What do REB’s Top 100 Agents think is on the cards for the next 6 months?

Agents across the country all concurred that the recent Reserve Bank of Australia (RBA) rate cut and the upcoming federal election would impact the market and shake-up housing demand and buyer sentiment.

NSW Pulse Property Agents director, Ben Pike, said the recent rate cut bolstered buyer sentiment, influencing prospective buyers to enter the market quickly.

“Buyers now believe that if they don’t jump in now and we see two or more rate changes and the market moves 10 per cent, they’ll either be priced out or they’re buying a lower-quality home,” he remarked.

Victoria’s Kay & Burton director, Matthew Pillios, noted that election years always bring a degree of caution to the market, which could affect the housing market in the short term.

“The key thing to watch will be any proposed tax reforms, particularly around negative gearing or foreign investment rules. If major changes are on the table, we could see a short-term slowdown as people wait for clarity,” he said.

The responses also revealed a consensus that agents must now more than ever keep up with regulatory and policy changes on both the state and federal levels.

“Agents should stay informed about proposed policies and be ready to advise clients on how these changes may impact their decisions,” Victoria’s Barry Plant Eastern Group director, Theo Politis, said.

Beyond these universal considerations, the agents shared their views on local market performance this year and their predictions for the next six months.

NSW:

Lisa Novak, sales agent at Novak Properties in Dee Why, NSW

Lisa Novak, who specialises in the Northern Beaches market, said the area has maintained a steady level of housing stock for the last couple of months, suggesting the market will remain stable in the foreseeable future.

Following the RBA rate cut in February, Novak observed a “very positive buyer sentiment” in the Northern Beaches market, which will continue to flourish over the year.

“As those interest rates start to come down, I think stock levels will probably start to see them dry up a little bit, that could be when we’re going to start to see the market come up,” Novak said.

On a state level, Novak said the NSW government’s “Low and Mid-Rise” policy was among the biggest news the real estate sector has received.

“If you’re in an R2 zone and you’re sitting on a 500-metre square block, you could potentially be able to build for dual occupancy. It’s an absolute game changer,” Novak said.

Novak added the Labor government’s ban on foreign investors purchasing established homes starting 1 April could significantly shake up the Australian housing market.

“It’s been huge, particularly for high-end properties. In the past we’ve seen a lot of foreign investors that have wanted to come in and purchase. It could have quite an impact there,” Novak said.

Ben Pike, director at Pulse Property Agents in Miranda, NSW

In the Sutherland Shire, Ben Pike said he has seen “more energy in the marketplace” and an uptick in inquiries since the beginning of 2025.

“What we have seen is buyers coming through in greater numbers, more open inspections, and properties moving quicker,” Pike said.

Although Pike forecast that price growth in the Sutherland Shire is roughly three to four months away, early signs can already be felt across all price ranges.

He noted that homes priced between $2.5 million and $4 million, which were slow to sell last year, are now among the quickest moving in the Sutherland Shire market due to the increased buyer confidence generated by the rate cut.

Additionally, Pike noted that the timing of election day could adversely affect the property market in the short term.

“It will probably be in a really weird window where you might have school holidays, Easter, Anzac Day, and the election in consecutive weeks,” Pike said.

“If that does happen, that’s obviously a pretty turbulent couple of weeks if you’re on the market.”

Pike said these effects would likely be short-lived and not detract from positive buyer sentiment and market growth over the next six months.

VICTORIA:

Matthew Pillios, director at Kay & Burton in Brighton, Victoria

According to Matthew Pillios, the wider Melbourne market will likely gain further momentum over the next six months, particularly in the “premium and family-oriented segments”.

“We’re seeing a growing focus on lifestyle markets – buyers want homes that offer more than just a place to live; they want walkability, great amenities and seamless indoor-outdoor living,” Pillios said.

He noted that stabilising economic conditions have boosted sentiment, prompting vendors to target these potential buyers.

“Many vendors have adjusted their expectations after the past year of fluctuating demand, which is leading to more realistic pricing and smoother negotiations,” Pillios said.

If interest rates continue to ease, the director said buyers’ confidence could increase further, leading to “record-breaking transactions at the top end of the market”.

Additionally, Pillios said real estate agents in Victoria need to keep up with the state’s ever-changing policies, such as how land taxes will increase over the next 10 years.

“The changes have already impacted investor sentiment, and further revisions will continue to shift how people approach additional property holdings,” he said.

Theo Politis, director of Barry Plant Eastern Group in Melbourne, Victoria

Operating in the suburbs of Melbourne, Theo Politis said that Victoria’s strong immigration will be integral to the state’s housing market growth, further increasing competition and putting upward pressure on prices.

Across the state, Politis noted that single-level, two- to three-bedroom villas are currently in high demand due to their affordability and strong rental returns.

He said these properties appeal to both downsizers and investors, and are a “safe bet in the current market”.

“Additionally, brand new and well-renovated homes will continue to perform well, as rising construction and renovation costs push buyers towards move-in-ready properties rather than taking on projects themselves,” Politis said.

Similarly, Politis warned agents to stay informed of potential changes to rental laws that could impact landlords and property investors.

He highlighted that potential shifts to negative gearing, capital gains tax, or first home buyer incentives, could significantly influence buyer sentiment over the rest of the year.

He suggested that agents engage in clear communication and upgrade their knowledge of the market, which will be “key” to navigating the potential shifts in the property landscape over the next six months.

QUEENSLAND:

Alex Jordan, sales agent at McGrath Estate Agents - Paddington, Queensland

In the Sunshine State, Alex Jordan said Brisbane’s property market outperformed Sydney and Melbourne in early 2025, driven by low supply and better affordability than the southern states.

However, Jordan observed an increase in listing supply and an expansion of days on market for property sales, which he partly attributed to shifting consumer sentiment and the rising cost of living.

Despite the RBA’s recent rate cut, he said the effect of high interest rates and reduced borrowing capacity have negatively influenced buyer behaviour in Queensland.

“While the recent 0.25 per cent reduction is a step in the right direction, this is a very small change to the bottom line for active buyers,” Jordan said.

He added that uncertainty about the upcoming federal election will reduce buyer activity and inspection numbers throughout the lead-up to election day, adding to buyers’ broader climate of hesitancy.

Nevertheless, he believes that, similar to previous years, the market will “typically return to normal” as soon as the election result is announced, regardless of the winning party.

WESTERN AUSTRALIA:

Eric Hartanto, principal at Hartanto Properties in Applecross, Western Australia

Operating in suburban Perth, Eric Hartanto said the city’s real estate market will likely remain resilient over 2025, with demand expected to remain strong for lifestyle properties in well-located suburbs.

Hartanto said markets with strong infrastructure investment, job growth and lifestyle appeal will likely outperform over the year.

“In Perth, high-demand suburbs like Applecross, Mount Pleasant and South Perth remain well-positioned due to their combination of lifestyle amenities and strong capital growth potential.”

Yet, Hartanto warned that ongoing affordability challenges and potential interest rate movements could still temper buyer enthusiasm.

He encouraged agents to stay informed about proposed legislative and regulatory changes related to tenancy laws, stamp duty reforms and housing affordability policies, which will likely be on the government’s radar in 2025.

“Agents should focus on educating their clients about potential policy changes, emphasising the long-term benefits of property investment, and staying adaptable to market shifts,” Hartanto said.