The number of suburbs where houses are fetching $1 million or more has jumped by 18.9 per cent nationwide in the past 12 months in defiance of the price correction sweeping the broader market.
CoreLogic data shows there are now 1120 suburbs across the country where median house prices are sitting at or above $1 million, a total boosted by the addition of 178 suburbs that crossed the mark over the year to August.
Sydney’s outer suburbs such as Austral and Edensor Park have joined the ranks of million-dollar suburbs. 
The surge in million-dollar house markets largely reflected the shifts in housing preferences through the pandemic, CoreLogic’s Australia head of research Eliza Owen said.
“This particular premium on detached houses has been more apparent over the course of the pandemic upswing, where there was a larger share of owner-occupiers seeking space to work from home,” Ms Owen said.
These suburbs have not been immune to the falling market, but have been less affected by it.
The average house market that entered the million-dollar club over the past 12 months posted a fall in value of about 2.3 per cent in the three months to August, lower than the 3.4 per cent decline nationally.
Their average median value is $1,069,674, suggesting that values would need to decline another 6.5 per cent on average to be knocked back below $1 million, according to Ms Owen.
I wouldn’t be surprised to see the count of million-dollar house markets shift lower in the coming months.
CoreLogic’s Eliza Owen
But the gains might be temporary for many, as higher interest rates could push several suburbs off the list as price falls accelerate.
“I wouldn’t be surprised to see the count of million-dollar house markets shift lower in the coming months given the pace of rate rises,” Ms Owen said.
“As long as rates are rising, we see property values declining on a more broad basis. This would lead to more markets falling out of the million-dollar-plus categories.”
Across NSW, 519 suburbs now command a million-dollar median house price, up by 66 suburbs or 14.6 per cent from the year ended August.
Queensland added 57 suburbs to its 187, which is a 43.8 per cent jump over the previous year, while 28 suburbs in South Australia crossed the million-dollar mark, lifting the total by 60.9 per cent to 74.
The ACT gained 12 suburbs, taking the total to 49, WA added 9 suburbs to 59 and Tasmania expanded by three suburbs to nine.
In Sydney, 21 suburbs in the outer ring areas of Blacktown, upper north shore, outer west and south-west now fetch million-dollar median house prices as growth rippled out from the costlier markets across the more central part of the city.
These include south-western suburbs Austral, Edensor Park and St Johns Park, where house values jumped by 16.1 per cent, 15.6 per cent and 13.4 per cent in the past 12 months, respectively.
“These are still high-value markets. However, they may still cyclically lag the more expensive markets across more central parts of Sydney,” Ms Owen said.
“So the fact that million-dollar house markets have increased across Sydney may at least in part reflect that lagged nature of some of the fringe suburbs of the metropolitan.”
In Melbourne, only four suburbs in the northwest and southeast including Pearcedale, New Gisborne and Clarinda joined the million-dollar club after prices rose by 7.1 per cent, 2.1 per cent and 2 per cent, respectively.
Brisbane added 36 new million-dollar suburbs with the bulk coming from the south, west and east of the capital. Among them are Park Ridge South and Chambers Flat in the Logan-Beaudesert area and Parkinson in the south, where house values surged by 31.9 per cent, 26.9 per cent and 26.5 per cent respectively.
By contrast, the number of unit markets with a million-dollar median has dropped by six suburbs to 99 nationwide, or 5.7 per cent from a year ago.
Suburbs that have fallen under the million-dollar mark for units include relatively affluent areas such as Pymble, Wahroonga in Sydney’s upper north shore, Dee Why in the lower north shore and Beecroft in the north.
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