There is real confusion out there at the moment about the true state of the economy and in the property market buyers and sellers are simply unsure who to believe.
So what are we seeing at the front-line…
Two-speed, one-speed, no-speed. Mining led boom or on the brink of another GFC?
I think it’s the confusion as much as the state of the economy itself that is having a profound effect on the property market. Anyone looking to buy a property does endless research but at present that research doesn’t paint a clear picture which makes buyers and sellers apprehensive.
On the ground I can report the rental market is as strong as we’ve ever seen it. Despite all the doom and gloom it continues to boom. The number of days vacant for our premium $800+ week properties in and around the CBD is sitting at an all time low of just two days. Properties available for rent in the medium price range are almost non-existent.
Sales remain slow and prices definitely represent good buying at the moment. Buyers are certainly in no hurry but we are achieving good results for vendors with realistic expectations.
Also on the sales side an interesting trend is starting to emerge with new rules seeing an increasing number of properties purchased by self managed super funds. As a result we’ve taken external advice so we can better help navigate the administrative technicalities associated with such a purchase.
Overall we are seeing people who are doing it tough but they are still coming through the door so the market is a long way from the depths we saw during the height of the GFC. The much heralded mining boom is definitely not flowing directly down to the suburbs of Sydney but people are still out there looking around.