Sydney’s property market has always been competitive, but the game is evolving.
Today, quality matters more than ever, and buyers are laser-focused on finding homes and apartments that offer more than just a place to live—they want a place that enhances their lifestyle.
Sydney buyers are no longer settling for just any home. They’re seeking properties with high-quality finishes, smart designs, and family-friendly features.
This shift isn’t just about personal preferences; it’s driven by market conditions.
Despite a slight increase in new listings, the supply of available homes is still tight, making competition fierce.
When supply is limited, buyers want to ensure they’re getting top value for their investment.
Recent data highlights this trend. According to CoreLogic, new listings rose by just 0.5% over four weeks in July 2024 compared to the previous year.
Yet, this modest increase has done little to ease demand.
With fewer homes on the market, prices continue to climb—dwelling values jumped by 1.1% in the June quarter and 6.3% over the past year.
But there’s a glimmer of hope for buyers. The PropTrack Home Price Index for June 2024 shows that while home prices reached a new peak, the rate of growth is slowing.
Prices rose just 0.18% nationally in June, the slowest monthly pace in 18 months.
In the current market, family-friendly apartments are more in demand than ever.
With Sydney’s rental market under pressure —vacancy rates are at historic lows, and rents are rising—families are turning to apartments that offer space, amenities, and community.
These aren’t just places to live; they’re homes where families can thrive.
Features like multiple bedrooms, ample storage, and proximity to parks and schools are now top priorities for many buyers.
Recent economic changes are also influencing the market. The stage three tax cuts, which took effect in July 2024, are giving buyers more borrowing power.
A homebuyer earning $100,000 a year will see a $2,179 tax cut, boosting their borrowing capacity by about $25,000.
Similarly, a buyer earning $150,000 will save $3,729, allowing them to borrow roughly $37,000 more.
While this increase in borrowing power is a double-edged sword—bigger budgets can lead to higher prices—it also provides a much-needed boost for first-home buyers.
However, this won’t cause prices to skyrocket overnight. Instead, it’s likely to support steady price growth, especially in high-demand areas where quality homes are scarce.
So, where is Sydney’s property market headed?
As more homes hit the market and growth continues to slow, buyers may have more options.
But quality will remain the gold standard.
Properties that offer high-quality living spaces and cater to the needs of modern families will stand out.
This trend isn’t just about market dynamics; it reflects a deeper shift in what buyers value in a home.
For those looking to buy, the message is clear: focus on quality.
In Sydney’s competitive market, it’s not just about finding any home—it’s about finding the right one.
With the right strategy, you can secure a property that meets your needs and holds its value.
Let me help you navigate Sydney’s property market with confidence and clarity.
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Till next time,
Belinda
Property Valuer, Strategist, Advisor and Registered Tax Agent (& TikToker) Belinda is a certified practising property valuer with over 17+ years of professional experience, inspecting about
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