Property owners are choosing to list earlier this year in the run up to Spring. Many are searching for answers after being on the market for months without success and others are hurting under the pressure of high interest rates and the ever increasing cost of living.
The decrease in the value of the Australian dollar seems to have caught many experts by surprise. Our dependence on imported oil places us in an interesting position. Further drops in the value of the Australian dollar, coupled with an increase in oil prices would put enormous pressure on inflation. It appears, however, that our prayers for interest rate relief are about to be answered but only by a quarter of one percent (25 basis points).
The long term forecast appears good with some Banks already cutting fixed term rates which should give buyers some much needed confidence in choosing a home
It appears that our economy is slowing enough to see rates come down even further with signs that the commodity boom may have reached its peak. I believe we can look forward to improved market conditions and increased competition for property in the near future with bricks and mortar becoming the asset class of choice with some excellent buys throughout the country.