As we close out the financial year, we once again find ourselves in an economy full of contradiction and opportunity.

Inflation figures are in and continuing their downward trend, at just 2.1%. It’s the kind of consistent easing the Reserve Bank of Australia has been waiting for, and it’s now strengthening the case for further interest rate cuts.The RBA has already made two cuts since February, bringing the cash rate down to 3.85%. Now, there’s strong talk of another cut in July, with some economists forecasting further reductions in August and November, potentially landing as low as 3.1% by early 2026. Source (30 Rates)  This is fantastic news for home buyers. Cheaper borrowing means more accessible repayments, more competition among lenders, and often a confidence boost for those sitting on the sidelines waiting.

But of course, in life, nothing is straightforward.

Recent U.S. and Israeli strikes on Iranian nuclear sites have triggered a spike in oil prices. In Australia, analysts are warning that we could see petrol prices surge to $2.50 per litre, straining household budgets and adding pressure to the cost of living. Lower interest rates certainly support market activity, but increasing daily expenses (especially for petrol-dependent households) could stall buyers.

Locally, we’re seeing a positive shift in momentum. Activity has picked up over the past couple of months, a trend that bucks the usual pattern of spring through summer being our busiest period. This is encouraging, especially for vendors preparing for a winter campaign.  However, one thing we feel needs clarifying, especially for buyers unfamiliar with our coastal market is days on market.

In metro markets like Melbourne, a property that sits unsold for too long may be perceived as stale or flawed. But on the Surf Coast and along the Great Ocean Road, it’s a totally different story. With our smaller buyer pool and unique lifestyle driven market, a longer campaign doesn’t reflect poor quality or mispricing, it simply means the right fit hasn’t walked through the door yet. Some of our most stunning homes take time to find the perfect buyer, and that’s okay. Patience pays off in our part of the world.