Buyers have more choice but its still a sellers market
The Traditional increase in the number of homes for sale during spring has begun,with the daily telegraph reporting a 16% jump in sydneys stock compared to this time last year(based on corelogic numbers).
This is great news for buyers as it gives them more choice ,however we still consider it a sellers market with demand remaining very strong.
owners who have been waiting for the peak shouldnt wait any longer .Now is the time to fully capitalise on this phenomenal boom which began all the way back in mid -2012 and has delivered an extraordinary 75% bump to sydney home values.
What happens next now that Sydney is cooling?
We usually see a few typical trends at the end of boom periods.We should emphasise that the current cooling does not signal the end of the growth cycle for Sydney,its just the rate of growth that is going to change.
here’s what we are likely to see over the next six months :
1.Listings will increase as more sellers come to market hoping for a boom price.
2.Buyers will become more discerning in their choice of property as stock rises.
3.The best quality homes will still achieve strong sale prices if marketed well.
4.Many sellers will need time to adjust their expectations now that the market has turned,resulting in higher days on market and more vendor discounting.
5.there will be some softness in the new apartment market,with a lot of new apartments nearing completion stage right when investors are exiting the marketplace (a return of first home buyers looking to use stamp duty discounts might offset this effect somewhat)
“Bank of mum and dad” now Australia’s 5th biggest lender
Australia has a new mortgage lender that is ahead of every boutique lending institution in the country with only the big four banks lending more,according to a national survey by financial comparison site mozo.com.au
About 1 in 3 young buyers are relying on the ‘bank of mum and dad’ to help them buy,with parents in NSW stumping up an average $88,000 to help their child buy their first home.
About two third of parents surveyed said they didnt expect to be repaid and 9% said they had delayed their retirement to help their kids.