Australian Housing Price Growth Forecast Revised Downward for 2026

CBA economists have adjusted their forecast, now expecting Australia's national dwelling prices to remain flat throughout 2026, a downgrade from earlier predictions of growth. This revision is primarily due to the combined effects of higher interest rates, tighter lending conditions, and a decline in consumer sentiment. Additionally, recent property tax changes are contributing to the market slowdown. This outlook suggests a period of stagnation for the housing sector.