Where you’re most likely to score a $50,000 discount on property right now

Aug 20, 2020

Home sellers across the country are lowering their price expectations in droves, new data reveals. But which two capital cities have seen the highest percentage of sellers discount their asking price?

Here’s an exciting stat for all you property bargain hunters out there: the percentage of sellers dropping their asking price during COVID-19 has more than doubled in our capital cities across the country, new Domain data shows.

So which two cities have seen the biggest increase in sellers offering discounts?

Well, the head-and-shoulders leader is Sydney, followed by Melbourne, with Adelaide only just nudging out Brisbane and Perth in a photo finish for third.

But all cities are offering median discounts between $22,000 and $50,000, which we’ll look at below.

A closer look at the stats

Prices dropped on one-in-seven (14.7%) Sydney properties for sale last month, almost a threefold increase from the 5.3% of sellers who offered discounts a year earlier in July 2019.

In Melbourne, the percentage of sellers dropping their asking price during the COVID-19 pandemic increased nearly four-fold from 3.1% in July 2019 to 11.5% in July 2020.

Adelaide recorded the next highest discount figure at 10.1%, up from 3.1% last year, while in Perth the percentage of discounters almost doubled to 10% from 5.3%.

Brisbane followed closely with an increase to 9.7% from 4.4%, Canberra increased to 8.6% from 6.3% and Hobart to 5.4% from 2.8%. Darwin was the only capital to record a slight drop – with 5% of sellers offering a discount this year, compared to 5.5% a year earlier.

So what does that mean for prices?

With most capital cities offering a median discount around 4-5%, the savings you could receive on a median-priced property in each city are: $49,150 in Sydney, $35,254 in Melbourne, $26,810 in Brisbane, $26,210 in Canberra, $24,553 in Perth, $24,351 in Hobart, $23,745 in Darwin, and $22,121 in Adelaide.

But remember, that’s just the median. Better (and worse) discounts are sure to be found.

Here’s a quick table for you to compare the numbers yourself

The percentage of listings with discounts from July 2019 to July 2020:

Sydney: Increased from 5.1% to 14.7%

Melbourne: Increased from 3.1% to 11.5%

Adelaide: Increased from 3.1% to 10.1%

Perth: Increased from 5.3% to 10%

Brisbane: Increased from 4.4% to 9.7%

Canberra: Increased from 6.3% to 8.6%

Hobart: Increased from 2.8% to 5.4%

Darwin: Dropped from 5.5% to 5%

A quick note on the value of the discounts

Now, it’s important to note that the value of the discounts isn’t increasing – just the percentage of properties offering discounts.

Domain senior research analyst Dr Nicola Powell explains: “We’re seeing a broader slowdown in properties, rather than prices tanking, which is good news.

“And I think we’ll continue to see price weakness but the falls to date have been minimal and they’ll stay that way, rather than some of those outrageous predictions we saw at the start of COVID-19 of 30% falls.”

Think you might have found a bargain?

Have you recently stumbled across a discounted property that’s too hard to ignore?

If so, get in touch today and we can help you get your finances in order and apply for a home loan. The lending market can be a little tricky to navigate at present, but rest assured we’re here to help guide you through it.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.


Testimonials

Testimonials

Reviews from clients

Elbre & Lynette N.

Ormeau Hills, QLD
Cindy is amazing. She went above and beyond and then went further than that. We have come a long way with her over the past 7 or so years, and she has become like a member of our family. She always ensured that we got the best interest rates and value for money. She stepped in to save a transaction at settlement to ensure we did not lose the house we purchased by spending hours on the phone to ensure everything went through without a hitch. We cannot fault this amazing lady and hope to continue our working and personal relationship with her😊

Scott B.

Bogangar, NSW
Cindy is dead set the best. Awesome, down to earth, super efficient and knows her stuff. Highly recommend her services as she achieved what we thought was impossible in such a short period of time and with zero fuss. Thanks again n2n Finance, best experience ever!!

Rachel C.

Greensborough VIC.
I can not thank Cindy enough for her help over the last 2-3 months. Myself and my partner have been able to purchase our dream first family home because of her. Not only is she upmost professional but she also makes you feel so comfortable when you need to contact her with any questions( and I had a lot). The dedication that she puts in to her work and relationships with clients is nothing but admirable. Thanks so much again Cindy, we look forward to working with you again in the future.

Erin M.

Reservior VIC.
Cindy was an absolutely pleasure to deal with. This was my first home loan and I was pretty naive to how it all works. Cindy put up with my late night emails and calls answering all my questions and never once made me feel like an annoyance. I felt supported throughout the whole process and really felt as if Cindy had my back. Cindy came highly recommended to me through my Aunty and she did not disappoint. I’ve now recommended her to friends who have also had nothing but a seamless experience with her. 10/10. Thanks Cindy! You’re an absolute legend.

Peter B. and Sandra B.

Narre Warren VIC.
Cindy is hands down the best in the business!
She assisted us with our first ever investment properties and she explained absolutely everything we needed to know. If there was anything we didn’t fully understand she would go over and over again until we did. Cindy is very knowledgeable and professional and by the end of your dealings she will feel like a friend to you. Cindy has also assisted my son with finance in purchasing a home and we have absolute confidence in recommending Cindy to any family or friends we know.

Matthew G. and Bel G.

Ashmore, QLD
This was our first dealing with a mortgage broker and n2n Finance made the whole process of the refinancing of our loan so easy. Cindy was amazing in answering our questions and made us feel we were in good hands with our decision. Thanks Cindy!

Karen L. and Ray L.

Gold Coast, QLD
Fantastic service, Cindy provided us with plenty of options. Our loan with her was 2 years ago but we will be using her for our next property purchase. Totally recommend dealing with Cindy.

Ty C. and Connie C.

Kilmore, VIC
We were referred to Cindy by a member of the family, and it was the best thing that we have been advised to do. Would like to thank you for all the advice, support, encouragement and simpleness in making the change so easy. Thank you Cindy.

Toula & Maria - FRIGG Cafes

Absolute legend in finance, Cindy is more than a leading source, she takes the time to comfortably get to know you and your financial circumstances and needs then looks for a solution.  She sources what is the best option. Even if you are having trouble raising finance from the big 4 banks, Cindy is well networked in the Industry and has many gateway options to assist. We highly, highly, highly recommend Cindy and N2N, great service with results.

Phil J. and Jo J.

Banora Point, NSW
Cindy was an extremely professional, knowledgeable and accommodating when it came to refinancing our home loan. She listened and took the time to understand our personal situation and worked hard to make the change quickly and efficiently and got us a great rate too. I would recommend Cindy to anyone looking to give their bank the flick and save some money. Thanks Cindy.
Read more...