Market tipped to be strong all Year
Well it's a new year and I wanted to wait a few months before writing this property update to see if anything had changed much from the end of last year. Well unfortunately it hasn't the stock levels are just the same if not worse in some areas inclusive of the northern beaches, lower and upper north shore, inner west and northern beaches. The eastern suburbs has loosened up a little but not a lot. The main problem we have at the moment is that no one is prepared to sell before they buy in fear of being locked out of the market because of extremely low stock levels. So it becomes a Mexican standoff and therefore no one does anything. The only good thing about these stock levels being so low, is that it is keeping up the prices for sellers. Do I see any reprieve to this situation in the short term unfortunately no. The agents are calling this the new market moving forward, and are now using the analogy of the only people that are really selling are the DDD clients. And that means the only people that are selling are downsizers, the divorced and the deceased. The only things that are going to shift this market is a sharp rise in unemployment, a sharp rise in interest rates, or a huge global unsettlement. Please note that all of the above is not what we want to happen just so that we can buy a cheaper house or find our dream home, as these ramifications put people in extreme financial difficulty. If this supply and demand factor continues in 2017 which I believe it will we will be looking at the same price increases as 2016. Most of the properties I am delivering to clients at present are what we call off- market properties, silent sale properties not advertised to the general public. The great advantage to this is that in most cases you have no competition. The main problem we have at the moment is that there is just not enough stock to quench buyer demand. Will this change in the short term, my answer is no, and unfortunately I am hearing the same story from agents.
PK's Property Market Predictions
If you think this market is going to go down in any hurry think again. This is not the time to be second guessing the market this is the time to buy.
PK's Hot Tip
One of the advantages we are giving our clients at present is the opportunity for us to find them silent sales, that is properties off market not advertised. If you would like to have an edge in this current market feel free to give one of our buyers agents a call today on 99601066. If you would like to receive PK's Sydney Property Market updates, hot investment tips and much more please subscribe here. Or call one of our buyers agents today on (+61) 2 9960-1066 or email us so we can help you find your next dream home or investment property for the lowest possible purchase price. Also don't forget PK's 2 min video tutorials on youtube showing you hot tips and negotiating tricks of the trade.