Recently I have taken the time to read 100’s of market predictions published by experts and amateurs alike. History has shown there is no single prediction or forecast that has been 100% correct, what I do know is that there will be ups and downs locally, nationally and globally. Wherever you look, there are reports pointing towards, doom and gloom, big and small crashes, stability and growth, quite often contradicting each other.
My key takeaways from the market, current and historical data and reports are;
– The market will have volatility, mostly driven by Government instability, upcoming election and policies being spruiked
– Current market data in general is starting to dip into negative growth following the historical wave
– Sales volumes decreasing and larger amounts of stock available
– Australian economy is positive
– Uncertainty around the bank royal commission
– Concern around Australia’s high levels of household debt
– Record low interest rates remain on hold
Right now, there are more reports and factors pointing towards a downturn which will see a continuation of the 2018 second half cooling market. This is headlined by Sydney/Melbourne markets, consult your local agent for precise information about your local area as it may well be a very different story.
What does this all mean. I feel that there will be a lot of volatility in the market until the federal government election is run and won, the result from this may well be a sell off or very little buyer interest from the investor market should Labor win and make negative gearing policy changes. This would lead to a large oversupply in existing property as investors look to buy brand new. If Australia’s economy continues on a steady path of growth this may see renewed market sentiment and steadying market conditions.
If you are considering buying or selling right now, as the saying goes, “he/she who acts first, wins”, avoid the volatility, act fast and sell/buy now. Great property sells everyday while average property is suffering. The property market is ever changing and can be a rewarding journey, contact your local House Estate Agent so we can help to understand your goals and help you achieve them.