If we had a dollar for every time someone said to us, "I really regret not buying before Covid," we could probably afford that extra bedroom in Sandringham.

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We all remember the mood in early 2020. The headlines were dire, the world felt uncertain and many predicted a significant property crash. Most buyers froze. They waited for a certainty that never arrived and while they were on the sidelines, the Melbourne market surged. We saw the same pattern during the Global Financial Crisis in 2008. While the public panicked, those who recognised the fundamental resilience of Melbourne because of population growth and chronic undersupply secured homes that have since seen incredible capital growth.

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As we move into May 2026, the landscape feels strangely familiar.

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Right now, caution is the dominant mood. Interest rate fatigue and global headlines have created a wait and see culture. However, at Peritum Property, we see this as the perfect landscape for strategic buyers. While the crowd is cautious, the competition is lower. Auction clearance rates have moderated to a balanced 58% and for the first time in years, we are seeing a healthy Autumn supply flush that gives our clients genuine choice and negotiation leverage.

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Perhaps the most compelling reason to look at Melbourne right now is the sheer affordability gap that has opened up. In a historical first, Melbourne has been left behind by the growth spurts of other capitals. Recent data shows that the median house price in Melbourne, sitting around $980,000, has been overtaken by Brisbane at $1.2M and Perth at $1.06M.

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Melbourne has experienced the slowest growth of any mainland capital over the last few years, but experts from firms like KPMG and ANZ are tipping that this underperformance is about to end. History shows that when Melbourne and Brisbane compete for the same median, Melbourne eventually reasserts its dominant position. With our population growth still outpacing the rest of the country and a severe housing shortfall, the pressure is building for a significant price correction.

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In five years, we believe the conversation won't be about interest rates; it will be about how undervalued Melbourne property was back in 2026. We don't want this to be another moment our clients look back on with regret.

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The best time to buy was 10 years ago. The second best time is now, while the rest of the market is still second guessing itself.

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We specialise in finding the value that the headlines miss. Contact the team at Peritum Property today to ensure you are on the right side of the next market cycle because by the time the certainty returns, the opportunity will already be priced in.