Market Pulse

3 things that moved, and what they mean for you

The RBA held at 4.35% this week. Beyond that, three things moved:

1. Prices split in two. National values rose just 0.6% over the three months to May, the slowest pace in over a year. The average hides a two-speed market. City by city over the past year: Perth +25.8%, Brisbane +19.1%, Adelaide +12.3%, while Sydney now sits 2.1% below its November peak and Melbourne 3.2% below its 2022 high.

2. Sellers started discounting. The median vendor discount widened to 3.3% as more homes hit the market. Buyers have more to choose from and less competition.

3. First home buyers piled in. First-timers now make up 29% of all owner-occupier lending, above the decade average. The expanded 5% deposit scheme is getting more people in with less savings.

What it means for you: the market has tilted toward buyers, especially in Sydney and Melbourne where prices are easing. When sellers are discounting and stock is rising, you can negotiate harder. If you're ready to buy, a confident offer below asking has a real shot right now.

Source: Cotality, RBA

Negotiation Tip

Ask why they're selling, then ask for more

Before you make an offer, ask the agent: "Why is the owner selling?" A divorce, a relocation, or a settlement deadline means a motivated seller, and motivated sellers accept lower offers. With clearance rates in the 40s and homes sitting longer, time is on your side.

And remember, price isn't the only thing on the table. Things you can ask for:

• A lower price (start below asking, especially on a long-listed home)
• A settlement date that suits you (longer to save more, or shorter if you're ready)
• Repairs or a price drop for anything the building and pest inspection finds
• Whitegoods and furniture thrown in (fridge, washer, dishwasher, curtains)
• A longer cooling-off period to sort your finance with less pressure
• A smaller deposit to ease your upfront cash crunch

One tactic every week. Stack them up and you could save thousands on your first home.

The Data

This week's auction clearance rates

City	Clearance rate
Melbourne	51.9%
Combined capitals	48.3%
Sydney	47.3%
Adelaide	46.2%
Brisbane	39.4%
Canberra	36.8%

A clearance rate above 70% means buyers are competing hard and prices tend to rise. Down in the 40s, like this week, the pressure is off and buyers have room to negotiate.

Source: Cotality, preliminary results week ending 14 June 2026. Perth (13 auctions) and Tasmania (1 auction) excluded as statistically unreliable.

Suburb Spotlight

Werribee VIC 3030

Houses · 30km to CBD · LGA: Wyndham

Typical Value	$671,200
Capital Growth (12mo)	8.3%
Rental Yield	3.67%
Weekly Rent	$464
Vacancy Rate	1.98%
DSR Score	57
Days on Market	26 days
Stock on Market	2.2%
Vendor Discount	0.91%
Renter to Owner-Occupier Ratio	34.3%

Our Score 7/10

Unsure how these stats affect long-term capital growth? We break it all down on our Instagram.

Source: Moorr & REA

Reader Question

What is LMI?

LMI is Lenders Mortgage Insurance. It's an insurance that protects the bank, not you. If you borrow more than 80% of a property's value and later can't repay, LMI covers the lender's loss. You pay for it as an additional fee that can be added to your loan.

It kicks in whenever your deposit is under 20% (an LVR above 80%). The smaller your deposit, the bigger the premium.

Roughly what it costs: on a $600,000 home with a 10% deposit, LMI lands around $10,000 to $15,000. You can usually add it onto your loan instead of paying upfront, but then you pay interest on it for the life of the mortgage.

Three ways to avoid it entirely:

• Save a 20% deposit
• Use the First Home Guarantee (buy with 5%, zero LMI)
• Have a guarantor use their equity to cover the gap

Want your question answered? DM us on Instagram.