October 2025

Monthly Top 10 Real Estate Articles for Sydney #87

This month, Sydney’s property market reflected a complex balance of optimism and restraint. While national housing values continued to climb and buyer confidence remained resilient following recent interest rate cuts, affordability pressures, supply shortfalls, and shifting investment patterns painted a more nuanced picture. From rising rental costs and suburban divergence to renewed regulatory concerns, November’s property headlines highlighted both the strength and fragility of Australia’s housing recovery.

How Your Garden Can Boost the Chance of a Great Sale

https://therealestateconversation.com.au/news/2025/10/05/john-mcgrath-how-your-garden-can-boost-the-chance-great-sale/1759617862

John McGrath, CEO of McGrath Estate Agents, highlights how a well-tended garden can meaningfully enhance a home’s street appeal and sale potential. Even in Sydney’s competitive seller’s market, first impressions remain vital, and an attractive garden signals care and quality to prospective buyers. McGrath notes that poorly maintained outdoor spaces can lead to assumptions that the rest of the property is similarly neglected, while tidy, green areas invite more interest and potentially higher offers. Drawing on findings from the REA Group’s 2025 Property Seeker Survey, he points out that buyers are more likely to compromise on bedrooms or bathrooms than on outdoor greenery. Fortunately, vendors don’t need a large budget to make a difference — simple actions such as adding colourful potted plants, keeping lawns mowed, and trimming hedges can transform a home’s presentation.

Don’t overlook the garden when selling

… no matter what the shape!

Housing Supply Without Demand Control Won’t Fix Affordability

https://www.abc.net.au/news/2025-10-06/house-affordability-density-accord-first-home-buyer-cgt-student/105853500

Alan Kohler argues that Australia’s National Housing Accord is failing to tackle the core of the housing affordability crisis because it focuses solely on increasing supply while ignoring demand drivers. Since the accord’s launch in 2022, house prices have risen by more than $127,000 nationally, despite the ambitious goal of 1.2 million new homes in five years. Kohler attributes this to surging demand fuelled by interest rate cuts, generous first home buyer schemes, and record migration — 1.7 million people versus just 512,000 new homes built. While states such as NSW and Victoria push densification, a shortage of construction workers and declining productivity make the targets unrealistic. Kohler concludes that without addressing demand factors like migration, tax incentives, and credit conditions, the Accord alone cannot solve affordability.

Sydney Rents Surge 44% in Five Years, Cotality Review Shows

https://www.abc.net.au/news/2025-10-08/rental-prices-surge-almost-44-per-cent-review-finds/105865000

Cotality’s latest Quarterly Rental Review reveals Australian median weekly rents have surged 44 per cent over five years, topping $700 for the first time. Sydney remains the most expensive city at $807 per week, as vacancy rates hit a record low of 1.47 per cent. Tenants’ Union CEO Leo Patterson Ross warns that renters are being forced away from jobs and communities, while fear of rent hikes deters repair requests. Although reforms have limited rent increases in most states, only the ACT has tied caps to inflation. Cotality economist Kaytlin Ezzy cautions that surging rents could lift inflation and complicate the RBA’s plans for further rate cuts.

Sydney Suburbs See Double-Digit Rent Rises as Affordability Pressures Mount

https://www.domain.com.au/news/sydney-suburbs-where-rents-rose-most-over-the-past-year-1438478/

Rents across Sydney have continued to climb to record highs, with some suburbs experiencing staggering annual increases. North Turramurra led with a 30.4 per cent rise to $1500 per week, followed by Double Bay (28%) and Clovelly (21.2%). Apartment rents also spiked in Katoomba and Telopea. Domain economist Dr Nicola Powell says family-friendly suburbs with good schools and amenities are driving much of the growth. While the pace of rent rises has eased, affordability remains stretched, forcing many renters to relocate or share housing, and pushing Sydney closer to its affordability ceiling.

ACT’s New Energy Standards Set a Benchmark for Sustainable Living

https://www.allhomes.com.au/news/meeting-a-new-standard-what-acts-energy-changes-mean-and-why-this-8-2-star-home-is-a-blueprint-1439636

Laura Valic reports that Canberra is leading the nation in energy-efficient housing, with new building standards shaping the future of sustainable design. Homes like Biraban House in Macquarie — rated 8.2 stars — demonstrate that comfort and style can coexist with low environmental impact. Under the ACT’s new code, all new homes must be all-electric and achieve a minimum seven-star energy rating, as part of a broader plan to phase out gas by 2045. Experts such as Jenny Edwards from Light House ArchiScience emphasise early design planning and solar orientation to optimise performance. The shift has boosted buyer demand, with energy-efficient homes commanding premiums of up to 17.6 per cent.

Spring Auction Surge Masks Buyer Caution

https://www.domain.com.au/news/why-the-property-market-isnt-as-strong-as-it-looks-this-spring-1439505/

Despite strong auction clearance rates around 70 per cent, Domain data reveals underlying buyer caution. Sydney’s 71.2 per cent clearance rate reflects improved confidence after three rate cuts, yet auctioneers note that buyers remain price-sensitive and hesitant to bid on overvalued homes. Experts like LJ Hooker’s Mathew Tiller say sub-$2 million homes are driving activity, while prestige markets lag. The overall picture is one of steady but cautious momentum, as supply increases and expectations of further rate cuts fade.

Australia’s Property Market Nears $12 Trillion as Momentum Builds

https://therealestateconversation.com.au/news/2025/10/14/australian-property-market-approaches-12-trillion-national-price-momentum-builds

Cotality’s October Housing Chart Pack reports that Australia’s residential market has hit a record $11.8 trillion, up $678 billion over 12 months. Dwelling values rose 2.2 per cent in the September quarter and 4.8 per cent annually. Darwin led growth, with suburbs like Wanguri and Durack gaining 20 per cent since February, while inner Sydney and Melbourne high-density areas slipped slightly. Mid-sized capitals such as Perth, Brisbane, and Adelaide also performed strongly, as low supply and steady demand keep prices high.

Higher-Than-Expected Inflation Derails Rate Cut Hopes

https://theconversation.com/higher-than-expected-inflation-report-dashes-hopes-for-further-rba-rate-cuts-268387

Associate Professor Stella Huangfu of the University of Sydney reports that inflation rose 1.3 per cent in the September quarter, far exceeding expectations. Housing and energy costs drove the surge, with property rates up 6.3 per cent and electricity up 9 per cent. The data has effectively ruled out further RBA rate cuts this year, pushing forecasts for easing into mid-2026. Although the economy remains close to a soft landing, persistent inflation complicates the RBA’s balancing act between curbing prices and supporting employment.

Double-Digit Price Falls Hit Australia’s Prestigious Suburbs

https://www.domain.com.au/news/the-suburbs-where-prices-fell-by-double-digits-1445689/

Domain’s latest report shows that while national prices have risen, many blue-chip suburbs have experienced sharp declines, creating rare buying opportunities. Launceston led losses with a 20 per cent fall, followed by West Melbourne and Paradise Point. Sydney’s Burwood and Melbourne’s Toorak also saw steep drops. Domain economist Dr Nicola Powell attributes this to the market’s shift toward affordable areas, boosted by incentives and first-home schemes, as prestige markets stabilise after pandemic-era surges.

Surge in Interest-Only Loans Raises Financial Stability Concerns

https://www.domain.com.au/news/the-risky-property-trend-that-reached-a-five-year-high-1448829/

Interest-only lending has climbed to 20.4 per cent of all mortgages — the highest in five years — prompting scrutiny from financial regulators. Cotality’s Eliza Owen says 71 per cent of these loans go to investors seeking negative gearing benefits, raising fears of risky debt exposure. AMP’s Dr Shane Oliver warns the pattern resembles pre-2017 conditions that led to APRA’s restrictions. With IO loans now only 0.2 percentage points costlier than standard mortgages, affordability is driving uptake. Analysts predict regulators may act to prevent overheating in the investor-driven housing market.

Conclusion

November’s property news highlighted the uneven nature of Australia’s housing recovery. While record valuations and rising rents demonstrate market resilience, they also expose structural imbalances — from investor concentration and affordability strains to sustainability transitions. The month’s developments suggest that while momentum remains strong, future growth will hinge on policy reform, demand management, and the delicate balance between stability and opportunity.