2025 and Beyond Wollongong Property Market Outlook: Key Insights for Buyers and Sellers

Looking toward 2025 and beyond, the Wollongong property market continues to attract the interest of investors, buyers, and sellers. With its breath taking coastal views, thriving community, and expanding infrastructure, Wollongong has solidified its reputation as a sought-after destination for both residential and investment properties.

With three decades of experience in real estate, Joanne Danckwardt of One Agency JD Property Agents has witnessed market trends evolve over time. Forecasting the market’s near future is often challenging, and it’s understandable to feel uncertain about the timing of buying or selling. The fear of making the wrong choice or missing out on a better opportunity can naturally lead to hesitation.

One constant remains: if you buy and sell within the same market conditions, you're unlikely to experience significant losses. Historically, property values generally rise over time, although the pace of appreciation can vary—sometimes taking a year, three years, five years, or more. So, what key factors should you weigh when deciding to buy or sell in 2025 and beyond?

What affects the real estate market?

When examining the market, it’s important to consider various influencing factors. It’s not solely about the number of buyers and sellers involved.

The past few years have seen significant fluctuations in the Wollongong property market, influenced by various economic factors and buyer sentiments. After experiencing a boom, the market is now shifting, leading to new dynamics that potential buyers and sellers must navigate.

The last significant downturn in the real estate market was during the Global Financial Crisis (GFC) which, much like the COVID-19 pandemic, took many by surprise. However, the effects of the GFC on real estate differed from those of the pandemic. High unemployment due to business closures dampened buyer confidence at that time. In contrast, various elements currently contribute to a more optimistic outlook.

Factors likely to influencing the real estate market, include:

• Interest rates
• Inflation levels
• Economic conditions
• Employment levels
• Everyday living costs, such as fuel and essential groceries
• Investor activity
• Supply and demand
• Infrastructure development 
• Population growth

These various influences demonstrate the complexity of predicting market trends, as multiple elements come into play.

When is a good time to sell?

Spring is often an ideal season for buying and selling, marked by an increase in both sales and new listings. Many people aim to sell before Christmas, allowing them to celebrate the holidays and New Year in their new home.

The same trend can be observed in January and February as people prepare for Easter. While some believe winter is not an opportune time to list a property, the reduced number of homes on the market during this season can actually work to a seller’s advantage. Listing your home in June or July may result in less competition. When fewer properties compete with yours, you’re likely to achieve a better sale price. If there aren’t many similar homes available, you’ll attract quality buyers ready to make a purchase.

Ultimately, if your personal circumstances suggest it’s time to sell, then that’s the right moment for you. 

When is a good time to buy?

The average journey for a buyer takes about six months. For buyers, this journey can be quite challenging. Buyers often keep a close eye on forecasts for the Wollongong property market, however, predicting the future of this market can be uncertain.

To assist with navigating what can be a frustrating process, thoroughly research available properties, comparing their features and price points, and have your finance ready. This will help you determine which homes fit your budget and lifestyle. Stay up to date with the latest Wollongong property market updates for Fairy Meadow, Balgownie and Mount Pleasant / Mount Ousley from Joanne Danckwardt of One Agency JD Property Agents.

By taking this approach, you can choose a property that will serve you well over the long term. Ultimately, it won’t matter what the market is doing today. Over the next decade, whether you buy at a market peak or a trough, your home is likely to appreciate in value. While property values may fluctuate in the short term, they generally trend upward in the long run. If you’re patient, the real estate market will reward you.

Instead of trying to time the market, focus on finding the right home for you. If you discover a property that you love, don’t hesitate—make the purchase!

How accurate are Wollongong Property Market Forecasts?

Despite well-meaning intentions, accurately predicting the real estate market is nearly impossible. Forecasting attempts to predict the future, and the reality is that market conditions can only be understood today, with the market factors always changing.

Looking back, speculation can be intriguing, but it often proves unreliable. Some predictions hit the mark while others miss it entirely. For example, the recovery from the GFC was much quicker than anticipated, thanks to the strength of the Australian economy. Similarly, many expected a downturn in the property market during COVID-19. Who could have predicted that record low interest rates, coupled with the rise in remote working allowed Australians to relocate to regional areas with more space, and a home that allowed for a home office setup.

What to Consider in 2025 and Beyond

If you're contemplating selling or buying in the Wollongong property market, here are a few key considerations:

1. Market Timing:
   While it’s tempting to wait for the perfect moment, remember that real estate is inherently cyclical. Whether buying or selling, understanding the market’s current position can help you make informed decisions. 
2. Long-Term Investment:
   Real estate is a long-term investment. While short-term fluctuations can be concerning, history shows that property values tend to appreciate over time. Consider your investment horizon and how Wollongong fits into your broader portfolio strategy. 
3. Expert Guidance:
   Navigating the property market’s complexities can be challenging. Partnering with a local real estate agent who has in-depth knowledge of the Wollongong area can offer valuable insights and guide you in making informed, confident decisions.

Wollongong’s appeal remains strong, with ongoing demand for housing driven by its proximity to Sydney, excellent schools, and lifestyle amenities. With a robust local economy, ongoing infrastructure development, and a vibrant community, the outlook remains positive. Whether you’re a first-time buyer, a seasoned investor, or looking to sell, staying informed and working with experts can help you make the most of this market.

If you feel you could benefit from Joanne’s experience with buying and selling, simply reach out.  If you have any questions, or you know of anyone who may benefit from our real estate services, contact Joanne on 0426 264 771.