Home prices in Australia has risen for the fourth consecutive month in September, in what could be a confirmation that the rate cut is finally taking effect.

In the latest RP Data Rismark Home Values Index released on Tuesday by the property research firm RP Data, across Australia's eight state and territory capitals, house and apartment prices jumped 1.4 per cent in September from a month ago, the highest since March 2010.

The Brisbane-based researcher likewise noted that the latest figures showed an increase of 2 per cent in the three months ended Sept. 30 from the previous quarter.

According to the RP Rismark Home Values Index, the strongest price gains were recorded in Adelaide at 2.4 per cent, followed by Perth at 1.6 per cent, Sydney at 1.5 per cent, Melbourne at 1.4 per cent and Brisbane at 1.1 per cent.

The aggressive interest rate cuts made by the Reserve Bank of Australia in May and June, which amounted to 75 basis points, led to the steady improvement in Australia's house prices.

"It's no coincidence that housing market conditions bottomed out at the end of May, after the Reserve Bank cut the official cash rate by 50 basis points," Tim Lawless, research director at RP Data, said in a statement.

"A further cut of 25 basis points in June and the anticipation of further rate cuts in the pipeline appear to have instilled renewed confidence in the housing market."

The RBA is expected to meet today, Tuesday.

"This renewed strength in the housing market is likely to be one of the key deliberation points," Mr Lawless said.

"The bank will want to keep a lid on housing prices from a financial stability perspective, while at the same time ensure interest rates are low enough considering the decline in commodity prices and Australia's terms of trade," he said.