REBAA’s state representatives give their insights into the major challenges facing the property market this year:
Brisbane – Zoran Solano – Hot Property Buyers Agency
If 2016 is anything to go by 2017 will continue to be an undersupplied market of quality established property, and an oversupply of interstate investors looking at the Brisbane market to snap up property ahead of local home buyers. The average home buyer will also be competing against more buyer’s agents beating them to the property and securing it ahead of the general public which might then also create a two- speed property market, buyers with buyer’s agents and buyers without.
Sydney – Fred Haggar/Property Search4U
Sydney will continue in 2017 to be affected by varying issues, dependent on type of property, type of buyer and the respective locality. Prices of both units and houses within the Golden Circle (10 kms from Town Hall) will continue to rise at varying rates – 3% to 7%. Houses in the North West and South West will rise significantly by up to 12% albeit from a lower base than properties in the Golden Circle, due to the massive government (state and federal) infrastructure projects as well as the intentional shift of state government departments to focus on Parramatta and surrounding suburbs, as well the impact of the new airport as a new employment node.
Perth – Ben Lamers/LMW
Some of the biggest issues that will face buyers in the Western Australian 2017 market will include employment, job security and being able to sustain a mortgage. Capital value deterioration in some locations and a soft rental market overall will also take their toll on the market affecting buyers. With WA’s market now beginning to look undervalued, in early 2017 we can expect to see a range of interstate investors returning to the market here, creating more competition for our local, owner-occupier buyers.
Canberra – Claire Corby/Capital Buyers Agency
Priced out of inner suburbs and coming to terms with the movement in the market. Those who adapt quickly will be in on the action of a rising market, and those who insist it won’t last are being left behind.
Melbourne – Janet Spencer/Buyer Solutions
Housing affordability, availability of stock and saving for a deposit. School zones are becoming much more sought after as many parents elect not to pay private school fees. People who have been waiting for a correction to buy their home are acknowledging that in Melbourne, this has not happened.