The election's over, rates have just dropped - are you still waiting?

BY CHRIS GRAY, CEO, YOUR EMPIRE

May 2025 has arrived. The federal election is done and dusted, with Labor returning to government once again. For months, property buyers and investors have been waiting on the sidelines, watching the headlines, unsure when to act. The Reserve Bank has just cut interest rates on May 20 – a move that could reshape the market landscape.

But here’s the key: even before the Reserve Bank had made an official move, the smart players were already preparing.

In my 30+ years of buying, investing, and helping others build property portfolios, one truth stands out: the best results come not from timing the market perfectly, but from acting when others hesitate. Waiting feels safe – but it often costs you far more than it saves.

Let's break it down.

Why This Moment Matters

• The election is settled, removing one of the biggest psychological blocks for buyers.

• More anticipated rate cuts will likely lift borrowing capacity, meaning more buyers will soon flood into the market.

• With economists predicting 4–5 rate cuts on the horizon, mortgage repayments could fall significantly over the coming year, making it easier to hold investment properties long term.

• There are no immediate tax, policy, or regulatory threats, creating one of the cleanest investment runways we’ve seen in years.

• Many buyers are still frozen, assuming they can wait it out – but they risk facing higher competition and higher prices once the crowd wakes up.

Lessons from past cycles I’ve seen this pattern repeatedly: after political or economic uncertainty clears, markets don’t just tiptoe forward – they often surge. When confidence returns, demand rises, and with Australia’s limited housing supply, prices can jump sharply.

Most people looking back regret not acting sooner. They rarely regret the properties they bought; they regret the ones they missed.

Why now? Every time you sit out of the market, you’re missing potential capital gains. If prices rise 5–10% in the next 12 months, that’s $50,000–$100,000 on a $1 million property. If you wait another year, you may face higher entry prices and tighter competition, making it even harder to secure quality assets.

Even if the next rate cut doesn’t land for a while, markets are already pricing in that shift. By the time the Reserve Bank announces the next drop, the savviest buyers will have moved.

This is your moment.

If you’re thinking, “Maybe I should wait a bit longer,” ask yourself: how many times in the past have you wished you’d acted sooner? How many opportunities have you watched rise out of reach?

Don’t let 2025 become another year of missed chances.

About the contributor

Chris Gray is CEO of Your Empire, a buyers’ agency that buys homes and investments for time-poor professionals – searching, negotiating, renovating and managing property on their behalf. Chris has spent over 10 years as the host of ‘Your Property Empire’ on Sky News Business channel, where he’s interviewed various heads of property research companies and major industry figures. Chris is a qualified accountant, buyers’ agent and mortgage broker. For more information, visit www.yourempire.com.au and follow Chris on Facebook: @ChrisGraySydney