After the Reserve Bank of Australia cut interest rates, Australian house prices continued to rise.

Australian house prices have risen for the fourth consecutive month, driven by rate cuts from the Reserve Bank of Australia, with more expected later this year. Real estate consulting company Cotality stated in a release that the house price index rose by 0.5% in May, with increases recorded in all major cities. The benchmark Sydney market rose by 0.5%, while Melbourne rose by 0.4%. Research director Tim Lawless said, "The sustained momentum we are seeing in almost all markets is undoubtedly being driven by rate cuts, whether those that have already occurred or those expected in the coming months. With rates dropping again in May, we are likely to see further positive impacts on housing values in June and for the remainder of the year." Financial market pricing suggests that the Reserve Bank of Australia will cut rates three more times this year, bringing the cash rate from the current 3.85% to 3.1%.