Did your house out-earn you in 2025?
With home values rising around 8 per cent nationally this year, many Australians may find their property generated more wealth than their pay packet.
For those fortunate enough to own or at least hold a mortgage over a property, December is a good time to ask the simple question: did you or your house make the most money this year?
The fundamentals of strong demand and low supply remain unchanged from previous years, making the answer to this question once again, for many people, a close contest.
Nationally, Cotality research shows a clear trend.
Home values are likely to finish 2025 at least 8 per cent higher, up from 5.2 per cent in the previous calendar year, with the median dwelling value being $888,941 as at the end of November.
In New South Wales, home values across Sydney are up 5.1 per cent in the past year while in regional NSW, values have risen 6.2 per cent in 2025. There’s still a month to go, too.
Sydney’s median dwelling value is now $1,269,659, as at the end of November, up from approximately $1,200,000 at the end of last year. Regional NSW dwellings have a current median value of $803,971.
If we then consider wage growth, the ABS says the average full-time adult worker saw their wage grow by 4.5 per cent in the year to May, to an average annual salary of just over $100,000.
This is somewhat skewed by higher earners though; the median full-time salary is closer to $90,000. With casuals and part-timers, the median drops to under $70,000.
This means that for many Australians, their property is on track to be the main breadwinner this year.
Of course, to properly understand whether you or your home made the most money, you need to look through a suburban lens. But the take-out is the same. Broadly speaking, residential property continues to grow in value.
It’s great news for those who own their property but for those trying to save a deposit, seeing this goal inch further and further away is frustrating.
In 2026, there’s little reason to believe anything will change.
The Real Estate Institute of NSW will continue advocating for an increase in supply to address the housing affordability crisis in 2026.
In doing so, we recognise that while property remains a popular investment and wealth creation vehicle for many, even more importantly, a safe and secure home remains a basic need for everyone.
