Key Market Trends
- Declining Prices in Major Capitals: Sydney and Melbourne led the decline, with Sydney prices down by 0.6% and Melbourne by 0.7%. Both cities are adjusting after prolonged periods of growth, providing a more balanced market for buyers.
- Brisbane’s First Dip in Two Years: Brisbane’s property market saw a slight decline, ending a 25-month growth streak. Median prices for houses and units dropped by 0.02% and 0.12%, respectively.
- Annual Growth Still Positive: Despite the recent dip, 2024 saw a 4.9% annual increase in property values, translating to approximately $38,000 added to the median home value over the year.
What’s Driving These Changes?
- High Interest Rates: The Reserve Bank of Australia’s interest rate hikes to 4.35% have impacted borrowing capacity. However, potential rate cuts in 2025 may shift the landscape again, creating a window of opportunity for early movers.
- Increased Listings: A rise in property listings, combined with cautious buyer activity, has contributed to the cooling trend, particularly in Sydney.
- Affordability Challenges: Buyers are carefully weighing high borrowing costs against the potential for declining prices, leading to more selective purchasing decisions.
Opportunities for Buyers and Investors
The recent cooling may provide strategic opportunities:
- For First-Home Buyers: With prices stabilising, now might be the time to secure your first property.
- For Investors: Market dips can offer a chance to acquire high-quality assets at more reasonable prices.
- For Upgraders: If you’re considering upgrading your home, this could be a good time to negotiate a favourable deal.
How Mankin Finance Can Help
At Mankin Finance, we specialise in helping clients make informed decisions in a dynamic market. Whether you’re looking to secure a home loan, refinance, or explore investment opportunities, our team provides personalised advice to help you achieve your financial goals.
Take the Next Step Today
Don’t let market uncertainty hold you back. Contact Mankin Finance for a free consultation and let’s discuss how we can help you turn these market conditions into opportunities. Our experienced brokers are ready to guide you through the complexities of home financing, ensuring you’re well-positioned for success.
