Brett Warren , National Director – Metropole Group
The latest CPI quarterly data shows inflation rose 1.3% in the September 2025 quarter, lifting annual inflation to 3.2%, according to the ABS.
While headlines often focus on rising costs, this shift actually reflects a resilient economy and that’s good news for property buyers and investors.
Electricity prices surged, yes, but that’s partly due to the winding down of government rebates. Meanwhile, strong demand for travel, recreation, and housing points to confident consumer spending and a population still investing in lifestyle. These are classic signs of economic momentum.
For homebuyers, this environment offers a window of opportunity. Rising inflation often precedes further upward pressure on rents and property values – especially in areas with tight supply and strong demand. If you’re looking to enter the market, now’s the time to focus on quality assets in growth corridors.
Investors should also take note. With services inflation climbing – particularly in rents and healthcare – well-located investment properties with strong tenant appeal are likely to perform well. Energy-efficient homes and lifestyle-rich locations are becoming increasingly attractive, not just for cost savings but for long-term value.
Trimmed mean inflation, which filters out volatile price movements, also rose for the first time since 2022. That suggests underlying strength, not just short-term spikes.
In short, inflation isn’t just a cost, it’s also a signpost. It tells us where demand is building, where confidence is returning, and where smart property decisions can lead to long-term gains with the right professional advice.
