“Melbourne was a little slower because prices didn’t move as quickly … because of lockdowns, but it now seems to be showing quite a lot of catch up,” she said.

Victoria’s house price record was smashed twice in one week last month. A knockdown-rebuild mansion in Toorak sold for more than $80 million, while another sold for almost $75 million.

While the luxury market across Australia was cooling, demand for rare homes would always outstrip supply, Conisbee said.

In Sydney, Mosman had the most sales above $10 million last financial year, at 38, followed by Vaucluse (36), Bellevue Hill (25), and Woollahra (17).

The highest sale in Sydney this year was by corporate lawyer John Landerer and his wife Michelle, whose Vaucluse mansion sold for more than $62 million.

In another standout sale, medical entrepreneur Dr Glenn Haifer paid more than $60 million for the Darling Point residence of Lisa Allen, former wife of yachtie Matt Allen.

The Agency’s Ben Collier said prices had soared after the first lockdown, due to strong demand, a lack of supply, and historically low interest rates. But there was a shift in the market late last year, as supply and expectations for rate rises increased.

“When rates started to climb we saw an immediate impact on the sub $5 million bracket ... but as rates continued to climb we saw that spread into the sub-$10 million bracket and into the mid teens,” Collier said, but added the market shift had been followed by a drop in listings.

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“People are thinking, I won’t choose to list my property now that the market is not as good …we are still seeing high levels of supply under $5 million, but when you’re talking about 10 plus, we’ve seen [the number of listings] drop, so prices have stabilised,” he said.

Pillinger’s Brad Pillinger said luxury home buyers were less affected, but not entirely immune, from rising rates and economic changes. He was still fielding solid demand from prestige buyers, but there was limited supply.

“There is just a lack of choice which then keeps prices up. I think the quantity of sales has decreased, I’m not sure about prices though,” he said.

In Melbourne, where the research set the luxury benchmark at $5 million, Brighton (67) had the most high-end sales, followed by Toorak (62) and Hawthorn (29).

Michael Armstrong, a partner at Jellis Craig Stonnington, said last year was the strongest market most agents had ever seen, and had been fuelled by cheap credit and people who had made money from equities and property.

Those dynamics had changed, but the luxury market was less affected by shifting rates or economic conditions. Most high-end homeowners were now sitting on their hands, resulting in a shortage of homes for sale, which was supporting prices.

Armstrong said prices in the $5 million to $10 million range had come back a little but not by the amount seen at other price points, as turnover was down so much.

“People aren’t willing to part from their trophy home in a down market,” he said.