Australia’s population is growing faster than ever. The ABS confirms that as of March 2025, we’re at 27.54 million people. A big reason is migration – more than 315,000 arrivals in the past year, which is far higher than the long-term average of about 220,000. What does this mean? Simply put, more people are chasing the same limited pool of homes. And when demand is stronger than supply, prices naturally stay under pressure.
At BeSmart Finance, we see this playing out every day. More clients are coming to us worried about affordability, but the truth is, opportunities still exist if you plan smartly.
Supply Stays Tight
Despite government programs like the Home Guarantee Scheme and new planning reforms, housing supply is still short. New builds remain below target, rental vacancies are under 1% in most suburbs, and property listings haven’t bounced back to pre-COVID levels. In practice, that means when a home comes up for sale, competition is fierce.
From our perspective as mortgage brokers, this is exactly why buyers should prepare ahead of time. Getting your finance pre-approved, knowing your borrowing power, and having the right loan structure ready can make the difference between securing a property and missing out.
Where the Growth Is
Not every state is following the same path. Western Australia and Queensland are leading the way, with populations sitting well above pre-pandemic trends (+142,300 and +137,060 people respectively). South Australia (+47,520) and Tasmania (+15,060) are also trending higher.
Meanwhile, New South Wales and Victoria are lagging behind, with growth below old trend lines. For investors, this means WA and QLD in particular are showing stronger demand pressure – and that usually supports long-term price growth.
The Silver Lining for New Buyers
Interestingly, some long-term investors are choosing to sell. Rising holding costs – from land tax to compliance changes – are making them rethink their portfolios. This opens up extra stock that wasn’t there a year ago. It doesn’t mean homes are suddenly cheap, but it does give prepared buyers more choice than they might expect.
Our advice? Don’t just focus on today’s prices. Think long-term. The fundamentals are strong, demand is here to stay, and with the right mortgage strategy you can step in now and let time do the work.
Let’s Plan Your Move
If you’re considering buying your first home or investment, now is the time to act with a clear strategy. At BeSmart Finance, we help you understand your numbers, explore smart loan options, and give you the confidence to compete in this market. At Be Smart Finance, we’re here to help both first-home buyers and investors navigate these tight conditions. We’ll calculate your borrowing power, compare home loan options, and ensure you meet any scheme requirements. Speak with our brokers today to see how the expanded First Home Guarantee can work for you. Call us on 0408 659 819 or book a free 30‑minute consultation to get started.
