Happy New Year
Welcome to our January update we hope you all had a great festive period and a great New Year, a big one for Fox Mortgages as we celebrate our 10th anniversary. We’d like to thank you for being part of our journey and we look forward to assiting you in the coming years.
This year we will continue to try and support our local community and have committed again to be the sponsors of Yanchep United Football Club and Joondalup Athletics Centre. We will slo continue to raise funds and support the great work at Solaris Cancer Care.
🏡 Thinking About Buying in 2026? Let’s Start Planning Now
As we kick off 2026, many Australians are setting new goals — and for plenty, that includes stepping into the property market.
If buying a home or investment property is on your radar this year, now’s the perfect time to start planning your next move.
📈 Looking Back at 2025
Last year was another strong one for Australian property. According to Cotality’s Home Value Index, dwelling values rose by 8.6% in 2025, adding roughly $71,400 to the national median home price.
Several factors drove this growth — including three cash rate cuts, renewed investor confidence, and the federal government’s expanded Home Guarantee Scheme (now known as the 5% Deposit Scheme).
However, as 2025 drew to a close, the pace of growth began to cool in most markets. With inflation, interest rates, and affordability concerns all still in play, many experts are forecasting a softer start to housing trends in early 2026 and the potential for the RBA to raise the cash rate.
💬 What Does This Mean for Buyers?
If property ownership is one of your 2026 goals, early preparation is key. Getting clear on your borrowing capacity, deposit requirements, and finance strategy now can help you move quickly when the right property comes along.
Our team can:
- Review your current financial position
- Help you understand your borrowing options
- Organise pre-approval so you’re ready to make a move when opportunities arise
Even if you’re just in the early stages of planning, a chat with us can give you clarity and confidence heading into the year.
💰 Interest Rate & Inflation Update
The latest inflation figures show progress — the Consumer Price Index (CPI) rose 3.4% in the year to November 2025, down from 3.8% in October. In December, RBA governor Michele Bullock flagged a possible rate increase if inflation could not be contained.
The trimmed mean inflation rate also eased slightly to 3.2%, suggesting a gradual retreat from last year’s peaks.
However, the outlook remains mixed. The Reserve Bank of Australia (RBA) meets on 3 February for its first policy announcement of 2026, and the Big Four banks are split — some expect rates to hold, while others are predicting a 0.25% increase.
With rate uncertainty still in the air, now is an ideal time to review your current mortgage to ensure it’s still competitive.
We can compare your home loan against the wider market and help identify potential savings.
🏠 Home Value Movements
Cotality data shows national dwelling values rose 0.7% in December 2025, the smallest monthly rise in five months.
Sydney and Melbourne both recorded a modest 0.1% decline, their first dip since early 2025. Meanwhile, other capitals and regional markets continued to rise, albeit more moderately.
Here’s a quick snapshot:
| State | Auctions | Clearance Rate | Private Sales | Monthly Change |
|---|---|---|---|---|
| VIC | 16 | 69% | 1030 | ▼ –0.1% |
| NSW | 5 | 20% | 615 | ▼ –0.1% |
| ACT | 0 | — | 33 | ▲ 0.3% |
| QLD | 9 | 44% | 823 | ▲ 1.6% |
| WA | 7 | 43% | 541 | ▲ 1.9% |
| NT | 0 | — | 14 | ▲ 1.7% |
| TAS | 0 | — | 128 | ▲ 0.9% |
| SA | 14 | 71% | 208 | ▲ 1.9% |
(Figures current to 31 December 2025)
🌇 Perth Market Update — January 2026
Perth continues to be one of Australia’s most resilient property markets, outperforming many eastern states as tight supply and strong demand keep prices rising.
According to the latest Cotality Hedonic Value Index: (2nd January 2026):
- Median price: $940,635 — up 1.9% in December and 15.9% higher year-on-year
- Median house price: $983,068
- Median unit price: $677,722
- Active listings: 2,427 properties (REIWA: up from 2,242 4 weeks ago and down from 4,779 a year ago)
- Weekly sales: 487 transactions this week (down from 695 4 weeks ago and 664 a year ago)
- Median rent: $700 per week — reflecting strong rental demand and low vacancy rates (currently around 0.6%)
The combination of low stock levels and high population growth continues to underpin Perth’s momentum heading into 2026. For buyers, this means competition remains fierce, and being buy ready is more important than ever to move quickly when opportunities arise.
⚠️ New Lending Rules Coming in February
From February, APRA (the Australian Prudential Regulation Authority) will introduce new limits on high-debt lending.
Lenders will be capped at issuing no more than 20% of new loans to borrowers with a debt-to-income (DTI) ratio of six or more.
This applies separately to both owner-occupier and investor loans.
If your borrowing needs might fall into this category, it’s important to act sooner rather than later — before the new lending caps could affect your options.
💡 Let’s Turn Your 2026 Property Goals into Reality
Whether you’re buying your first home, upgrading, or adding to your investment portfolio, Fox Mortgage Services can help you:
✅ Understand your borrowing power
✅ Navigate lending changes with confidence
✅ Find a loan that suits your strategy and goals
Get in touch today to start mapping out your 2026 finance plan — and make this the year you take your next property step with confidence.
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