I have read all sorts of conflicting articles in the press over the last couple of weeks which must confuse people to no end. Both of the major Sydney Sunday newspapers ran vastly different property headlines begging the question, does anyone know what they are talking about?
The Sunday Telegraph led out with a story indicating that a housing price crisis could be just around the corner. In stark contrast the Sun Herald was discussing and indeed hinted at the prospect of a potential property boom. How can they be so different? The question really needs to be answered!
What we are seeing in the market right now varies massively from property to property and suburb to suburb. Various price levels even within the same suburb are totally different, with properties under $500,000 being the fasted and most prolific movers which are obviously being pushed on by the first home owner grant and Stamp Duty concessions.
The biggest determinant of sale success outside of this sub $500,000 bracket is how realistic the vendor is when it comes to price. Prices have dropped throughout Sydney and indeed across the country and pricing is critical in achieving a sale. The other major factor which is influencing purchasers is just how special or unique a home is – the more special the better the chance of a sale.
With this is mind it is safe to say that prices are unlikely to take off in any boom-like fashion in the foreseeable future. Great properties will continue to be more popular than their more ordinary competition and downward pressure on prices will be a fact in for homes in different areas for some time to come.