Buying Property in a Falling Market: Opportunities for Sydney Buyers

By Byron Rose | Director, Rose & Jones
Published: 16 October 2026 | Market Update

Recent headlines have highlighted a shift in parts of Sydney’s property market, with some of the city’s most established and sought-after areas recording notable price declines.

Recent reporting from Time Out Sydney, drawing on Domain’s June quarter property data, highlighted price movements across several premium Sydney markets, including the Eastern Suburbs, Lower North Shore, Northern Beaches and Inner West.

The underlying Domain analysis found that the Eastern Suburbs – North region, which includes Bondi, Bondi Beach, Bondi Junction, Bellevue Hill, Bronte and Dover Heights, recorded the largest dollar decline in its table, with a fall of $353,500 for houses over the three-month period. Other Sydney regions appearing in the data included Chatswood – Lane Cove, North Sydney – Mosman, Ryde – Hunters Hill and parts of the Inner West. [domain.com.au]

It’s the sort of headline that understandably makes buyers pause. But for those in a position to purchase, changing market conditions can also create opportunities.

The important question isn’t simply whether prices are falling. It’s whether the property you’re considering represents genuine value.

What is happening in the Sydney property market?

According to Domain’s analysis [domain.com.au], a number of Sydney regions recorded sizeable movements in median prices over the three-month period.

Among those reported were:

• $353,500 for houses in Eastern Suburbs – North
• $187,500 for houses in Chatswood – Lane Cove
• $167,500 for houses in Dural – Wisemans Ferry
• $162,500 for houses in North Sydney – Mosman
• $140,000 for houses in Strathfield – Burwood – Ashfield
• $120,000 for houses in Ryde – Hunters Hill
• $115,000 for houses in Marrickville – Sydenham – Petersham
• $110,500 for houses in Warringah

There is some important context here.

These are regional median price movements. They don’t mean that every property in Bondi, Mosman, Chatswood or Marrickville has suddenly fallen by the same amount.

Property is much more nuanced than that.

Even within the same suburb, one property can attract strong competition while another presents considerably more room for negotiation. Position, aspect, land, condition, floorplan, scarcity and buyer demand can all have a significant bearing on value.

That’s why broad market data is useful, but assessing an individual opportunity requires a much closer look.

“There tends to be a lot of focus on what the broader market is doing, but for buyers the more important question is what’s happening with the individual property. When there’s less competition and vendors are more willing to have a conversation, good buying opportunities can emerge. That doesn’t mean every property is suddenly good value. You still need to know what you’re buying and what it’s genuinely worth.”

Byron Rose, Co-Founder and Director, Rose & Jones

Why can a softer market be good news for buyers?

During periods of rapid growth, buyers can find themselves competing against multiple parties, making decisions quickly and negotiating from a relatively weak position.

When confidence softens, some of that pressure can ease.

There may be fewer active buyers pursuing a property. Vendors may become more realistic about price. Properties can remain on the market for longer, giving buyers more time to undertake proper due diligence rather than feeling pressured into making a decision.

For buyers who have their finances organised and a clear understanding of what they’re looking for, this can be a useful shift.

A changing market may also bring homes or locations that were previously just outside a buyer’s budget back into consideration.

That doesn’t mean approaching every listing expecting a substantial discount. Quality property can still attract strong competition, particularly in tightly held areas where good stock remains scarce.

The opportunity lies in understanding where the balance between buyer and seller has genuinely changed.

It’s about buying well, not simply buying cheaply

This is perhaps the most important distinction in a falling market.

A reduced price does not necessarily equal good value.

A property may have struggled because it was initially overpriced. Or there may be something about the property itself that other buyers have recognised, such as a compromised floorplan, significant building work, development risk, poor natural light or an undesirable position.

Equally, a quality home in a tightly held location may continue to attract strong interest despite softer overall market conditions.

At Rose & Jones, our focus when assessing a property is therefore not simply on whether the price has come down, but on the quality of the asset and how its value stacks up against the available evidence.

We look closely at factors including:

• Position and location
• Recent genuinely comparable sales
• Land size and usability
• Aspect and natural light
• Floorplan and functionality
• Condition and potential capital expenditure
• Parking and accessibility
• Local planning and future development
• Scarcity of the property type
• Long-term owner-occupier appeal

Ultimately, the aim is to purchase the right property at the right price, rather than simply finding the property with the largest price reduction.

Where does a buyer’s agent add value in a changing market?

In many ways, a changing market makes independent advice more important, not less.

When prices are moving rapidly in either direction, assessing fair market value becomes more difficult.

An experienced buyer’s agent can analyse recent comparable sales, current competition and the individual characteristics of a property to build an informed view of what it is worth now, rather than relying on an asking price or previous market expectations.

It is also important to understand the circumstances surrounding the sale.

How long has the property been on the market? Has there been genuine buyer interest? Are the vendors committed to selling? Have their expectations changed? What else is available nearby?

These factors can influence how negotiations should be approached.

Access also continues to matter. Rose & Jones maintains a network of more than 3,000 agents across NSW, which we use to identify on-market, pre-market and off-market opportunities for our clients.

In a market where good stock may still be tightly held, knowing about an opportunity before it is widely promoted can be just as valuable as negotiating on something already advertised.

Most importantly, a buyer’s agent sits on the buyer’s side of the transaction.

Selling agents represent the vendor. Our role is to independently assess the property, its value and the opportunity from the purchaser’s perspective.

Should buyers wait for the bottom of the market?

It’s a question that comes up whenever prices begin to soften: Should I wait?

The difficulty is that nobody rings a bell when the market reaches the bottom.

Turning points are usually far easier to identify in hindsight. By the time there is widespread agreement that a market is recovering, buyer confidence may already be returning and competition increasing.

Domain reported commentary from its chief residential economist Dr Nicola Powell that the premium end of the market tends to experience falls first, but can also lead the recovery. The same article reported that some buyers were beginning to research opportunities and look for value, while Powell said she believed there was potential for further falls. [domain.com.au]

For a buyer with a long-term view, trying to identify the precise bottom can therefore become something of a distraction.

“You rarely know you’ve reached the bottom of a market until you’re already looking back at it. We’ve always encouraged our clients to focus less on trying to perfectly time the market and more on finding the right property at the right price. If you’re buying a quality asset for the long term, that’s generally a much more useful way to look at it.”

Byron Rose, Co-Founder and Director, Rose & Jones

Being ready matters

If you’re considering buying while conditions are changing, preparation can give you an advantage.

Have finance organised and understand your comfortable purchasing limit before you start negotiating. Be clear about which elements of your property brief are essential and where you are prepared to compromise.

Study comparable sales and understand the differences between them, rather than relying solely on median prices or online estimates.

And when the right property does appear, make sure you have your solicitor or conveyancer ready and your due diligence team in place.

A softer market can give buyers breathing room, but the best properties can still move quickly.

The opportunity for Sydney buyers

The recent price movements across parts of Sydney shouldn’t necessarily be viewed as either a reason to rush into the market or a reason to stay out of it.

What they tell us is that conditions have changed.

In some circumstances, that may mean less competition, stronger negotiating positions and greater opportunities to secure quality property than buyers experienced during periods of rapid growth.

But the fundamentals of good property buying remain the same.

Understand what you’re buying. Know what it’s worth. Do your due diligence. Focus on quality. And make the decision based on your own circumstances and long-term objectives rather than the latest headline.

For well-prepared buyers, a period of uncertainty can often be exactly when interesting opportunities begin to emerge.

Thinking about buying in the current Sydney market?

Changing market conditions can create opportunities, but identifying genuine value takes more than watching median prices move.

Whether you’re buying a family home, upgrading, downsizing or looking for an investment, Rose & Jones can represent you throughout the process, from defining your brief and sourcing on-market, pre-market and off-market opportunities through to property assessment, due diligence and negotiation.

CCChanging market conditions can create opportunities, but identifying genuine value takes more than watching median prices move.

Whether you’re buying a family home, upgrading, downsizing or looking for an investment, Rose & Jones can represent you throughout the process, from defining your brief and sourcing on-market, pre-market and off-market opportunities through to property assessment, due diligence and negotiation.

FAQs

Q: Is it a good time to buy property in Sydney?

A: There isn’t one answer that applies to every buyer. Market conditions are important, but so are your budget, borrowing capacity, timeframe and the type of property you’re looking for.

A softer market can create opportunities through reduced competition and greater room for negotiation. The key is assessing the individual property and determining whether the price represents fair value, rather than buying simply because broader prices have fallen.

Q: Should I buy property when prices are falling?

A: Buying in a falling market can present opportunities, but property selection becomes particularly important.

A price reduction alone doesn’t make a property a good purchase. Buyers should consider comparable sales, location, scarcity, condition, future demand and any property-specific risks before making a decision.

For long-term buyers, securing a quality property at a well-researched price may be more useful than trying to perfectly time the bottom of the market.

Q: Should I wait for Sydney property prices to fall further?

A: No one can reliably identify the bottom of a property cycle in advance.

Waiting may result in a lower purchase price if values continue to fall, but conditions can also change and competition may return as buyer confidence improves.

Rather than making a decision based solely on predictions about where the broader market is heading, consider whether the right property is available now, whether its price is supported by current evidence and whether purchasing makes sense for your circumstances.

Q: Do all Sydney properties lose value during a market downturn?

A: No. Broad market figures are based on aggregated sales data and don’t mean every property is moving by the same amount.

Individual properties can perform differently depending on location, property type, scarcity, condition, position and buyer demand. Even neighbouring properties can experience very different levels of competition.

Q: What should I look for when buying property in a falling market?

A: Look beyond the advertised price.

Consider recent comparable sales, the quality and scarcity of the property, its position, condition, floorplan, natural light, land, surrounding development and long-term appeal.

It’s also worth understanding why the property is selling and whether the vendor’s expectations have changed.

Q: Is a buyer’s agent worth using in a falling market?

A: A buyer’s agent can help independently assess a property’s value, analyse comparable sales, identify potential risks, source opportunities and negotiate on the purchaser’s behalf.

That can be particularly useful when market conditions are changing because previous sales or asking prices may not accurately reflect current buyer demand.

A buyer’s agent represents the purchaser, whereas the selling agent is engaged to represent the vendor.

Q: Can a buyer’s agent find off-market properties in Sydney?

A: Buyer’s agents can use their relationships with selling agents to identify properties that are available before they are publicly advertised or, in some instances, not intended for a public marketing campaign.

Rose & Jones maintains a network of more than 3,000 agents across NSW as part of its process for identifying on-market, pre-market and off-market opportunities for clients.

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Data sources:

1. Revealed: The Sydney suburbs where property values have fallen by up to $353,500 – Time Out Sydney
2. Australia’s biggest property price falls revealed as values drop by up to $353,000 – Domain [domain.com.au]

Figures accurate as at 30 September 2026.