Following a year of interest rate rises and property price falls, 2023 has been a year of recovery with many suburbs clawing back last year's losses and some even hitting new highs.
Home prices decreased during 2022 in most capitals except Perth and Adelaide, which both experienced positive year-on-year growth, albeit at slightly lower levels than in previous years.
Canberra is close to reaching positive year-on-year price growth in the coming months, but Hobart is still lagging and is down 3.83% from last year.
Prices in Perth and Adelaide have grown every month this year and have not yet reached their peak, so it is not surprising that the suburbs with the largest price growth this year are mainly in these cities.
But it is a Brisbane suburb that takes the top spot for median house value with the highest growth this year.
In Riverview, in the Ipswich region of Brisbane, house values have grown by 23.73% since January 2023.
Ipswich has performed well this year, with all suburbs within the region experiencing positive growth. Dwelling prices in the area are up 9.19% from last year.
Sydney led the downturn in 2022 but has been the fastest city to recover.
Four of the top 20 suburbs for house price growth are New South Wales, three of which are in Sydney.
A NSW suburb has taken the top spot for fastest unit value growth, with values in Avoca Beach on the Central Coast increasing by 25.85% this year.
Suburbs on the Central Coast were in high demand during the pandemic as many Sydneysiders moved there to escape the city to take advantage of larger block sizes and more outdoor space.
But when lockdowns ended and many workers returned to the office, the Central Coast lost some of its lustre with Sydney buyers and prices began to drop.
Property prices have made a strong recovery in 2023 and will likely continue on this trajectory into 2024.
Australia's population is growing at a faster rate due to the return of overseas migrants, and the demand for property will increase.
With the potential for interest rate cuts next year, we should see continued price growth and most areas will likely surpass previous highs seen before the slump in 2022.