Sydney’s property market is presenting one of the strongest selling environments seen in recent years. With vendor discounts at their lowest levels since mid-2024, sellers are finding it easier than ever to secure strong offers — and experts say conditions like these may not return anytime soon.
Vendor Discounts Hit Record Lows
New research from Cotality reveals that Sydney homeowners are now reducing their asking price by an average of just 2.9%, the lowest discount since June 2024. For houses specifically, the vendor discount currently sits at 3.2%, while unit prices are being reduced by an even smaller 2.5% — the lowest since pre-COVID days in 2017.
According to Eliza Owen, Head of Residential Research Australia at Cotality, these numbers reflect a property market heavily favouring sellers.
“There’s a lot of demand, buoyed by interest rate cuts and the extended First Home Guarantee Scheme, and not a lot of stock,” she said.
This tight supply-and-demand dynamic means sellers don’t need to negotiate as heavily to secure a deal.
Why Conditions May Shift Soon
Despite current strength, analysts warn that the favourable window may narrow. A change in cash rate expectations — with the next potential cut now possibly delayed until late next year — could impact buyer confidence.
Some owners are already becoming more realistic about pricing, which helps maintain low discount levels. With Sydney house prices rising 6.3% over the past year to a median of $1,751,728, and units up 2.7% to $840,422, sellers still stand to profit even when adjusting their expectations slightly.
Where Sellers Are Winning Most
Certain Sydney areas are seeing exceptional selling conditions. According to the data:
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Mount Druitt: Median discount of 1.1%
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St Marys: 1.4%
Meanwhile, deeper discounts are occurring in:
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Blue Mountains: 4.8%
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Ku-ring-gai: 4.4%
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Leichhardt: 4.4%
Interestingly, units are facing less discounting than houses, partly due to their more uniform nature and slower price growth, making negotiations simpler.
Government Policy and Market Uncertainty at Play
Buyer’s agent Chris Curtis notes that NSW’s latest regulatory changes — including Transport Oriented Development (TOD) initiatives — are impacting seller behaviour in certain suburbs.
Some owners, worried about zoning changes or uncertainty, are choosing to sell earlier and more decisively. Broader concerns like global political shifts and delayed interest rate cuts are also influencing market confidence.
High Demand Meets Low Stock
In areas like the lower north shore, demand continues to outstrip supply. David Benjafield of Belle Property Mosman says vendors are achieving their asking prices — or close to it — even as days on market begin to stretch slightly.
As the year comes to a close, more properties are being sold off-market to gauge buyer interest before being formally listed in early 2025.
Expert Advice for Sellers and Buyers
For Sellers:
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Prepare your home thoroughly — styling, painting, and completing building and pest reports can significantly boost the final price.
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Take advantage of the strong demand and limited competition.
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Act promptly, as market conditions may become more challenging next year.
For Buyers:
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Organise your finance early and stay proactive.
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Build relationships with local agents to get early access to off-market opportunities.
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Be ready to move quickly, especially in high-demand suburbs.
Final Thoughts
Sydney’s current property market is offering home sellers a rare opportunity — strong demand, minimal discounting, limited stock, and rising home values. While uncertainties lie ahead, today’s conditions remain highly favourable for achieving top-dollar results.
If you’re considering selling, now may be the moment to secure your dream price.
