Market performing surprisingly well
Well, open inspections are back on and as I write this market report, we are now entering stage 2 of the Coronavirus calamity.
Surprisingly enough, the property market in the areas of the Lower and Upper north shore, Northern Beaches, and parts of the East are holding their own due to very low levels of stock.
We had about 380 properties go to auction last weekend and the clearance rate was just over 60 percent, which I thought was very acceptable due to quite a high volume of properties going to auction.
One of the key factors that might put some brakes on the market moving forward will be the difficulty, and length of time to get finance. If you are in certain industries like tourism, hospitality etc. that are directly affected by lockdown, banks are very hesitant to lend you money unfortunately.
Property deals are also taking a lot longer to get together at present, with most owners choosing to take longer settlements, and buyers asking to put down smaller deposits.
PK'S Sydney Property Market Predictions
There are many doomsayers out there at present but I am not one of them. It's all about being on the ground in all areas of Sydney which I am, except for outer West, and seeing firsthand what is transacting.
With the stock being so low, I am seeing buyer competition slowly but surely building, and the appetite for jumping back into the market is building week by week.
My prediction is that the Government will stimulate the property market, in Stamp Duty exemptions and increasing First Home Buyer grants, relaxing foreign buyer tax etc. This will then bring a very strong market from the months of Spring this year, moving into 2021.
PK'S Hot Property Tips
Stop trying to pick the bottom of the market, buyers, the froth has come off the coffee and now we are looking at the coffee. Get out there and buy some B grade and A grade properties.
Call me today for a confidential chat in regards to helping you purchase your next home or investment property. Peter Kelaher 0419-200018
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