February delivered a month of surprising property results despite borrowers absorbing the ninth cash rate increase. The RBA took a strong stance against inflation, stating that they won’t hesitate to lift rates higher and for longer. This led to predictions that property prices would continue to trend downwards during the month, but the opposite occurred. Sydney prices stabilised and even increased by 0.3% according to CoreLogic data. The auction market also delivered the best clearance rate since February 2022.
The lower level of listings was a key factor in the better-than-expected February results. Fewer new properties coming to market generated urgency among buyers to make an offer. Homeowners looking to sell need to realize that buyers are looking for better value for money, and they may need to adjust their asking price accordingly. While negotiations continue to take place, the gap between the value buyers see and the price sellers want is closing.
Taking a closer look at our market place it is important to note that the medium housing prices for each of the suburbs our office services, such as Epping, Eastwood, Carlingford, Ermington, Dundas Valley and North Epping, continue to hold their medium values and remains blue-chip in the eyes of buyers. The most notable sales results being that of 43 Devon Street in North Epping and 10 Central Avenue in Eastwood which both sold for $2,750,000 and $2,660,000 respectively, and reflect the continued strength of the premium market.
There are still many moving parts in the economy that can impact the property sector. The US inflation rate remains high, and traders in Australia predict that the RBA will raise the cash rate four more times to 4.4%. APRA has also suggested that it won’t change the serviceability rate of 3% on top of a current mortgage offering from the banks. While there is uncertainty, most people involved in buying and selling real estate would be happy if the current performance just held, but a changing landscape is likely in March. Homeowners looking to sell should keep an eye on market trends and adjust their approach accordingly.
If you’re a homeowner looking to sell your property in the current market it’s important to understand that while the market may be stabilising, there is still a lot of uncertainty. It is therefore important to be realistic about your expectations for a sale price so as to not create a scenario in which you remain behind the market in price and risk becoming stagnant.
Another important factor to consider is the presentation of your property. With fewer options available to buyers, you want to ensure that your property stands out from the crowd. This means taking the time to make any necessary repairs or renovations, as well as investing in professional photography and staging to showcase your home in the best possible light.
If you would like receive an updated market appraisal and tailored marketing strategy for your property, I invite you to contact me.
Written by Peter Hunt | 0434 821 219 | firstname.lastname@example.org