The Economy, Stupid Will house prices go up in 2026?
Jan 22, 2026
Join Amy Auster, Director of Policy Institute Australia with extensive experience in economic policy, and Ben Phillips, Principal Research Fellow at ANU specializing in housing, as they explore the future of Australia's housing market. They discuss the surprising resilience of home prices, the impact of recent inflation trends, and the ongoing challenges in building enough homes. The duo debates necessary tax reforms to enhance housing access and warns against cutting immigration, emphasizing its importance for growth. Their insights on 2026 budget priorities are essential for understanding what's next.
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Tariff Damage Is Slow Burn
- Amy Auster argues US strength came from successful Fed rate hikes and fiscal stimulus despite harmful tariffs.
- She warns tariff damage is slow and may reduce US GDP growth over years rather than immediately.
Rate Expectations Drive House Prices
- Ben Phillips and Amy Auster link Australia's recent house price rise to rate cuts, expectations of lower rates, and the 5% deposit scheme.
- Ben notes if markets think rates won't fall further, that expectation may slow future house price growth.
Deposit Scheme Pushed Lower-End Prices
- The 5% new-home deposit scheme appears to have pushed up prices at the lower and middle ends of the market.
- Analysis showed stronger growth in lower-price segments where the scheme applies.