I’m always sceptical of market predictions. Anyone claiming certainty about future property prices is selling something. But technology gives us data patterns that inform reasonable expectations, even if they don’t provide guarantees.

Here’s what the data and platform signals suggest about 2025, along with how technology will shape the market regardless of which direction prices move.

What the Data Patterns Show

Buyer Behaviour Signals

Portal engagement data tells a story before sales data confirms it.

In the final quarter of 2024, I tracked engagement metrics across several agencies:

• Time on listing increased 15-20% compared to the same period in 2023
• Saved search activity remained elevated
• Enquiry quality—as measured by follow-through rate—improved

These patterns suggest serious buyer intent. People aren’t casually browsing; they’re researching with purpose. Whether this translates to early 2025 activity depends on economic confidence and rate movements, but the underlying demand signal is real.

Days on Market Trends

The days on market metric reveals market tempo. Across Sydney, I’ve observed:

• Premium suburbs (Eastern Suburbs, Lower North Shore): Days on market stabilised at 30-35 days
• Middle ring suburbs: Slight improvement, down to 35-40 days
• Outer suburbs: Longer campaigns, 45-55 days typical

These numbers suggest a functional market—not the frenzy of 2021, not the stagnation some predicted. Well-priced properties sell in reasonable timeframes.

Clearance Rate Patterns

Sydney and Melbourne clearance rates in late 2024, as reported by CoreLogic and Domain, hovered around 60-65%—healthy but not overheated. This equilibrium typically precedes stable or modest growth, not dramatic movement either direction.

The technology insight: clearance rate calculations have become more sophisticated as platforms verify auction outcomes more systematically. The numbers are more reliable than historical figures, which often excluded passed-in properties.

2025 Technology Trends Affecting the Market

AI-Powered Pricing Will Become Standard

Automated valuation models will continue improving and will be more prominently featured on portal listings. This transparency changes vendor expectations and buyer behaviour.

Agents will need stronger data interpretation skills to add value beyond what algorithms provide. Simply quoting a price will matter less than explaining why that price is appropriate given factors the AI can’t assess.

Virtual Inspection Expectations Will Increase

The buyer segment that relies heavily on virtual tours—interstate migrants, international buyers, time-poor professionals—will grow. Listings without quality virtual content will face increasing disadvantage.

I expect virtual tours to become standard inclusion in marketing campaigns above $1 million, with premium-quality immersive experiences expected above $2 million.

Digital Auction Participation Will Expand

The hybrid auction formats proven in Melbourne will spread to other markets. Sydney agencies are increasingly equipped for remote bidding, and buyer demand for the option is growing.

This expands the buyer pool for individual properties while changing auction dynamics. Auctioneers are adapting their techniques to manage both in-room and remote participants effectively.

Buyer Identification Technology Will Mature

AI systems that identify likely buyers before they explicitly search are improving rapidly. Agencies using these tools will have advantages in matching properties with purchasers.

The platform from AI consultants Sydney at Team400 and similar services will see increased adoption as agents recognise the value of predictive buyer matching.

Market Segment Predictions

Premium Market ($3 million+)

Technology impact: High-quality virtual content essential, international buyer engagement tools valuable, sophisticated market data crucial for vendor conversations.

Market outlook: Continued demand from downsizers, executives, and international purchasers. Price sensitivity around interest rate movements, but fundamental demand remains solid.

Mainstream Market ($1-3 million)

Technology impact: Standard virtual tours expected, efficient digital marketing crucial, CRM automation necessary to manage buyer volumes.

Market outlook: Most active segment, dependent on confidence and credit availability. Early 2025 activity levels will signal the year’s trajectory.

Entry-Level Market (under $1 million)

Technology impact: First home buyer education content valuable, digital communication preferences dominant, affordability calculators heavily used.

Market outlook: Government incentive schemes and first home buyer support programs will influence activity. Interest rate sensitivity highest in this segment.

Regional Variation

Sydney

Technology adoption is highest here, and buyer expectations for digital experience are correspondingly elevated. Agencies without strong tech stacks face competitive disadvantage.

Market outlook: Eastern Suburbs and Northern Beaches remain desirable; outer suburbs face affordability constraints; middle ring offers value opportunity.

Melbourne

Digital auction platform adoption will continue accelerating. The Statement of Information requirement creates unique technology needs.

Market outlook: Inner-city apartment oversupply persists in some pockets; family-friendly middle suburbs remain sought after; regional Victoria continues attracting Melbourne escapees.

Brisbane

Interstate migration continues, creating technology requirements for serving remote buyers. Agencies with strong virtual capability have advantages.

Market outlook: Growth corridors remain active; inner-city markets stabilising after rapid appreciation; 2032 Olympics infrastructure investment creates long-term tailwinds.

What Could Disrupt These Expectations

Several factors could change the picture:

Interest rate surprises: Faster or slower rate movement than expected would shift market dynamics significantly.

Economic shock: Recession, major employer failures, or global disruption could override all local factors.

Regulatory change: Government intervention in housing markets—positive or negative—creates uncertainty that technology can’t predict.

Technology disruption: A genuinely transformative PropTech development could change how transactions occur. (I don’t expect this in 2025, but it’s theoretically possible.)

Practical Implications for Agents

Whatever the market does, these technology priorities remain valid:

1. CRM discipline: A clean, well-managed database enables relationship-based business regardless of market conditions.

2. Quality content: Professional photography, virtual tours, and compelling copywriting perform in any market.

3. Data literacy: Understanding and communicating market statistics builds credibility with vendors making significant financial decisions.

4. Digital presence: Your online visibility shapes buyer and vendor perceptions before any personal interaction.

5. Process efficiency: Technology-enabled efficiency allows you to serve more clients well or spend more time on high-value activities.

Conclusion

2025 will reward agents who combine traditional relationship skills with modern technology capabilities. The market may be kind or challenging—both scenarios have occurred in my 25-year career—but prepared agents perform in either.

Use the early weeks of January to ensure your technology foundation is solid. Review your data subscriptions, clean your CRM, update your marketing materials, and plan your content calendar.

Then, when the market returns from summer hibernation, you’ll be ready to perform whatever the year brings.

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Linda Powers consults with real estate agencies on technology adoption and market positioning. These predictions reflect her interpretation of data patterns and technology trends, not guaranteed outcomes.