The recent interest rate cut has brought a wave of optimism among home buyers—2025 is shaping up to be a year of opportunity. Whether you’re a first-time buyer or upgrading, understanding the shifting market will be key to making the right move.

With house prices on the rise, interest rates expected to fall further, and new growth areas emerging, now is the time to plan your next step. The recent rate cut has boosted buyer confidence, making homeownership more accessible and increasing demand across Melbourne’s key property hotspots.

Here’s your essential guide to navigating the market this year.

House & Unit Prices: The Rise Continues

If you’ve been waiting for the perfect time to buy, now might be it. Melbourne’s median house price is projected to rise by 3.5% in 2025, followed by a 6% increase in 2026. Early buyers in key growth areas are already seeing strong returns, with land values climbing as communities take shape.

Interest Rates: Relief on the Horizon

The Reserve Bank of Australia is expected to cut the cash rate from 4.10% to 3.45% by late 2025, with another dip to 3.3% by mid-2026. Lower interest rates mean reduced mortgage repayments, increased buyer confidence, and a more competitive market. If you’re planning to take out a home loan, keeping an eye on rate movements could help you secure a better deal.

Navigating the 2025 Market Like a Pro

• Get Pre-Approved – Knowing your borrowing capacity before house hunting gives you an edge in negotiations.
• Research Growth Suburbs – Areas with upcoming transport links, schools, and commercial hubs often see the best long-term appreciation.
• Understand the Fine Print – Contracts, deposits, and stamp duty can impact your final cost— get legal advice if needed.
• Factor in Hidden Costs – Stamp duty, lenders’ mortgage insurance (LMI), conveyancing, and maintenance can add up.
• Choose the Right Loan – Fixed loans offer stability, while variable rates may benefit from future rate cuts. Consider your risk tolerance before deciding.

For buyers looking to invest in a thriving community, Resi Ventures’ Accolade community offers a prime opportunity—only a handful of lots remain. Secure your place in a well-planned, high- growth location before it’s too late.

Thinking about buying this year? Stay tuned for more insights, or check out our active projects.