Buyer's Glossary

Vendor Discount

How far below the first asking price homes are actually selling.

What it is

Vendor discount is the median percentage the final sale price falls below the first asking price.

It tells you, in one number, how much sellers in that suburb are actually moving.

3.3%

The combined capitals median in May 2026, widening from 2.9%. On an $800,000 asking price that is about $26,400 off.

Why it matters

Small discount

seller's market

  • Vendors barely budge
  • Homes sell at or above asking
  • The result = little room to negotiate

Big discount

buyer's market

  • Vendors are meeting the market
  • Asking prices were optimistic
  • The result = real room to negotiate

What counts as high, what counts as low

Shaded from a buyer's point of view: teal is favourable if you are buying, amber is balanced, red is harder. That is why this looks inverted against some other metrics, because a fast-moving market is good for a seller and hard for a buyer.

Under 2.5% Seller's marketVendors barely budge.
2.5% to 3.5% BalancedThe normal range.
Over 3.5% Buyer's marketReal room to negotiate.

Around 3.3% across the combined capitals in May 2026, widening from 2.9%. Oversupplied inner-city units routinely run 5% to 8%, outside this band.

The trend to watch for

It is a lagging indicator, because it is built from deals that have already closed. Pair it with new-listing volumes to see where things are heading.

Private-treaty discounts run wider than auction results, so compare like with like.

What it looks like in the real world

Small discount

seller's market

  • Sells at or above asking with competing offers
  • Agents quote a floor price and reject finance clauses
  • Counter-offers concede nothing on price

Big discount

buyer's market

  • The listing shows a price reduction
  • The agent shares comparables to justify a lower price
  • Vendor accepts a deposit deferral or extended settlement