Interested to get peoples thoughts on where to from here for property prices?
Going down further?
Treading water?
Going up?
Depends where you are and what you’re buying.
In the blitz heartland (inner north) I reckon the high end stuff $2.5M+ is till moving.
But there’s some decent places to be had under $1.8M that have come down in price, or not had the rises that we all kept hearing about. (Was probably over priced anyway)
All in real terms my view js
Perth, Brisbane median property to keep moving slowly north based on affordability. Unsure about Adelaide.
Syd and Melb still treading water/heading backward in real terms.
Lifestyle and high end property to continue to take a bit of a bath after a ridiculous 18 months.(Tassie, high end city, regional lifestyle destinations)
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Agree, it is markets within markets, has definitely crept back a tad where I am but now appears to be stabilising as demand in lower price points snaffles new found supply in that range.
I think it will remain stable/down slightly for 2-3 years before gradually starting to creep up again at hopefully a normal 2% a year type rate
There are currently less properties on the market than not so long ago.
Those that are on the market are in many cases forced sales, so if you are looking for a property, and you find one of interest, hit them with a low offer and gauge the reaction.
We were looking at a unit in Port Melbourne last week and it had a range from $650 to $700k. Not for us, but when we were viewing another person made an offer of $550k unconditional, settling quickly. I expected the Agent to tell him to Fark off, but he said he would call the owner straight away. So in some cases it may be a buyers market !
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Days on market has doubled in most/many suburbs. So it’s certainly swinging toward a buyers market. If you’re casting your net wide, and not falling in love with one property, there will be some buyers prepared to deal, but you may need to be prepared to wait for someone to be more desperate to sell than you are to buy, or just focus on places that have a high days on market number.
The banks think that overall, we’ll see a drop of 10% next year, and 5% in 2024. But the banks usually promote worst-case scenarios, and are frequently wrong, so take future predictions with a grain of salt.
Supply and demand are the drivers. Some areas will just keep going up, and some will drop disproportionally.
I expect Adelaide to continue running up for some time. Houses are cheaper than most cities, and have a healthy average rental return at current prices. Perth hasn’t had the price runs that other capitals have, and houses are still cheap, so it’s due to rise soon. Brisbane I’m not as confident on. Sydney and Melbourne may drop. But there will be areas that do well in all cities, but guessing right is the game.
The other thing I have noticed is that property that is ripe for development has cooled in price as Builders are under price pressures and Developers are finding it harder to borrow.
If I had the energy and a spare million, there is a development site in the Marsh that is ripe for 6 units. It was earmarked for a Childcare Centre but they have pulled out, and it is a deceased estate with the beneficiaries just wanting their share now. Asking price has dropped 20% and my Builder friends say this is now happening in many places.
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Massive housing shortage in Adelaide still especially with the International workers starting to arrive back in decent numbers. Many builders have work booked solid for 2 years and plenty of new developments going ahead. Still hearing from our property manager of rentals having 300+ applicants and some offering up to $300p/w on top of what landlords are asking
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So what is the asking price BF?
Our agents are encouraging us to raise rents on our properties because of the demand but our tenants are a refugee family and single mum so we’ve decided to keep it as is.
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Similar to us. I could easily get a couple of hundred extra per week on each property but two of them have had long term tenants who are brilliant so I haven’t raised it in years. The other ones have newer tenants but they seem ok so far so I’ve decided to freeze those too.
When you find good tenants you are better off taking a bit less, I’ve had bad ones in the past and it’s a nightmare
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Exactly. For the refugee family we put in extra insulation etc to keep bills low. They look after the place as though its their own and it feeds into a great public school. No need to be greedy, it can be win win circumventing.
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Yeah, we have an elderly couple in one and they are both in their 80’s and despite seemingly being healthy I know they won’t be around forever. We installed solar there about 10 years back and spent some money on accessibility for them in their later years. Ramps, rails and renovated the bathroom completely to make life easier. The house is immaculate and the lawns look like a bowling green. They are always pottering around in the garden
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@Heffsgirl @Aceman … ■■■■■■■ fantastic! Exactly how the system should work. I spent years convincing our landlords of the benefits of building relationships with their tenants… finally I put together a spreadsheet showing the actual cost to landlords of revolving door tenancies.
Things changed very quickly.
Also, auctioning rentals should be illegal, it’s disgusting behaviour.
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I agree, but if you have a lease does an auction cancel it somehow ?
Have always wanted to sign tenants up for longer leases but seems to be some laws that stop it.
Yes, it can although the new owner may continue to rent it out. If the new owner intends to move in they must give a specified period of notice.
Six months from now, those figures will be worse.
Def seen a hit in the advertised price range and total number of listings in some coastal towns. Don’t think the ■■■■ will drop out, but the feeding frenzy has stopped, for now…
Sea- & treechangers finding out their jobs won’t be WFH forever?
Mix of that and investors trimming the portfolio.
Prices have dropped probably 60-100k around here (leafy green Eastern suburbs) in 12 months - buyer’s market.
A few vendors have not got the memo, one place gone through 3 agents in 4 months, haven’t touched the asking price. On the market for easily 100k over what it should be.
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