Key takeaways
The RBA has raised the cash rate to 4.85%, with the four major banks passing the increase on from 13 November.
National listings reached 301,201 in October, up 19.3% on a year earlier as older stock builds.
The national auction clearance rate was 45.6%, well below the 67.7% recorded during the same week last year.
APRA says arrears are ticking up, while mortgage-stress modelling points to continued pressure for some borrowers.
Australia's property market is adjusting to a higher cash rate, with lender pass-through dates, growing listings and mortgage pressure shaping conditions for buyers and homeowners.
This week, attention is turning from whether rates would rise to what the 4.85% cash rate and the 13 November lender changes could mean for household budgets and borrowing decisions.
Meanwhile, more homes are sitting on the market, auction clearance rates remain well below last year's levels, and new data suggests some borrowers are under greater pressure.
Whether you're buying your first home, looking to refinance or keeping an eye on property prices, here's what's happening in the Australian property market this week and what it could mean for you.
1. The RBA has raised the cash rate to 4.85%
The Reserve Bank of Australia (RBA) increased the cash rate target by 0.25 percentage points to 4.85% on 3 November.
It was the fifth rate rise of 2026, with six Board members voting for the increase and three voting to leave the cash rate at 4.60%.
The RBA's next Monetary Policy Board decision is scheduled for Tuesday 8 December at 2.30pm AEDT.
The four major banks have announced that they will pass on the latest 0.25 percentage point increase to variable home loan customers from Friday 13 November.
Other lenders have set different effective dates, ranging from 5 to 19 November.
Using an illustrative principal-and-interest calculation over 30 years, a 0.25 percentage point increase on a $600,000 loan could add about $100 a month to repayments.
The actual change will depend on your loan balance, rate, repayment type, remaining term, lender, and repayment cycle.
This scenario is for illustrative purposes only and may not apply to your situation. It does not take into account any product features or applicable fees.
What this could mean for you:
Check your lender's notice and the date your new rate takes effect. Before 13 November, review your next repayment, household budget, offset balance and current interest rate.
If your repayments are becoming difficult to manage, contact your lender early rather than waiting for a payment to be missed.
You might also be interested in: RBA interest rate tracker
It tracks rate changes announced by lenders on Aussie’s panel, so it doesn’t represent every lender or home loan product available in the market. Rates and effective dates may vary by lender and product.
2. Another rate rise is possible, but forecasts remain divided
The November increase has shifted the focus from whether rates would rise to whether 4.85% is the peak.
In Finder's survey of 40 experts, 11 expected another increase after the November decision, with most of those forecasts pointing to February 2027.
The major banks' forecasts are not identical on what happens after November. Westpac, CBA and NAB see a December pause as their base case, while ANZ has said it is at or near the peak of its tightening cycle.
These are forecasts, not RBA decisions, and they may change as inflation, employment and other economic data develops.
What this could mean for you:
Rather than relying on a forecast about the next rate move, consider whether your budget could manage today's rate and a further buffer.
If you're comparing fixed, variable or split options, look at the full loan cost, features, flexibility and any applicable break costs before deciding.
You might also be interested in: What experts predict for the RBA's December 2026 interest rate decision
3. More properties are sitting on the market
SQM Research recorded 301,201 residential listings in October, up 19.3% from a year earlier, and the highest level in more than five years on its records.
However, new listings were 1.2% lower than a year earlier, while older listings increased 16.2% and properties listed for 30 to 180 days were up 41.1%
SQM said the increase in available stock appears to be driven partly by properties taking longer to sell, rather than only by a rush of new sellers.
National combined asking prices also fell 0.4% over the month, although they remained 1.2% higher than a year earlier.
What this could mean for you:
Buyers may have more properties to compare and more time to negotiate, particularly where a home has been listed for several months.
That does not mean every seller will accept a lower offer. Keep your pre-approval current, check comparable sales and set a firm maximum price before making an offer.
You might also be interested in: When should I make an offer on a house?
4. Auction clearance rates remain below last year's levels
The national auction clearance rate was 45.6% over the latest week, compared with 67.7% during the same week last year. Results varied by city, with Melbourne at 62.1%, Sydney at 52.7% and Brisbane at 23.9%.
Auction results can be affected by listing volumes, local market conditions and later revisions.
A lower clearance rate may suggest softer buyer demand, but it is not on its own a measure of whether a property is fairly priced or whether buying is right for your circumstances.
What this could mean for you:
If a property is passed in, you may have an opportunity to negotiate with the seller afterwards.
Have your pre-approval, deposit position and maximum budget clear before you bid, and avoid increasing your limit simply to win an auction.
You might also be interested in: Buying a relisted property – What to check when a house sale falls through
5. Some borrowers are feeling more pressure
The Australian Prudential Regulation Authority (APRA) said loans overdue by at least 30 days were increasing, while more serious arrears remained low.
APRA also reported that arrears on low-documentation loans reached 4.9% in the June 2026 quarter, compared with 4.2% a year earlier.
Mortgage stress was already a concern for an estimated 31.8% of mortgage holders in the three months to September.
At a 4.85% cash rate, mortgage stress was modelled at 33.1%, equivalent to about 1.82 million mortgage holders. This is a modelled scenario, not a measure of every household’s current position.
What this could mean for you:
If you're worried about your repayments, contact your lender early to discuss available hardship support. You can also review your rate, loan features, household budget, and repayment buffer.
Refinancing may help you find a loan that better suits your circumstances, but compare the potential benefits with any fees, changes to the loan term, features and lender assessment before switching.
You might also be interested in: How to reduce your mortgage repayments
6. Sydney shows how local conditions can differ
Sydney recorded 42,699 total residential listings in October, up 15.2% from a year earlier. Older listings were 41.6% higher than a year earlier, suggesting more properties are taking longer to sell.
Sydney's auction clearance rate was 52.7% over the latest week, compared with 73.6% during the same week last year.
The median price for houses sold at auction was also 8.7% lower than a year earlier, although auction results and prices can vary considerably by suburb and property type.
What this could mean for you:
If you're buying in Sydney, the increase in older listings may give you more time to research and negotiate.
If you're selling, consider local buyer demand, comparable sales and how long similar properties are taking to sell.
An area's headline figures will not determine the outcome for every property.
You might also be interested in: How does Australia's price-to-income ratio compare globally?
What to watch this week
Tuesday 10 November: Westpac-Melbourne Institute mortgage rate expectations update, providing an early consumer read after the rate rise.
Wednesday 11 November: ABS Lending Indicators for the September quarter, including first home buyer and investor loan trends.
Thursday 12 November: Marnie Baker speaks at the Australian Retail Credit Association Credit Summit, while several mutual lenders are scheduled to lift rates.
Friday 13 November: The four major banks are scheduled to pass the 0.25 percentage point increase through to variable home loan rates.
What could the latest updates mean for your next move?
The latest updates point to a market adjusting to a higher cash rate, with lender changes arriving this week, more properties taking longer to sell and mortgage pressure building for some households.
For buyers, growing listings and softer auction conditions may provide more time to compare properties and negotiate. However, higher borrowing costs and lender serviceability requirements still need to be factored into your budget.
For existing homeowners, the 13 November pass-through date is a useful prompt to review your repayments, rate, loan features and offset balance.
Refinancing may help you find a loan that better suits your circumstances but compare the potential benefits and costs before switching.
Meanwhile, first home buyers may benefit from keeping their borrowing power, deposit position, and repayment buffer under review before making an offer.
However, property market conditions vary by location, and the right approach will depend on your individual financial circumstances and goals.
Whether you're buying your first home, planning your next move or reviewing your current loan, an Aussie Broker can help you understand your home loan options and compare loans from our panel of lenders.
