The Property Market Has Changed: Are Buyers Now Waiting for Prices to Fall Further?

As winter draws to a close, the property market looks very different from the one we entered at the beginning of 2026.

Earlier this year, buyers were acting with urgency. Fear of missing out was driving competition, properties were attracting strong interest and buyers were often prepared to move quickly to secure a home.

Three months later, that mindset has changed considerably.

We are now seeing buyers becoming increasingly cautious, with many wondering whether they should buy now or wait to see if property prices fall further.

A buyer’s market without the buyers

One of the most interesting observations in the current market is the fact that we are seeing what could be described as a buyer’s market, but with fewer buyers actually participating.

Recent national data shows that listings across the capital cities were approximately 24.6% higher than they were a year ago as at August 23.

At first glance, this could suggest that more properties are coming onto the market.

However, there is an important distinction.

The increase in total listings is being driven largely by properties remaining on the market for longer because they have not sold, rather than a significant increase in the number of new properties being listed.

In fact, new listings were 4.1% lower than the same time last year and were also below the five year average.

This tells us that the market is not necessarily being flooded with new properties. Instead, buyers are taking longer to make decisions, and properties are consequently accumulating on the market.

Buyer confidence has shifted

The psychology of the market is perhaps one of the biggest changes we have seen throughout 2026.

At the beginning of the year, buyers were concerned about missing out.

Today, many buyers have the opposite concern.

They are worried about overpaying.

With property prices falling in parts of the country, ongoing borrowing costs and the possibility of further interest rate increases, some buyers are questioning whether purchasing today could mean paying more than they need to.

The result is decision paralysis.

Rather than competing aggressively for a property, buyers are increasingly prepared to wait, negotiate harder and see what happens next.

As Cotality head of research Gerard Burg explained to the Australian Financial Review, buyers who remain active have more choice, more negotiating power and more time to consider their options.

That is a significant change from the conditions we saw earlier in the year.

What are the banks forecasting?

There is also plenty of uncertainty around where prices could head from here.

ANZ has forecast that Sydney house prices could fall as much as 14.5% from their peak, while its forecast for declines across the capital cities reaches as high as 10.8%.

NAB is also forecasting that property prices could continue falling for another six months.

While these forecasts relate to the national market and individual markets will continue to behave differently, they naturally influence buyer confidence.

For someone considering a significant financial commitment, the question becomes:

Why buy today if prices might be cheaper in six months?

That is the question currently keeping some buyers on the sidelines.

What does this mean for sellers?

For sellers, this changing buyer psychology makes accurate pricing more important than ever.

In a market where buyers have more choice and less urgency, an overpriced property can sit on the market while buyers wait for the seller to adjust their expectations.

This can create a cycle where the property becomes stale, attracts less attention and eventually requires a larger price adjustment to generate renewed interest.

The properties that perform best in this type of market are likely to be those that are correctly positioned from the beginning, presented well and marketed strategically.

What we will be watching

As we move into spring, there are two numbers we will be watching particularly closely:

New listings coming to market

How many genuinely new properties are being introduced will give us a much clearer indication of the level of future competition for buyers.

Auction clearance rates

Clearance rates provide an important indication of buyer confidence and willingness to transact.

Together, these figures will help us understand whether the current slowdown is temporary or whether we are moving into a longer period of softer market conditions.

What about the Gold Coast?

While much of the current commentary is focused on the national property market, the Gold Coast will continue to have its own unique dynamics.

Our own pipeline of new listings coming to market throughout September is looking exceptionally strong.

If we see a similar increase in new stock across other agencies throughout the Gold Coast, this could create additional choice for buyers and potentially place further pressure on sellers to price their properties competitively.

That does not mean every Gold Coast property will fall in value.

Quality properties in tightly held locations can continue to attract strong buyer interest, particularly when they are priced appropriately.

However, the days of simply putting a property on the market and expecting multiple buyers to compete aggressively may be changing.

The market has shifted, and strategy matters

The biggest takeaway as we leave winter is that buyer behaviour has changed.

We entered 2026 with buyers worried about missing out.

We are now seeing buyers worried about paying too much.

That change in mindset has important implications for both buyers and sellers.

For buyers, there may be more opportunity to negotiate and take the time to make informed decisions.

For sellers, understanding where the market is today, rather than where it was six months ago, is critical.

The August market data will give us another important piece of the puzzle, and we will be watching the numbers closely as we move into spring.

The market is changing. The question now is where it goes next.