With interest rates stabilising, borrowers can more confidently plan their finances and their large scale purchases, such as property. This leads to an increase in buyers in the market, as consumer confidence grows thanks to unchanging mortgage repayments while rates remain unchanged, or drop. However, the consequence of an increase in buyers means limited supply.

Limited supply may also lead to an increase in prices. Less homes available to buy lead to more buyers competing to purchase the same properties, creating bidding wars. In markets with limited inventory, homes become a scarce resource, leading buyers to see them as more valuable simply because there are fewer available, causing them to pay what’s called a “scarcity premium.”

Experts are predicting median house prices in Melbourne could remain around $950,000 in 2025, signalling a recovery from the last few years’ downturn in prices. In 2025, as the things move towards a seller’s market, property owners will have more power in negotiating a higher purchase price with potential buyers, leading homes to be sold for higher than their listing price.

At Bayside Real Estate Advocates, we understand that purchasing a property is one of the largest financial transactions you will ever make, so you want to make the right purchase at the right price. As a buyers advocate, we offer a range of different options for you, our buyer, depending on your situation and needs.

We complete a thorough analysis of property prices that align with your budget in the suburbs you want to live in, and we can source both off-market and on-market opportunities. We’ll attend numerous open for inspections before presenting you with a shortlist of properties, as well as completing due diligence to ensure the homes match your needs, before commencing elite levels of negotiation to secure the property you want, saving you tens of thousands or even hundreds of thousands of dollars on your new home purchase.