The RBA has left the cash rate unchanged at 4.35% for a second consecutive meeting, which will provide some relief after three increases earlier this year. For the property market, however, a hold does not suddenly remove the pressure buyers have been dealing with.
For agents, I think that requires a shift in mindset. You cannot sit around waiting for interest rates to fall before expecting activity to return. There are still buyers who need to buy and owners who need to sell, but putting those transactions together requires a much better understanding of what people can actually do in the current lending environment.
Buyer qualification becomes particularly important. Knowing whether a buyer has finance approved, what they can realistically spend and whether their position has changed gives you a far better understanding of the depth of your buyer pool. An enquiry or an inspection does not automatically make someone capable of purchasing at the level they were considering six months ago.
The same information matters when speaking with vendors. If borrowing capacity has tightened, agents need to be able to explain what they are seeing from buyers and how that is translating into offers, competition and ultimately price. Those conversations need to be based on current evidence rather than where the market was previously.
I have always believed agents should be able to operate in any market. Strong conditions can make the job easier, but building a sustainable real estate business means knowing how to transact when conditions become more challenging as well.
The RBA will eventually move rates again, whether that comes sooner or later. Until then, agents still have a market to work in, and the ones who understand their buyers, communicate accurately with their vendors and stay focused on the transactions in front of them will be in a far stronger position.