Market update December 2016 – Kiki Bermudez

As we come to the end of 2016, I would once again like to thank you for our continued relationship over the year, for which I am very grateful. The connection I share with you energises me as I grow as an agent and build my wonderful team within Mint360 property.

To summarise the Sydney property market in 2016, it was another year of decent growth, supported by a low cash rate (lowered by 0.5% over the year) and the low supply of properties on the market. Auction clearance rates remained high throughout the year, as buyers were confident in the market despite the sluggish Australian economy and various global economic developments.

I wish you a wonderful holiday season and all the best for 2017. I look forward to keeping in touch and please do not hesitate to contact me with your property goals and aspirations for the year ahead as I would love to help you turn them into a reality.

Now, turning to recent economic information put out by the analysts, the median capital city property prices continued to grow nationally in the third quarter, albeit at a slower rate, and with significant differences in growth rates between cities. This quarter also saw the Australian economy contract sparking fears that we may be heading into a recession; however analysts believe that this will be able to be avoided – and let’s hope so!


Below is the key economic commentary that caught my eye that may be of interest to those looking at transacting property in the near future:

NEWS
RBA cash rate decision
‘At its meeting this month, the Board decided to leave the cash rate unchanged at 1.50 per cent.

Conditions in the housing market have strengthened overall, although they vary considerably around the country. In some markets, prices are rising briskly, while in others they are declining. Housing credit has picked up a little, although turnover of established dwellings is lower than it was a year ago.’

Source: Reserve Bank of Australia


Auction results
Weekend auction results for Saturday 17 December 2016:
– Sydney: 71%
– Melbourne: 77%
– Brisbane: 42%
– Adelaide: 75%
– Canberra: 70%
 
Source: Domain.com.au                                                                                               

House prices
‘Australia’s capital city dwelling prices rose by 1.5% in QIII to be 3.5% higher than a year ago. House prices growth was marginally stronger than other residential dwellings, up 1.6% in QIII and 4.1% through the year to September. Overall, the 3.5% annual growth rate posted in QIII was the weakest level in over 3 years (i.e. since QII 2013)..’

Source: Commonwealth Bank of Australia


Australian economy
‘As feared the Australian economy contracted in the September quarter – with broad based weakness across housing, business investment, public demand, net exports and consumer spending – but here are seven reasons why it’s unlikely to signal the start of a recession.’

Source: AMP Capital


Housing trends for the Eastern Suburbs:

 

 Here are some recent sales reports for a selection of suburbs below: 
If you would like a suburb report more specific to your property type or for a suburb not listed, please don’t hesitate to contact me.

 

 

 This market update contains general information only as of 21 December 2016. Before making any decision or taking any action that may affect your finances, you should consult a qualified professional adviser. Kiki Bermudez or Mint360property shall not be responsible for any loss whatsoever sustained by any person who relies on this market snapshot.

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Kiki Bermudez
Kiki Bermudez brings a remarkably eclectic array of qualifications and experiences to her role as Sales Associate at Mint360property. A Licensed Real Estate in NSW she believes that ongoing performance training, enthusiasm and hard work alongside the best in the business, will continue to shape her skills and experience. A keen and effective communicator, dedicated to the unique Mint360property ethos, Kiki offers her clients unparalleled and professional service, honest advice and commitment to achieving the best results in the exciting Sydney market.