Is Now The Right Time To Sell? What The Latest Property Forecasts Reveal

Australia’s real estate market is bracing for some big changes, and emerging conditions have potential sellers closely watching.

When’s the best time to sell is always the big question for those considering putting a property on the market.

Right now, there are several indicators in Australian markets that might suggest the time has come for sellers on the east coast to start gearing up.

In late July, Victoria’s auction clearance rates soared to an impressive 70%, signalling a significant resurgence in the Melbourne market after several years of subdued activity.

This positive trend is mirrored beyond Victoria, with New South Wales and Queensland also witnessing robust clearance rates.

The benchmark could be one indicator that a seller’s market is emerging in Australia’s southeastern states, with stronger demand and the potential for rising prices.

Auction clearance rates are rising in Australia’s southeastern states. Image: McGrath Estate Agents.

---

Price growth projections

High auction rates tend to lead to more competition and higher prices, which could suggest promising times ahead for sellers, according to Michelle Ciesielski, Head of Residential Research at McGrath Estate Agents.

“That 70% clearance rate mark is always a good indicator to suggest that we’re now in a seller’s market,” she shares.

“We’re moving into a period where selling is likely to become a much more appealing aspect for people who have previously been putting it off.”

Exclusive McGrath research has forecast higher prices ahead in all major Eastern cities starting from this year.

Melbourne is expected to see prices rebound, with a projected 1% growth in 2025 and a robust 4% by 2026, she explains.

“Certainly, Melbourne is in a much better position for sellers than it was last year and these lead indicators are showing that there’s appetite there from buyers—including property investors who are coming back into the market,” Ms Ciesielski says.

Greater Sydney is also on a solid growth trajectory, with a forecast 4% in 2025 and 6% in the following year.

Greater Brisbane remains a standout for sellers after a stellar 13.3% growth in 2024 and predicted price increases of 7% this year and 8% in 2026.

Ms Ciesielski notes the higher forecasts are being driven by several factors.

“We are definitely moving to a lower interest rate environment and that’s obviously having an impact on the residential market,” she says.

“There are people that have just been waiting on the sidelines and with that anticipated interest rate cut in August there’s a wave of that fear of missing out, which people have experienced in the past. Buyers are starting to come back into the market now.”

At the same time strong population growth continues coupled with construction bottlenecks continue to drive demand—which can all work to a seller’s advantage.

Research from McGrath Real Estate Agents forecast rising prices in Australia’s eastern capital cities. Image: Getty.

---

Should I sell in 2025 or 2026?

Marguerite Foxall, McGrath’s Victorian and Tasmanian State Manager notes things are looking positive for sellers moving forward so there’s no need to rush.

But there may be benefits for acting sooner rather than later—especially for those wanting to upgrade before prices really take off.

“Depending on your location and objectives, some sellers might consider listing before spring to secure a settlement, allowing them to start searching for a new home when more properties hit the market during spring,” Ms Foxall says.

Others might choose to wait until summer to take advantage of the traditionally slower season and to better understand the effects of potentially lower interest rates.

“It ultimately depends on each seller’s goals and the dynamics in their local area. That’s why having a supportive and knowledgeable agent is crucial,” Ms Foxall explains.

“Our agents have the expertise to navigate sellers through the entire process.

“They have in-depth local knowledge to help determine the right timing for listing and how to prepare your property for optimal results.

“They also excel at marketing properties effectively and attracting quality buyers to ensure the best outcomes.”

Speaking to an expert like a McGrath agent can help you understand when the right time to sell is. Image: Getty.

---

Regional vs metropolitan

While Australia’s major cities are gearing up for significant market activity, areas beyond the urban centres are expected to thrive as well.

Ms Ciesielski predicts that regions outside Melbourne, Sydney, and Brisbane—which experienced a boom during the COVID-19 period but have since slowed—will see a rise in listings and prices again, though not as intensely as the metropolitan markets.

“What we have seen in the last quarter or two is that regional growth has come back into the equation,” she says.

In Victoria, she points out that while Melbourne will naturally dominate in terms of actual sales, regional Victoria outpaced greater Melbourne in terms of sales activity growth when looking at the number of annual sales over the past year.

“Regional Victoria saw a 22% growth, compared to just 4% in greater Melbourne.

“I suspect over the coming year we’ll see that Melbourne sales will be on an upward trajectory, because of the relative value investors will see in that Melbourne market,” she says.

She notes that it is unlikely that regional areas will fall off completely, highlighting the potential impact of older buyers making their next move to regional areas, according to McGrath data.

“I see more interest in those regional towns that aren’t necessarily commutable, that downsizing or tree change population,” she says.

According to Ms Ciesielski prices in regional areas will also be on the up, but nowhere near that of the metropolitan areas.

McGrath forecasts show regional Victoria is projected to achieve a steady 1% growth by 2026.

Regional New South Wales will keep its strength with a 1-2% increase this year and next year.

While regional Queensland will remain a standout with forecasts of 7% increases in 2025 and 5% in 2026.