Neoland Group

Australia’s housing undersupply continues to shape the national outlook, with KPMG forecasting housing values growing 7.7% through 2026 and 6.0% in 2027. Unit prices are projected to grow at a similar level, increasing 7.1% through 2026 and 4.6% in 2027, signaling growing demand for more affordable dwelling options such as townhouses and units.

In Melbourne, houses and units in 2026 are forecast to grow 6.8% and 7.3% respectively, strengthening to 7.3% for houses and 5.5% for units in 2027. Supported by genuine underlying demand and Melbourne’s relatively lower price base compared with other capitals, these points to continued momentum across the residential market over the coming years.

The overall outlook reflects supply constraints, population growth, and first home buyer activity, reinforcing national housing market resilience.

Merry Christmas and Happy New Year from all of us at Neoland!