Sydney Property Prices Are Rising in 2025 – What It Means for Home Buyers
Listings Are Up – Is Now the Time to Buy in Sydney?
After a long stretch of tight supply, Sydney’s property market is heating up again. Home prices are rising, and listings are following suit. So, if you’re house hunting in 2025, what does this mean for you?
Over the past year, buyers have faced a challenging market—prices dipped briefly, but so did the number of homes for sale. Now, that’s changing.
According to Cotality (formerly CoreLogic), Sydney home values rose 0.6% over the past 28 days, marking the strongest growth since March 2024. Meanwhile, auction clearance rates have rebounded to over 70%, showing renewed buyer confidence.
Let’s explore what’s driving this shift—and how it could impact your buying journey.
What’s Fuelling the Sydney Market in 2025?
Interest Rate Cuts Are Boosting Buyer Confidence
The Reserve Bank of Australia (RBA) has already delivered two interest rate cuts this year, with another expected in July. This has brought the official cash rate down to 3.60%, with forecasts suggesting it could fall to 3.10% by year-end.
Lower rates are increasing borrowing capacity, giving buyers more purchasing power and encouraging sellers to list their homes.
High Demand Meets Rising Supply
Sydney has seen a 5.2% increase in for-sale listings over the past year—bucking the national trend of declining listings. This means more choice for buyers, but also a more competitive environment as demand remains strong.
Factors driving demand include:
- Elevated migration into Sydney
- A tight rental market, pushing renters to buy
- Government incentives, such as the upcoming 5% deposit scheme for first-home buyers in 2026
What This Means for Sydney Buyers in 2025
More Listings = More Opportunity
If you’ve been waiting for the right time to buy, 2025 could be your window. With more homes on the market and interest rates easing, you’ll have a better chance of finding a property that suits your needs—before prices climb further.
But don’t wait too long. Analysts expect Sydney property prices to rise between 3% and 7% by early 2026.
Get Your Finances in Order
Before you make a move, it’s essential to have your finance sorted. Knowing your borrowing capacity and securing pre-approval will help you act quickly and confidently.
At CBM Mortgages, we help Sydney buyers:
- Understand their loan options
- Navigate interest rate changes
- Avoid costly delays—like in this case study on settlement penalties
Ready to Buy in Sydney? Let’s Talk
With the Sydney market gaining momentum, now’s the time to act. Whether you’re a first-home buyer or upgrading, we’ll help you find a mortgage solution that suits your goals.
Call us today on 02 8068 0534 or visit CBM Mortgages to get started.
Further Reading:
- Is the fear of rejection holding your property journey back
- When will the next RBA cash rate call be made?
- First Home Buyer Grants – Revenue NSW
- Sydney Property Market Update – Property Update
- Are you looking for a Maroubra Mortgage Broker
Disclaimer:
The information provided in this article is for general guidance only and does not constitute financial or tax advice. It does not consider your personal circumstances. Before making any financial decisions, seek professional advice from a licensed mortgage broker or financial consultant. This content is protected by copyright laws and may not be modified, reproduced, or republished without prior written consent.
Written by Craig McDonald 15/06/2025
