17/09/2026
THE SAME $200K DEPOSIT. DIFFERENT BUYING POWER. 📉
One of the biggest things sellers need to understand in the current market is that your property’s value isn’t determined by what someone was prepared to pay six months ago.
Take this simple example:
🏦 January 2026
$200K deposit + $800K borrowing capacity = $1M purchasing power
🏦 September 2026
$200K deposit + $741K borrowing capacity = $941K purchasing power
The buyer’s deposit hasn’t changed. Their monthly serviceability hasn’t changed. But the higher interest rate has reduced the amount they can borrow.
So what does this mean for sellers?
It doesn’t mean every property has fallen by $59K. Rather, the pool of buyers who can compete at certain price points can change.
That is why the $1M sale your neighbour achieved six months ago, or the appraisal you received at the beginning of the year, may not necessarily reflect what your property can achieve today.
The most important question isn’t:
“What did the neighbour sell for?”
It’s:
“What are buyers able and willing to pay for my property in today’s market?”
Current comparable sales, buyer feedback, competition and lending conditions all need to be considered when determining your pricing strategy.
Thinking about selling and want to understand where your property sits in today’s market? Get in touch for a current appraisal and market discussion.
