Sydney Property Prices Forecast to Keep Rising Through 2027

Sydney home prices are forecast to continue rising through 2026 and 2027 despite interest rate uncertainty and worsening affordability, driven by a persistent shortage of housing supply. KPMG predicts Sydney house prices will grow 5.8% and unit prices 5.3% in 2026, followed by further increases of 5.7% for houses and 4% for units in 2027. This would push the median house price above $1.8 million by 2027 and lift median unit prices to around $964,000. The report notes that strong buyer demand, population growth, high construction costs, and limited new housing supply are expected to outweigh economic headwinds and keep prices rising.