Property values continue record run but pace slows

Australian values continued their incredible run of growth, notching up the 21st month in a row that deal sizes have risen.

And this winning streak came despite the first dip since January 2023 in the bellwether market of Sydney, which declined a miniscule 0.1% in the latest Home Value Index published by CoreLogic.

The affordable end of the market is bolstering average prices, according to CoreLogic, the leading industry researcher.

While the so-called “lower quartile” of house and unit prices increased 0.5%, the more expensive sectors fell 0.6% and have now dropped 1.1% in the past three months.

The national result is replicated across every capital city.

CoreLogic attributed the result to a cautious approach from upgraders, who might have expected interest rates to be more affordable at this stage in the property cycle.

Strong investor and first homebuyer activity continues to bolster the lower end of the market.

Despite continual predictions the Reserve Bank of Australia would drop the cash rate and reduce mortgages, current thinking suggests we won't see any movement until February or even May.

Another factor influencing prices is that total listings are now 13.2% above the five-year average in Sydney and 13% higher in Melbourne.

Auction rates have been hovering just under the 60% benchmark, indicating a cautious market.

Market conditions should not deter you exploring the possibility of selling your home. We continue to enjoy a strong environment of mortgage serviceability, suggesting there are more than enough buyers who can afford a quality home.

But you need an outstanding presentation to catch their eye. Below are six tips to prepare your home in our current market conditions:

Pricing Strategically: Competitive pricing is crucial. Overpricing is fatal. Work with your agent to set a realistic expectation whether you're selling by private treaty or auction.

Offer Flexibility: Be open to negotiations and consider offering flexible settlement terms to attract buyers.

Be Beautiful: Strong curb appeal is essential. A well-maintained exterior, tidy landscaping and a welcoming entrance create a positive first impression.

Stage for Success: Hire a staging contractor to organise your home to look its best.

Target Marketing: High-quality photos and virtual tours should underpin your sales campaign. Ensure your property is presented in the best possible light.

Build a Partnership: Select an agent with a proven track record in your local market. You want to be convinced of their marketing knowledge and communications skills, and be confident they'll guide you in any negotiation.

Paulette Contessi 

Director / Licensee

CONTESSI PROPERTIES