Adelaide, Perth and Hobart: The Smaller Capitals Are Cooling Too
Adelaide, Perth and Hobart have each pulled back from their own recent price peaks since July 2026. Adelaide down 1.6% from a May peak, Perth down 3.2% from an April record, and Hobart still 1.1% below its March 2022 high.
Raj Bhangu
Principal Mortgage Broker
Key Takeaways
- 1Adelaide has fallen 1.6% from its May 2026 peak, with the pace accelerating from -0.2% in July to -0.8% in August.
- 2Perth has fallen 3.2% from its April 2026 record high, the steepest peak-to-trough decline of the three cities, despite still leading the country on annual growth.
- 3Hobart sits 1.1% below its record high set back in March 2022, the longest-running correction of any Australian capital city.
- 4Adelaide's auction clearance rate swung from 36.2% to 46.2% across two consecutive weeks in September, reflecting genuine volatility rather than a clean trend.
- 5Perth and Hobart are both predominantly private-treaty markets, meaning weekly auction clearance statistics provide far less insight than they do in Sydney or Melbourne.
- 6All three cities still show positive annual growth, Perth and Adelaide notably so, meaning current falls are pullbacks from strong run-ups rather than sustained multi-year declines.
Related Tool
Borrowing Power Calculator
Find out how much you can borrow at current rates and conditions.
Sources & References
This article references information from the following authoritative sources:
Raj Bhangu
Principal Mortgage Broker
Raj Bhangu is the principal broker at iSmart Finance Group, specialising in investment property finance and helping clients navigate changing market and regulatory conditions across Sydney and beyond.
Transparency & Disclosures
Commission Disclosure
As a mortgage broker, iSmart Finance receives commissions from lenders when we successfully arrange a home loan. This does not affect the interest rate or fees you pay. Our service is free for you, and we're committed to finding the best loan for your needs.
About iSmart Finance
iSmart Finance Group ACN 608 986 554 is Credit Representative 481761 of BLSSA Pty Ltd ACN 117 651 760 (Australian Credit Licence 391237). We are members of the Finance Brokers Association of Australia (FBAA) and comply with the National Consumer Credit Protection Act 2009.
Our content is based on industry expertise, regulatory guidelines from ASIC and APRA, and data from the Reserve Bank of Australia. All information is current as of the publication date and subject to change.
RBA Rate Alerts
Be first to know when rates change