So far this year has been filled with little to no surprises; the market has responded to the rather significant drop in the latter part of last year, the RBA has left rates on hold and people are still buying homes.
The first full month of Real Estate activity has seen us exchange over 25 properties, list more than 50 and assist with the preparation of countless other new properties in our core areas.
Conversations I am having with other agents in the area are suggesting plenty of buyer activity is contributing to this motivation in people to get their home ready to sell, and I would agree.
Last year a lot of people put their home selling on hold as buyers dried up and prices got tighter, this changed the landscape of the local market with less than 50% of the usual sales transactions taken place across most suburbs in the Upper North Shore.
However, while buyers try to bargain with price and use the market as justification, the sheer number of buyers returning to the market has ensured that most property has competition and this has taken care of any impact ‘the market’ has had on prices.
Interestingly, RBA Governor, Philip Lowe has made a few comments about the housing market lately, talking down price impacts and suggesting that a stabilizing of prices is necessary and not a bad thing. He has also said that “only 10% of people borrow the maximum they are offered” by the Banks, suggesting that there is plenty of room to move for buyers on price – especially considering these approved prices are extremely conservative based on the Banks’ new self-imposed restrictions [a reaction to the Royal commission].
We are still seeing buyers taking their time with claims of finance delays and other related issues, but those that are ready are placing offers and properties are beginning to sell prior to Auction again.
Thomas Merriman.
Thomas Merriman 