyer behaviour.
The national median house value sits at about $1.1 million compared with $739,000 for units, a $361,000 gap that converts directly into demand when borrowing capacity is down.
Canstar estimates the borrowing capacity of someone on an average full-time wage of $108,650 would be reduced by more than $58,000 following the latest rate rise. A couple, both on average wages, would see a reduction of nearly $117,000.
