Q3 Market Update – 3228

BY OLIVIA SWANN

Natural Real Estate

The third quarter of 2025 brought a clear shift in the 3228 market: buyer activity strengthened and urgency returned.

There were 159 residential sales (up from 137 in Q2) and 142 new listings. With more sales than new listings, momentum is building and confidence is improving among both buyers and sellers.

September told the story: average days on market fell to 58, down from 105 in July and 109 in August. It’s the strongest sign in over a year that buyers are ready to act — especially when a home is presented and priced well.

The median sale price for the quarter was $1,015,000, lifting to $1,180,000 in September — a signal of renewed upper-end activity and more competitive conditions overall.

The standout sale was 1 Toadhall Lane, Jan Juc (Natural Real Estate), which sold for around $5.5m after two buyers competed strongly.

The Reserve Bank met three times in the quarter. It held the cash rate in July, cut by 0.25 percentage points in August, then held again in September — a welcome boost for borrowers and market confidence.

The new First Home Owner schedule, introduced October 1, is expected to have a meaningful impact locally. Increased grant thresholds and expanded eligibility criteria are set to help more first-home buyers enter the market, particularly in the more affordable pockets of Torquay North and Armstrong Creek. Early signs suggest first-home enquiry is already picking up, adding more movement at the entry level.

Market conditions are better, but still uneven. Well-priced, well-presented homes are selling strongly: 58 per cent of Natural Real Estate sales this quarter drew multiple competing offers from buyers. Properties that miss the mark on value or presentation continue to struggle. Buyers are more decisive but still discerning.

On the rentals front, the market has tightened significantly, with available properties down about 50 per cent over the past fortnight. Demand remains high and many tenants are finding it tough to secure suitable homes.

Overall, confidence is returning, competition is growing and activity is solid, but pricing, presentation and a clear strategy remain key to success.

If you’d like tailored advice for your property, I’m here to help. Feel free to reach out on 0499 053 114.

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