According to CoreLogic’s daily dwelling values index, Sydney home prices have now fallen 13.0% from their mid-February 2022 peak, with 12.4% of this price decline occurring after the Reserve Bank of Australia’s (RBA) first interest rate hike in early May:

Values down 13.0% from the mid-February 2022 peak.
While the quarterly pace of decline has moderated from the 6%-plus rate posted in September and October, Sydney values are still plummeting at a hefty 4% quarterly rate:

Sydney home values still falling fast.
At this rate, Sydney housing will exceed its largest ever 17.4% peak-to-trough price fall recorded in 1982-83 sometime in April 2023:

Sydney headed for largest home price decline on record.
Given the RBA is expected to lift interest rates further over coming months, and that nearly one quarter of mortgages (by value) will this year reset from ultra-cheap fixed mortgages to rates that are around double their current level, it seems likely that Sydney home values will fall by at least 20% peak-to-trough over this cycle.
Sydney is the nation’s most expensive housing market with the most mortgage indebted households.
Accordingly, Sydney faces the nation’s deepest price declines in response to the RBA’s ultra-aggressive monetary tightening.