Real Estate
27 August, 2025
What rate cuts mean to market
THE Reserve Bank’s recent interest rate cut has injected fresh energy into the Cairns property market.
While headlines often focus on cheaper repayments, the real impact is felt in buyer behaviour and seller opportunity.
For buyers, the rate cut means increased borrowing power. Many will now find themselves able to stretch further, particularly in the $500,000-$800,000 range where supply is limited.
In suburbs like Trinity Beach, Palm Cove and Redlynch, this will likely fuel stronger competition for quality homes.
First-home buyers and upgraders who were previously on the sidelines are now re-entering the market.
For sellers, this is welcome news. More active, qualified buyers often translates into higher sale prices.
But it doesn’t guarantee success on its own. Today’s buyers are highly informed and they respond emotionally to properties that are well presented and marketed with impact. Professional video, photography, and a strong online presence remain essential to stand out and achieve premium results.
The local picture is especially positive. Cairns continues to benefit from lifestyle-driven migration, strong rental demand and relative affordability compared with southern markets. The interest rate cut only amplifies this momentum.
- Troy McGuane is a director of Palm House Property.
