In New South Wales, standout suburbs include Austral, Bathurst, Box Hill and Redfern, while Victoria’s list features Brunswick West, Footscray, Grovedale and Williamstown.
Queensland’s hotspots include Herston, Wavell Heights and regional centres like Cairns and Townsville, with Western Australia represented by Albany, Applecross and Baldivis among others.
South Australia’s picks include Brooklyn Park and Murray Bridge, while Darwin suburbs like Millner and Rapid Creek feature prominently after years of underperformance.
The list, compiled by a panel of industry experts, highlights suburbs undergoing significant change through gentrification, rezoning or demographic shifts, as well as markets with supply-demand imbalances and areas poised for a turnaround.
Two-thirds of the nominated suburbs are in capital cities, with the remaining third in regional locations.
The list includes suburbs across all price points, from areas with median house prices below $400,000 to premium locations exceeding $3 million.
REA Group senior economist Eleanor Creagh said many suburbs on the list are located within emerging growth corridors set to benefit from major infrastructure projects.
“Generally, price growth and investor interest tend to concentrate where new employment, upgraded transport, and new home delivery with anticipated population growth are intersecting,” Ms Creagh said.
Western Sydney features prominently on the list, particularly areas around the new airport and associated infrastructure corridor.
Queensland’s entries are split between inner Brisbane gentrification and the broader southeast Queensland growth story, with Olympic-tied infrastructure underpinning demand.
Darwin has emerged as a standout capital city after a decade of underperformance, with more suburbs on this year’s list than the previous three years combined.
Regional picks tend to focus on larger hubs with diversified economies supported by health, education, agriculture, logistics, and tourism, offering affordability compared to capital cities.
National home prices have risen for 11 consecutive months, according to PropTrack, boosted by falling interest rates, increased investor activity, and expanded government support for first-home buyers.
However, Ms Creagh noted that the pattern of growth is shifting beneath the national headline figures.
“Over the past year, Darwin, Hobart, Melbourne and Sydney have seen the fastest acceleration in annual gains, as previously softer markets regain momentum,” Ms Creagh said.
“Meanwhile, Brisbane, Adelaide and Perth continue to record strong price rises, but growth is no longer accelerating relative to this time last year.”
Rising inflation has caused many economists to revise their interest rate forecasts, with some now predicting the next move by the RBA could be up rather than down.
The Hot 100 suburbs were nominated based on several growth drivers, including affordability, amenity, family appeal, location, investment prospects, gentrification, population growth, demographic change, and infrastructure investment.
In New South Wales, many picks centre around the state government’s rezoning initiatives and the Western Sydney Airport. Suburbs like Austral, Box Hill, and Leppington are experiencing rapid population growth, while inner-city locations such as Redfern and Newtown continue to attract buyers seeking vibrant urban lifestyles.
Victoria’s nominations include established inner suburbs like Brunswick West and Footscray, alongside growth areas such as Clyde North and Cranbourne East.
Regional picks include Ararat, Mildura, and Geelong’s surrounding suburbs.
Queensland’s list features suburbs set to benefit from the upcoming Olympics, with infrastructure investment driving growth in areas like Herston, while affordability remains a key theme in outer Brisbane suburbs.
Western Australia’s strong market performance is reflected in nine nominations, all showing double-digit annual price growth for either houses or units.
South Australia’s picks highlight affordability as rapidly rising home prices put pressure on first-time buyers.
“Investors are watching tight rental conditions and the sense that the story still has room to run,” LJ Hooker’s Mathew Tiller said about Port Adelaide, reflecting a sentiment shared across many nominated suburbs.
“With interest rates now expected to remain on hold for an extended period, affordability constraints are likely to see price growth moderate throughout 2026,” Ms Creagh said.
