Word on the street: Market, Property Management and New Projects updates for Q1 2025
Melbourne’s property market has started the year with a bang. From a fresh wave of buyer interest to steady leasing activity, there’s a noticeable shift across all corners of the market. At Gary Peer, our Sales, Property Management, and New Projects teams are seeing confidence return – and the numbers back it up. Read on for the latest insights from Q1 2025.
Sales update
The very first quarter of 2025 has brought plenty of momentum. Our experts – Gary Peer, Jeremy Rosens, Leon Gouzenfiter and Leor Samuel – share what they’re seeing.
What’s happening now?
The market is showing clear signs of renewal.
The January interest rate cuts gave buyers the confidence boost they needed, and that’s been reflected in bigger crowds at inspections and more bidder activity.
The volume of new buyers is growing – and many are moving quickly to get in before prices start to rise. That tells us confidence is returning.
We’re also seeing a rise in investor activity, with Melbourne’s value-for-money appeal drawing attention from as far as Sydney and Brisbane.
So, what types of properties are hot right now?
Apartments are in demand, particularly in areas where stock had previously been slow to move. And family homes with quality renovations continue to attract strong interest.
It’s a strong start to 2025 after a tough final quarter last year.
What were the quarter’s standout sales?
This quarter, we saw some remarkable results.
In Caulfield South, 4 Amelia Street broke the suburb record with a sale just shy of $5 million.
Over in Carnegie, 19 McPherson Avenue drew 6 serious bidders and sold over the reserve, while 6 Perth Street in Murrumbeena achieved close to $2.9 million at a competitive auction.
Bentleigh East was buzzing too. 21 Warwick Street attracted more than 230 inspections before selling above reserve, and 1/19 Vine Court also achieved a great result with 5 active bidders.
In Elwood, multiple bidders vied for the keys to a high-end apartment at 3/37 Ormond Esplanade. Demand was fierce at an auction for the unrenovated 19 Jervois Street in St Kilda East, which sold to a local couple for $925,000.
All clear signs the market is alive and well.
Where to from here?
Looking ahead, we expect the market to remain steady. That said, the possibility of another interest rate cut later this year could add further momentum, especially among upgraders and developers.
Listings could also tighten in the months ahead, so buyers should be ready to act when the right property comes along.
Property Management update
As 2025 gets into full swing, our property management experts Jenny Caughey and Anthony Lee are seeing welcome signs of stability in the rental market.
Their advice to landlords? Be proactive and plan ahead.
What are the rental providers doing?
Rental providers are reassessing their strategies as costs rise and new legislation arrives.
Council rates, land tax and the new Fire and Emergency Services Levy have increased outgoing expenses by up to 30% in some cases. And it’s forcing landlords to take a closer look at rent reviews and long-term plans.
Our tip? Work with your property manager to protect and maximise your investment through depreciation schedules and organising repairs ahead of tax time.
What are renters doing?
This quarter, renters have been prioritising value more than ever, as cost-of-living pressures shape their decisions. Smaller homes and apartments are leasing quickly, due to affordability. And shared tenancies are also on the rise.
Across the board, tenants are being strategic and seeking properties that offer comfort, location and long-term value.
Where to from here?
As we move further into 2025, now is the time for landlords to get organised. With updated minimum standards, including mandatory blind cord anchors, set to take effect later this year, staying ahead of compliance is key.
And with the end-of-financial-year right around the corner, it’s the perfect time to consider maintenance, upgrades and depreciation schedules.
The takeaway? Plan now to avoid pressure later.
New Projects update
Julian Millman and his team are feeling a lift in buyer confidence. With new launches, major construction milestones and strong enquiry levels, 2025 is already shaping up to be a big year.
The big picture
Late last year, we saw early signs of renewed momentum – and in Q1, that momentum has certainly grown. Owner-occupiers are continuing to drive demand, with strong interest from buyers looking for lifestyle, longevity and location.
We’re seeing more people ready to make a move, especially with stamp duty savings front of mind and confidence returning.
Our own backyard
Our current projects are gathering pace across the board.
Cascade in Caulfield East is on track for Q3 completion, with just a handful of apartments remaining. ‘Caulfield North’ is nearly sold out and set to finish in August – while Seymour & Blanche has its frame up and is processing steadily toward a late 2025 or early 2026 handover.
Meanwhile, Caulfield Grange is already 50% sold. And at Olive Green, the basement is now complete – a major milestone for this standout development.
Onwards and upwards
All in all, Q1 has set a strong tone for the year ahead.
At Gary Peer, we’re preparing to launch standout new projects in Bentleigh East, St Kilda East and Caulfield South – all offering quality, location and lifestyle appeal.
And with demand holding steady, particularly among owner-occupiers, we’re expecting continued interest across all stages of the development cycle.
With exciting launches ahead and construction milestones being ticked off, it’s shaping up to be a big year for New Projects.