Biggest trends

Wider residential market starting to recover

Independent forecasters are typically predicting house prices will rise over the next two years. Early signs of recovery are shown through stronger sales volumes, although prices remain flat. In the short term, price growth has been held back by the large supply of homes currently on the market for sale.

Buyers distracted by high stock on market

Record-high levels of properties for sale are reducing urgency amongst buyers and making it hard to hold their attention. There is steady demand for good quality lifestyle property at different price points, but buyers have become sensitive to properties with perceived shortcomings.

Prices down but the peak not forgotten

Vendors with unrealistic price expectations remain a challenge for the market. Honest appraisals, supported by recent and relevant sales evidence, remain key to setting realistic expectations and providing the foundation for a successful sale.

Outlook for the next 12 months

Interest rates the one to watch

Lower interest rates are boosting confidence in the market and are likely to be the most important driver of the market in the short-term. At a bigger picture level, risks around tariffs and global trade have added uncertainty to the market.

Remote working and connectivity extends buyer reach

A combination of improved connectivity coupled with working-from-home trends will continue to enable lifestyle ownership for a more diverse buyer pool. The search areas for some buyers will expand as they become less sensitive to driving distances.

Lifestyle owners remain watchful

The government’s changes to regulations and investment priorities remain on the radar for lifestyle property owners. Key areas to watch are interventions around the zoning of land and availability of infrastructure to service development on the edge of urban areas.