Australia's Property Prices Soar Amid Economic Looms

In April, Australia's property prices soared to a new high despite challenges posed by U.S. tariff risks and electoral uncertainty. Consultant Cotality reported a 0.3% increase, highlighting strong immigration and limited supply as key drivers. However, auction and listing volumes fell, indicating a cautious market.

Australia's property market experienced a record-high in April, rising by 0.3% to A$825,349, according to property consultant Cotality. The gains were widespread, with Darwin leading at 1.1%, while Sydney and Melbourne saw a 0.2% increase.

Despite the growth, there were signs of caution. Cotality's research director noted a decrease in auctions and listings, suggesting the market's rebound could be tapering off. External factors like U.S. tariffs and upcoming elections contributed to market hesitance.

Investors anticipate a quarter-point rate cut from the Reserve Bank of Australia due to global uncertainties. While policy changes may enhance first-home buyer demand, economic pressures like reduced population growth and tight lending could curb price increases.

(With inputs from agencies.)