Sydney Harbour, New South Wales, Australia

One Buyers Agency end of year review and outlook for 2023

Our Directors Carli Skurnik and Jayden Hurvitz look back on this year’s property market and predict what 2023 will hold for buyers and investors in Sydney’s eastern suburbs.

Investing in property has been a rollercoaster ride for the last few years, and you may be wondering how 2022’s events have impacted the market, whether property prices will drop further, and what the eastern suburbs property market will bring in 2023. 

We believe that there’s cause for confidence and hope this helps to answer some of your questions.

2022 was a year of rate rises and reluctance

Two years of dramatic and unprecedented price rises fueled by Covid disruptions and FOMO have given way to a much more sober 2022. 

This year, the RBA’s attempt to put the brakes on the economy and ease inflation has resulted in eight interest rate rises and an official cash rate that has moved from a low of 0.1 to 3.10 per cent. Partly as a result of this, property prices have fallen between 10 and 20 per cent in 2022. 

People are understandably concerned by the higher cost of credit, and the general cost of living increases. For many, it’s caused a lack of confidence and a perception that the property bubble has burst. 

Buyers are also holding back in the expectation of further market corrections. Vendors have been affected by the downturn and some have decided to delay selling their properties or have chosen private, off-market channels to gauge buyer interest. 

All in all, the rapid turnarounds on property purchases in 2020-21 have been replaced by a slower, more considered sales cycle. And, in many ways, the market correction has represented a return to healthy levels.

We’re pleased to say that despite the ups and downs, we’ve had an incredibly successful year with hundreds of properties successfully purchased for our clients. We’re also proud of the great deals we’ve secured and of all the positive feedback clients have given us.

What can we expect in 2023?

Property intelligence firm CoreLogic has reported that the downward trend has been consistently slowing and that this turnaround is coming predominantly from the Sydney and Melbourne markets.

The International Monetary Fund (IMF) has also recently announced that, despite the decline in property market values, Australia will likely avoid a recession and is on a path to a “soft landing”.

This combination of factors makes the outlook positive. And there are many other circumstances to consider when planning for 2023.

Lower versus upper ends of the market

Pessimism is most evident in the first home buyer market where property prices sit at anywhere up to $1m, although this could be offset to some degree by impending stamp duty reforms that will give first home buyers more incentive to make a move.

The high end of the market has been as robust as ever, with demand from clients for premium properties continuing to be strong. Compounding this is the influx of high-net-worth investors from overseas who are keen to buy in the area, even after factoring price and interest rate rises into the equation.



As always, there’s a dilemma in the form of stock scarcity, with the eastern suburbs being impacted by a property shortfall. This is especially the case for buyers wanting to secure fully renovated, freestanding houses. As a result, the market in high-end, updated homes is unlikely to soften much further.

Opportunities to upgrade in the current market

A significant source of opportunity for buyers across the spectrum is the narrowing price gap for various types of homes. 

Currently, the difference in price between units and the semis on the one hand, and semis and houses, on the other hand, is smaller than it’s ever been. This makes the prevailing market ripe for cost-effective upgrades.

A good time to invest for the next generation

There’s no better time than the next three to six months if you’re looking to buy a unit or semi for your kids in the eastern suburbs. 

Planning ahead for their future now is key to getting in before the market starts on another upwards cycle, which is sure to happen when interest rates stabilise and the economy gains strength.

This is especially the case for family members who are over 18 and qualify for the first home buyer’s grant scheme.

Adapting to the market is essential for buyers

Last year it was common for properties to sell for amounts that were between 20 to 40 per cent higher than quoted. Although the situation has turned around and conditions are now very different, the expectation of inflated results is still very much on people’s minds. 

As a result, buyers are missing out on some great deals. We’re seeing real price reductions on a weekly basis and the parties that are committed, educated and have professional support on their side are the ones that are successfully seizing the opportunities.

When is the best time to buy in this market?

Despite the latest interest rate rises and corrections in the Sydney market overall, the eastern suburbs have remained resilient and seen growth. The numbers at recent open house inspections are on the rise and off-market activity is also strong with buyers and sellers working together privately.

We believe that the next six months will continue to be a buyers’ market and it’s important to act on opportunities without delay.

Whether you’re thinking of upgrading to a bigger home, downsizing, rightsizing or just keeping an eagle eye on the market, we look forward to helping you achieve your property goals in 2023. Contact us now to get started.