This Month in Review
Welcome to Spring! Traditionally the busiest time of the year for real estate nationwide. Typically, sales and listing volumes both rise from September to November, and while buyer demand and property supply increase over the season, the impact on prices is usually marginal.
As we enter September 2021 however, a large portion of the country remains in lockdown. Demand remains high, but stock volumes are low.
Data from CoreLogic shows increasing median prices in most capital cities, quick sales and continuing real estate records, and as lockdowns lift, a robust recovery should follow.
On the plus side, vendor activity is predicted to increase, bringing better listing volumes to market. Mortgage rates remain low, household savings have grown, and international borders remain closed; these factors point to increased buyer activity.
However, tightening of credit conditions is being discussed, and affordability constraints, due to the burgeoning marketing, are now starting to impact. If these result in a slowing of buyer activity and there is a lift in supply, we could see a rebalancing between sellers and buyers and a more equitable market as we head into 2022.
Click here for the full infographic and report.
The Market Essentials Report is compiled by Buyside on behalf of Loanscape. Founded by Josh Masters, Buyside are registered buyer's agents with on the ground expertise in the Sydney and Brisbane property markets.
The Market Essentials Report is compiled by Buyside on behalf of Loanscape. Founded by Josh Masters, Buyside are registered buyer's agents with on the ground expertise in the Sydney and Brisbane property markets.
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Disclaimer: This article is intended to provide general news and information only. While every care has been taken to ensure the accuracy of the information it contains, neither Loanscape nor its employees can be held liable for any inaccuracies, errors or omission. All information is current as at publication release and the publisher takes no responsibility for any factors that may change thereafter. Readers are advised to contact their financial adviser, broker or accountant before making any investment decisions and should not rely on this article as a substitute for professional advice.
Loanscape has today released its Borrowing Capacity Index for Q2/2024. It shows that the borrowing capacities of Australian individuals and families have stabilised after the sharp decline over the past 2 years. Lower income borrowers continue to be disproportionately impacted by interest rate increases: the family income required to qualify for the average size loan in Australia is 35% higher than 2 years ago.