PK's Sydney Property Market Update September 2023
Spring has Sprung
With auction clearance rates steady at 70 percent Sydney wide, the market seems to have shrugged off higher interest rates, and the looming mortgage cliff everyone has been talking about.
With 70 percent of Australian businesses being small, and the other 30 percent large corporates, I do predict that interest rates will have to move downwards next year as retail and discretionary item based companies, mostly small companies are getting smashed at present.
People still seem to be spending their money on holidays and wellness based products, but outside that they have severely tightened up on everything else.
Getting back to property, well it looks as though it's steaming ahead if you are a vendor with an A grade property or strong B grade property, you are selling well. If you are a C or D grade property you are taking a bath on price, and staying on the market twice as long as the better properties.
Please understand everyone we are in a good market not a boom market, as a boom market will have A,B, C and D, grade properties all selling in record time for record prices.
PK'S Sydney property market predictions
I would have to say that interest rates are now on the downward trend, and I wouldn't be surprised if the cash rate drops by 1.5 points by June next year. Because inflation is still high, I don't think you will start seeing the drops in interest rates till next year. Naturally more stock will be coming on the market because it's spring not winter, but I believe it's going to be a lean spring in regards to volume.
PK'S Hot Property tips
People tend to hesitate in buying a property in September, in the hope that October, or November, will bring a whole lot more opportunity and choice but that is not always the case. If you like something I say go for it, property is a long term view 7 years plus.
Please Call me today for a confidential chat in regards to helping you purchase your next home or investment property. Peter Kelaher 0419-200018