Australia real estate market: Suburbs in Melbourne, Sydney and beyond where house prices got cheaper, including Milson’s Point and Prahran

Dwelling values have fallen this year in a handful of sought-after inner city suburbs of Sydney and Melbourne, bucking the broader trend.

Property prices broadly have been rising as three interest rate cuts have made buyers more confident and increased the amount of money they can borrow and spend at auction, but not in every neighbourhood.

Since the end of February, dwelling values have fallen by 7.1 per cent in Sydney’s lower north shore suburb of Milsons Point and 6.3 per cent in neighbouring Kirribilli, Cotality data shows.

In Melbourne, property values have fallen in affluent Armadale in the inner south east, down 5.1 per cent, and 4.5 per cent in neighbouring Prahran. In the inner north, Carlton values also fell 4.5 per cent.

Cotality head of Australian research Eliza Owen said s