As the clock ticked round to midnight, fireworks lit up skies and champagne corks popped, the majority of us likely had some sort of resolution or goal in mind for the new year.
Perhaps more than any other month in the calendar, January rings with a sense of possibility. After the excesses and indulgences of the festive season, the slate has been wiped clean allowing us to start afresh with plans to eat better, stress less – or to reach our property goals.
Whether you're a first-time buyer eager to step onto the property ladder, an up-sizer eyeing an upgrade, a seasoned investor with a keen eye for the market or a homeowner looking to optimise your mortgage, setting goals is key to achieving success and 2025 holds exciting opportunities in the Australian market.
To help you build a winning game plan, read on for industry experts’ top tips and tricks and savvy strategies, to help every kind of property player succeed in the year ahead.
Resolutions for first-home buyers
The soaring cost of housing has made it difficult for many first-time buyers to enter the property market.
However, after a lengthy period of seemingly impenetrable property price tags, 2025 offers some respite, according to Belle Property’s head of Victoria, Anthony Webb.
“This year the real estate market is set to offer plenty of opportunities for first home buyers to get onto the property ladder. With interest rate cuts and a federal election ahead, well-prepared buyers who know where to look will be well-positioned to make their move," Mr Webb said.
Units in Sydney are also recording strong price growth, particularly in the inner-city market.
But before making your move, planning and preparation is paramount for any fledgling buyer.
“Buying your first home is a daunting experience, so amassing knowledge means you will feel confident in your decision, know if it's priced right, and fits your budget," Mr Webb said.
He said first-home buyers should track property trends and selling prices online to get an understanding of market values. Buyers should also make sure to understand their financial situation by researching government grants and schemes for first-home buyers in your state (such as the First Home Loan Deposit Scheme and Home Guarantee Scheme).
Utilise online tools and calculators to determine your borrowing capacity and comfortable repayments and make sure to get your mortgage pre-approval lined up, Mr Webb said.
“Don't wait until you find ‘the one’ to get your finances in order,” he said. “Approach a mortgage broker or lender early in the year to secure a pre-approval. This demonstrates your seriousness to sellers and strengthens your offer when you find the right property.
“Also, shop around and meet with multiple brokers. Don’t settle for just one opinion – compare several offers to ensure you get the best deal and have a clear picture of your borrowing capacity. Too many first-home buyers regret missing out on the first property they see because they didn’t have their finances in order.”
A dream home is important, but location is equally crucial. Consider factors including proximity to work, public transport links, amenities and future growth potential. Explore suburbs that offer good value for money and align with your lifestyle needs, but — especially if budget is an issue — make sure to be flexible with your location.
“Be flexible with the area you want to buy in” said Mr Webb. “First-home buyers are often working with a restricted budget so, venturing just one or two suburbs further out can unlock more value for your money while keeping you close to the key features and offerings you are after.
“Lastly, if you’re ready to buy, act now. With a Federal election on the horizon and anticipated interest rate cuts, property prices are likely to rise – making this the ideal time to capitalise on current market conditions.”
Resolutions for upsizers
Ready to trade up? As with first-home buyers, the shifting market makes 2025 an ideal time to upsize.
“Right now, it is a buyer's market,” said buyers agent and founder of Melbourne-based Chamberlain Property Advocates, Wendy Chamberlain.
“As the year opens for 2025, there will be lots of homes for sale hitting the market that have been held over the holiday season. And all those homes will be put on the market to sell.”
Upsizing means lining up two property settlements: the home you are selling plus the home you are buying. Picture: Getty
But for upsizers there are multiple considerations, given that there are two properties in the equation: their current property AND the one they want to purchase. So, before you’ve even started to look for your next home, you should prep your current one for sale.
“Start by assessing your current property's value, exploring potential neighbourhoods, and getting pre-approved for a mortgage to ensure a smooth and successful transition,” advised Ms Chamberlain.
“Conduct thorough market research, understand what you can afford, and ask a local real estate agent for an appraisal on your current property — everyone loves to dream but remember to be realistic. Also, put the work into property inspections, research the home's history, take your time — you can never be too prepared.”
Though an auction may be on the cards, Ms Chamberlain said speaking to the agent early on to see if a deal can be had is always a good idea.
“Real estate deals can and do happen quickly for action takers,” she said. “If you've seen a home you love, do your due diligence, and as soon as you're ready to make your offer, do it. We have great success buying for clients early on in an auction campaign — it's about understanding what is important to the vendor and negotiating to meet those terms.”
Speaking of, upsizing means lining up two property settlements: the home you are selling plus the home you are buying. Lining up your ducks can mean the difference between nabbing your dream home or losing it to another buyer.
“Often for upsizers, it's around meeting timeframes on settlement dates, both for yourself and the seller,” she explained. “Settlements can happen on the same day, but you must know your dates when signing each contract of sale. If buying first, allow enough time to get your home sold. If selling first, make sure your purchase settlement lines up with the settlement date on your sales contract. Gather all that information before you make your offer, so you can go in strong with an offer that will more likely succeed to secure your new home.”
Resolutions for investors
As the new year kicks off, property investors will already be thinking about the opportunities that 2025 holds for them, be it diversifying their portfolio, exploring new markets, or optimising existing properties to maximise returns.
“Savvy investors know they need to be proactive, setting clear resolutions that put their financial wellbeing first, along with smart property management and the flexibility to adapt to whatever the market throws their way,” financial advisor and founder of 123 Financial Group, Jen Richardson, told realestate.com.au.
Ultimately, whether it's getting the most out of rental income, reducing debt, or adding to a portfolio – the numbers need to stack up.
“Property investors need a good understanding of their finances,” continued Miss Richardson.
“Interest rates have been higher in the last 12 months than previous years and the market is still uncertain. Interest rates are expected to fall this year but when this will occur is, of course, an unknown. You need to know your cash flow, debt levels, and investment goals.
"This means tracking income and expenses. It also means understanding your loan-to-value ratios to reduce your interest rates where possible. When you know your numbers, you can make good decisions.”
The adage ‘don't put all your eggs in one basket’ is especially pertinent to successful investors. Miss Richardson said the key to maximising returns is to diversify your portfolio, which will spread financial risk, especially in a time when the economic landscape is shifting.
“Diversification is key to building a resilient portfolio,” she asserted. "Think of it like this: if one type of investment isn't performing well, others can help cushion the impact.
"This could involve branching out into the world of commercial property, with its potential for longer leases and different income streams, perhaps exploring new geographic locations, tapping into different markets and demographics. By diversifying your holdings, you're not only spreading risk but also opening yourself up to a wider range of potential returns.”
If in doubt, embrace professional guidance. Property investment can be a complex journey — especially in a rapidly changing market — so it can pay dividends to lean on experienced professionals.
“Don't try to navigate it alone,” advised Miss Richardson. “Building a tram of expert advisors — which might include an accountant, mortgage and insurances brokers, and property managers — is more valuable than ever.
“These professionals bring a wealth of knowledge and experience to the table, offering personalised guidance tailored to your unique circumstances and investment goals.
"They can help you develop a robust investment strategy, navigate complex financial decisions, and stay ahead of market trends and legislative changes.
“In a year where market volatility and economic uncertainty may be prevalent, having a knowledgeable and experienced team by your side can provide invaluable support and peace of mind. Don't underestimate the power of professional guidance in helping you achieve your property investment goals in 2025 and beyond.”
Resolutions for mortgage holders
The start of a new year is an ideal time to take stock of your finances, and your mortgage is no exception. By reviewing your interest rate, exploring refinancing options, and considering strategies such as extra repayments, you can optimise your mortgage and potentially save thousands of dollars over the life of your loan. And the first port of call for mortgage holders — according to Shore Financial senior credit adviser, Edward Taffa — is to negotiate with their current lender.
“Ask your current lender for a rate reduction,” he told realestate.com.au “It’s the best way to save on your repayments, as this route won’t increase the life of your loan and doesn’t require you to pay any fees that may incur when changing lenders. Highlight your good repayment history or mention competitive offers you’ve found elsewhere.”
Regularly comparing interest rates offered by different lenders is crucial to ensure you’re getting the best possible deal — it could save you thousands in the long run. And if you can’t cut a deal with your existing lender, then contact a broker to help you.
A must for mortgage holders are offset accounts and redraw facilities. Picture: realestate.com.au
“Changing your loan structure, budgeting amendments and a sharp rate will save you much more in the long run,” said Mr Taffa. “As brokers are not aligned with one lender, we have access to a large variety of lenders with options, which might be more suitable for your scenario. A good broker will be able to see beyond interest rates. Ideally, you want to sit down and assess your financial position and choose a loan that is best suited for your financial goals.”
Another option is to consider refinancing to a lower rate loan provided the savings outweigh the associated costs, which include exit and application fees.
“Look for cash-back offers or incentives from lenders to offset refinancing costs,” Mr Taffa said. “Additionally, try and refinance over a shorter or similar amount of time of the loan to minimise interest expenses and pay off your mortgage sooner.
“Also, consider making extra payments — changing your loan repayment structure to weekly and save on interest repayments and increase your contribution. For example, on a $1m loan at 6% over 30 years, by paying weekly an extra $50 on a 30-year loan, you save over $123,000 on interest and pay off the mortgage nearly three years earlier.”
Another must for mortgage holders are offset accounts and redraw facilities, which can significantly reduce interest payments on your mortgage by effectively lowering your loan balance, accelerating your loan repayment and saving you thousands of dollars over the life of your loan.
“Load all your income and savings into your offset or redraw to reduce the interest calculated on your loan balance,” said Mr Taffa. “This is an excellent and straightforward way to reduce the interest on your loan while motivating you to grow your savings. Building a buffer is important as life can sometimes through us unexpected costs, having the buffer will ensure you are thinking ahead.”
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