Buyers Market vs Sellers Market in Australian Property — What It Means and How to Use It

Whether it is a buyers market or a sellers market fundamentally changes your strategy — whether you are purchasing, selling, or negotiating on a property. Understanding the difference and knowing which market you are in right now is one of the most important pieces of context for any property decision.

What Is a Sellers Market?

A sellers market exists when demand from buyers exceeds the supply of properties available for sale. In a sellers market:

• Properties sell quickly — often within days of listing
• Multiple offers are common on well-priced properties
• Auction clearance rates are above 70%
• Properties routinely sell above reserve
• Buyers have limited negotiating power
• Sellers can be selective about terms and conditions

What Is a Buyers Market?

A buyers market exists when supply of properties for sale exceeds buyer demand. In a buyers market:

• Properties sit on the market for longer — often 45-90+ days
• Price reductions are common
• Auction clearance rates are below 60%
• Buyers have stronger negotiating power
• Sellers need to be competitive on price and terms
• Conditions such as subject to finance or building inspection are more readily accepted

How to Tell Which Market You Are In Right Now

The key indicators to watch are auction clearance rates, days on market, vendor discounting rates, and total listings volume. When clearance rates are above 70%, days on market are under 30, and vendor discounting is under 3%, you are in a sellers market. When clearance rates drop below 60%, days on market extend beyond 45, and vendors are accepting 5%+ discounts from asking price, you are in a buyers market.

How Your Market Affects Your Property Strategy

Buying in a Sellers Market

In a sellers market, buyers need to be decisive, pre-approved, and ready to act without extended conditions. A Collings Property Advisor helps you understand true market value so you can bid or offer with confidence — without overpaying in a competitive environment.

Selling in a Sellers Market

In a sellers market, sellers who run a well-managed campaign attract multiple buyers and can achieve above-reserve results. A Collings Property Advisor helps you set a realistic price ceiling, structure your campaign to maximise competition, and negotiate from a position of strength.

Buying in a Buyers Market

In a buyers market, buyers have negotiating power — but need to know how to use it effectively. A Collings Property Advisor identifies properties with genuine vendor motivation and structures offers that achieve the best possible price.

Selling in a Buyers Market

In a buyers market, sellers need professional strategy to stand out and attract serious buyers. Pricing accurately, presenting well, and negotiating effectively become even more critical when buyer competition is low.

Frequently Asked Questions

Is Melbourne a buyers or sellers market in 2026?

Melbourne’s market varies significantly by suburb and property type. Inner-north suburbs with low supply and high demand often remain sellers markets even when broader conditions soften. A Collings Property Advisor can give you a specific assessment of conditions in your target suburb right now.

How does a buyers market affect negotiation?

In a buyers market, buyers have significantly more negotiating power. Vendors are more willing to accept lower offers, include conditions such as subject to finance, and provide longer settlement periods. A Collings Property Advisor helps you understand exactly how much leverage you have and how to use it effectively.

Get Expert Market Analysis from a Collings Property Advisor — $4,500 + GST

Whether you are buying or selling, understanding the market conditions in your suburb is the foundation of a successful property strategy. Talk to a Collings Property Advisor today.

Collings Property Advisory — Fixed fee $4,500 + GST. No commission.

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