The best description I can give you is that the Northern Beaches property market is on still on fire with the amount of buyers looking to purchase way exceeding the amount of properties on the market for sale.
House prices have increased by 16% since February 2016, if you bought in 2012 you are sitting on a 65% quick capital gain, and since 2009 the price of real estate has doubled.
The clearance rate in Sydney last weekend was 83.5%, up from 76.5% in the same weekend last year, and the Northern Beaches saw an impressive clearance rate of 85%.
Homes on average are taking approximately 33 days to sell however on the Northern Beaches it’s no surprise that many are selling within a couple of weeks and at record prices.
The low supply nature of the Sydney property market continues to amplify with 12.3% less properties for sale in Sydney now than in February 2016. This continued high demand is a huge factor in our continued price growth.
So what can we expect for the rest of 2017?
Unless we see a lift in interest rates this year (which is unlikely), my prediction is that while stock levels remain at these historic lows, 2017 we will probably see prices to continue to rise robustly. This will certainly add pressure to the issue of home affordability which has recently been highly reported.
Another concern is high debt levels. 1 in 2 Aussies fear they don’t have enough savings to cope with an unexpected financial shock.
Also an oversupply in the unit market is one to keep on. Take a look at this graph showing the rapid increase in unit construction since 2012:
As for now, if your plan is to sell in 2017, you couldn’t pick a better time.
If you have nowhere to go, our property nomination service could help solve this objection. If you’d like to find out more, please feel free to call me anytime.
Thanks for reading,