Market Report – Spring
Market balances back towards the buyer during spring
Despite the new APRA directives curbing investor borrowing, savvy buyers are realising the long term investment potential of the competitive Sydney market and have not been deterred by negative press surrounding market performance and recent lower clearance rates.
Particularly in the Eastern Suburbs area, prices over the last three months have been solid as home buyers, encouraged by the lifestyle factor and low interest rates, have entered the Sydney market looking to reap the rewards in many years’ time as a growing population will mean growing demand for a slice of the Sydney lifestyle.
The last 3 months have also shown the importance of selecting the right agent for the sale of your home as the negotiation process became even more important in achieving a premium price.
What are your market expectations for the next 3 months heading into the summer and holiday season?
We anticipate that stock levels will fall towards late December due to both negative press around the Sydney market but also due to the Christmas and New Year holiday breaks as property owners and agents decide to hold new listings until 2016 and take some time off instead.
Due to this, many agents and property owners will be looking to prepare their properties and sales campaigns in late 2015 ready to go live and on the market in the early stages of 2016.
We predict that interest rates will remain on hold at their current low levels over the summer period with the RBA to revisit the rates in February/March due to many banks moving their rates independently in early 2016.
We can’t see home values dropping much over the summer season as lower stock levels will mean more buyer competition, however we do not expect to see the intensity that we experienced during the mid 2015 market.
Now is the perfect time to approach Craig & Kiki, your local agents, to discuss the sale of your home and to get tips about how to prepare your property for sale in 2016.
On the other hand, it is also a great time to prepare yourself for a purchase ahead of the new 2016 stock influx while rates are low. Do not hesitate to contact us should you have any questions or require further information.
