Canberra house values rose slightly in September while unit values dropped.
Homes in the capital are the second most expensive in the country after Sydney, with a median value of $836,327.
However, buyers shouldn't be too sad, as Canberra prices are growing at a much slower pace than all but two other capital cities - Hobart and Darwin.
There were also more properties on the market in the last month than usual.
Only one area of Canberra has seen a rise in house price values in the last year. Molonglo homes are costing 5.6 per cent more than the same time last year, while homes in every other area have dropped - from -2.2 per cent in Tuggeranong to -4.3 per cent in Gungahlin.
Overall, Canberra house prices grew by 0.4 per cent, while units are 0.4 per cent cheaper than the month before. Dwelling prices rose by 0.2 per cent in the last month, 0.4 per cent in the last quarter but have dropped by 0.2 per cent this year to date.
There is a way to go before the massive peak in values last year is matched, Corelogic research director Tim Lawless said.
"Hobart and Canberra have the furthest to go before staging a nominal recovery, with dwelling values remaining 12.4 per cent and 7.0 per cent below their cyclical highs from last year," he said.
Canberra prices hit a low in March 2023, and have only risen by 0.9 per cent since then.
There are a fewer buyers in the capital, as people struggle with housing affordability, and it becomes harder to apply for loans with high interest rates.
Many Canberrans will also be struggling to pay rent, as they rose by 3.9 per cent in the last month. Annually though, rents for houses has dropped by 4.1 per cent and units by 0.3 per cent.
Nationally, the portion of household income dedicated to servicing a new mortgage is approaching new record highs of 45.5 per cent.
The portion of income dedicated to paying rent on a new lease is also reaching extreme levels, at 31.4 per cent.
Nationally, prices for both houses and units rose by 0.8 per cent last month.
The slow rise is partly driven by fewer demand for the most expensive dwellings, with the premium market struggling, Mr Lawless said.
Australia's housing undersupply is looking to get worse before better, Corelogic said. Annual dwellings approvals are at a ten-year low, except for mid-2020.
