There seems to be a lot of positives in the property market right now, giving the appearance that this could be a very good time to be a home buyer or to make the decision to become a property investor.
Changes in the property market are happening and we suspect there’s a lot more to come.
Interest rates have fallen, consumer confidence is rising, the banks are starting to lend more readily and auction clearance rates have been picking up. Furthermore, rental levels are rising in quite a few
localities.
Sydney’s auction clearance rate is now averaging around 70% – well above what was happening last year and 60% at the beginning of the year.
Private sales on the East Coast and generally across Australia are rising and when you consider that the figures are from July, one of the quietest months of the year, it is obvious that sentiment has changed.
In WA, the state that has been in a five year depressed market, the rental vacancies have dropped dramatically to approx. 2.5% and 54% of Perth’s suburbs saw an increase in leasing activity during July with the top five suburbs having an increase in activity of 114%.
Many property industry forecasters are advising first home buyers and prospective upgraders to make their move soon to take advantage of current conditions before the market makes further recovery and prices rise.
In effect that means those who snooze are going to lose out on the opportunities that are currently being presented in a market that is offering low prices and the lowest interest rates ever.