The Property Pulse: Which Markets Are Beating Strongest This Year

Stand at a Saturday open home in Adelaide or Perth right now and you will feel the energy. Crowds aren’t just curious buyers. They are a reflection of something bigger, the shifting balance of economic strength across the country.

The latest State of the States report makes one thing clear: performance isn’t even. Western Australia is leading the nation, South Australia has made a surprise jump, and Queensland continues to hold its ground. For investors, those rankings are more than bragging rights. They are a map for where property opportunities are ripening fastest.

Western Australia: Momentum That Refuses to Quit

WA has cemented itself as the nation’s top economic performer, leading on retail spending, housing finance, and equipment investment. Strong migration into Perth, combined with a resilient job market, is fuelling demand for housing. For investors, this creates a potent mix of rental demand, capital growth potential, and long-term population support.

South Australia: The Quiet Achiever Steps Into the Spotlight

South Australia has surged into second place on the back of construction activity and a burst of consumer confidence. Adelaide’s housing market, already known for affordability compared with Sydney and Melbourne, is now enjoying above-average home price growth, up 8 per cent over the year to June. Investors who once dismissed SA as too slow may want to take another look.

Queensland: Sunshine State, Still Solid

Queensland remains a reliable performer, ranking strongly on housing finance and unemployment. The state’s property market continues to attract interstate migrants seeking lifestyle and relative affordability. Brisbane in particular is benefitting from infrastructure upgrades ahead of the 2032 Olympics, a long-term driver of property demand.

New South Wales and Victoria: Not Out, But Not Leading

NSW and Victoria are no longer the automatic frontrunners. Both states are weighed down by weaker housing finance and slower consumer spending. That said, Sydney and Melbourne remain international cities where scarcity plays a role. Investors here need sharper strategies, such as targeting suburbs with infrastructure improvements or those within top school catchments.

Why Economic Rankings Matter for Investors

Economic momentum trickles down to property. Stronger job markets mean fewer vacancies. Higher population growth translates to sustained rental demand. And construction activity points to the infrastructure that underpins long-term value. Ignoring these shifts is like investing blind.

The Bottom Line

Western Australia and South Australia are the current standouts, with Queensland close behind. These markets are not speculative plays. They are backed by economic fundamentals. For investors deciding where to buy in 2025, following the data may prove more rewarding than following the crowd.

Ready to explore the best opportunities in today’s market? Talk to the team at Property Club - enquiries@propertyclub.com.au

Source: CommSec, State of the States, July 2025