Cool, calm, collected.

BresicWhitney sold 123 homes representing over $267 million in May, with a further 149 homes launched to market. Activity across the lifestyle markets lifted from a disrupted April, with sales up 34% month-on-month and 11% year-on-year, and new listings up 16% annually. The number of buyers out in market also increased by 10% in May compared to a year prior, representing underlying healthy engagement in a changing market. A 16% pull-back from February’s peak points to a market that has moderated from its early-year highs.

That moderation across May is also visible in average days on market and auction clearance rates. After holding steady through the first quarter, days on market climbed to 41 in May - the highest point of the year so far, and 57% higher than this time last year. Sydney's auction clearance rate in May was reported by Domain at 51%, down from 65% a year ago, while BresicWhitney's own auction clearance rate of 68% reflects a similar downtrend from 83% in May 2025.

"The market has moved through a significant amount of change in a short period of time and has held up reasonably well in the face of it,” said BresicWhitney Acting Chief Executive Will Gosse. “May was going to test market depth after a disrupted April, and it tells us the market has come back from the peak we saw in February this year."

The Federal Budget added a further layer of complexity in May, with proposed changes to negative gearing and capital gains tax shifting sentiment among investors and owner-occupiers alike. "The Sydney market responds to what is anticipated. Sentiment plays a huge role and we must remember that in how we forecast future market activity. The family home has become more valuable, and that will be influencing everyone's decisions - including those who will now look to hold, whether as occupiers or investors."

"The data is telling and reflects what we’re seeing on the ground, however it doesn’t create a defining story. The buyers who are in the market are serious. It's the depth, not the intention, that has changed. That’s an important distinction to make,” Mr Gosse added.

Open home attendance across Sydney’s lifestyle markets, as tracked by BresicWhitney:

January 2026 - 5,660 buyers · 27 days on market

February 2026 - 6,313 buyers · 28 days on market

March 2026 - 5,939 buyers · 28 days on market

April 2026 - 5,826 buyers · 37 days on market (public holiday impact)

May 2026 - 5,313 buyers · 41 days on market

May 2025 - 4,843 buyers · 28 days on market

Pockets of strong performance.

May sales point to continued interest at both ends of the market: affordable entry-level homes and tightly held prestige properties. "Activity in both segments is healthy and we're not expecting any significant changes to how these homes perform over the short-term. The market continues to reward unique properties, high-quality renovations, and great Sydney views. When these exist, and there's alignment between buyer and seller, we are seeing balanced results."

Sold at auction by BresicWhitney:

5 Allen Street, Glebe - $4,355,000. A freestanding single-level character home on 424sqm in the tightly held Toxteth Estate. Three active bidders, sold to an owner-occupier.

10 Terry Street, Balmain - $3,312,000. A period home in one of Balmain's most sought-after streets. Four bidders competed at an auction brought forward by a week.

34 Flora Street, Erskineville - $1,925,000. A newly renovated terrace on one of Erskineville's most liveable streets. Three bidders, sold to an owner-occupier.

13/269 Riley Street, Surry Hills - $896,000. A one-bedroom apartment that drew 54 groups in its first open week, despite no parking, for its proximity to the CBD.

Sold prior to auction by BresicWhitney:

7 Stack Street, Balmain East - $11,250,000. A Victorian Revival estate c1870 on 938sqm with northerly harbour views over Mort Bay. Sold to an owner-occupier.

10 High Street, Edgecliff - $4,300,000. A freestanding house in one of Edgecliff's most prestigious streets, drawing three interested parties before selling prior to auction.

41 Wells Street, Redfern - $1,915,000. A double-fronted, single-level home steps from Redfern's village dining scene. Sold to a local buyer.

Rental market.

The Federal Budget's proposed changes to negative gearing and capital gains tax have prompted questions across the investment market, but significant moves have not followed. BresicWhitney Head of Property Management Chantelle Collin said owners are running the numbers, not acting on them. "We are seeing more owners checking where they stand with their current investments. That may shift if and when legislation is passed, but to date we haven’t seen yet significant shift."

Across the group's portfolio of more than 5,000 properties, Ms Collin said most investors continue to recognise the long-term value of property ownership and, where financially viable, are expected to hold their assets.

“Should more investment properties come to market over time, strong demand from first-home buyers is expected to underpin those sales. However, many investors are likely to adopt a wait-and-see approach until there is greater certainty around the proposed legislative changes. The grandfathering arrangements announced in the Federal Budget have also provided reassurance for existing property owners.”

The more pressing concern was housing supply, which remains the leading constraint across Sydney’s rental market. "More properties being purchased by owner-occupiers rather than investors will increase rents due to tightened housing supply. Rental pressure already exists for tenants. This will compound it,” she said. BresicWhitney leased 148 homes in May.

Like the rate cycle and broader economic conditions, how the legislation ultimately reads will shape what comes next. Until then, the rental market, like the sales market, is watching and making decisions accordingly.