The shifting dynamics of Australia’s property market have confirmed Hotspotting’s predictions, with new data revealing a change in the ranking of price growth across key markets.

According to CoreLogic, regional markets and apartment sectors are now outperforming capital city housing markets, and Perth is no longer the frontrunner for national price growth.

For some time, regional Australia has demonstrated stronger growth trends compared to major capital cities, and data to the end of January reinforces this pattern. In January, median house values in combined capital cities declined by 0.2%, whereas regional markets saw a 0.4% increase.

A similar trend is emerging in the apartment sector, where capital city unit prices dipped by 0.2% while regional unit markets rose by 0.5%.

Of the 15 major markets analysed, nine recorded growth in median house values, with the same number seeing price gains in apartment markets.

After leading the country in property price growth for two years, Perth’s momentum has slowed. Its median house value increased by just 0.3% in January and 1.7% over the quarter.

Meanwhile, smaller capital cities are now leading the market. Adelaide recorded the highest median house price growth in January at 1.7%, followed by Darwin at 0.6%. Brisbane and Perth tied for third at 0.3%. Over the quarter, Darwin (2%), Adelaide (1.7%), and Brisbane (1%) outperformed Perth (0.8%).

Regional markets in South Australia, Queensland, and Tasmania also exceeded Perth’s growth in the December quarter, further underscoring the strength of property markets outside the traditional capital city hubs.

For investors, these trends highlight the shifting financial landscape of Australian real estate, with regional and apartment markets emerging as key opportunities for capital growth.