2020 Full Steam Ahead

2019 finished on a really strong note, the Real Estate market did a full recovery from about June to the time we got to November property prices had increased anywhere from 5%-10% and in some cases, a little bit more.

We can normally predict Real Estate trends from the following; buyer confidence, buyers willingness and eagerness to secure a property, bank interest rates, employment levels, the criteria for banks to lend money and the amount of properties that are currently for sale at any one time, in any particular area.

These are the factors that determine property prices and whether property prices are on the rise or on the decline. Over the past 3 years we have seen property prices decline from 15% in 2017 and the second half of 2019 we saw them recover some what.

We think 2020 is going to be very good if you want to sell property and buyers are going to struggle to find the property they are looking for. Buyers will need to be well informed, proactive and have their finances all ready to go because the majority of properties are selling prior to auction and the average for days on market has fallen to just over 20 days.

Coastal properties are already experiencing record levels of buyer activity and as a result of that, auctions are selling for $100’s of $1000’s over reserve. Late last year we had properties in Bondi Beach and Coogee Beach all smashing the vendors reserve prices and we think this will continue on in 2020.

The good thing about the property market is you can secure finance for under 3% and in many cases you can lock your rate in for a period of 5 years, to give you piece of mind. Mortgage brokers are pretty much relieved that the bank lending criteria has been reviewed in favour of the buyer and the new government assistance plan for first home buyers wanting to buy up to $650,000 with a deposit up to 5%. There is no doubt that this scheme will fuel the bottom end of the market, throughout the east coast of Australia.

Sellers should be getting themselves ready right now, February and March are prime time to sell your home. Buyers can feel some confidence that most of the quality properties will come on the market after Australia Day 26th January 2020, which will give them a little more choice.

NGFarah have a host of quality properties listed for February and March, talk to one of our Sales Representatives should you be interested to sell your home.