As the seasons change, so too does the property market. There’s been a lot of media coverage around what these changes might look like in the coming months, but from an industry perspective, change isn’t bad, it’s merely different.
The narrative for some time now has been the expected lift in interest rates coupled with an election year. This has finally eventuated with the Reserve Bank lifting rates 25 basis points as largely predicted, with more increases expected in the short term.
Elections and interest rates are two of many variables which can impact a property market cycle both positively or negatively, however, this depends on whose viewpoint you are taking. What we do know, is that the recent history has been of stronger benefit to sellers with a 26.2% average increase in national housing values since the beginning of the pandemic era, whereas the immediate future looks to move the market into a more balanced phase.
Buyers take note: this is when you could be taking advantage of less competition to secure your place in the property market at potentially relative better value than what would’ve been the case. History tells us these adjusting periods can often be only small windows of opportunity, with some analysts expecting this cycle of lifting rates to be a small one before they potentially drop again in the next 12-18 months. Time will tell.
Whichever lens you have, now is the time to be speaking with a local market expert to discuss your plans and ensure your path forward is as well researched and aligned to expectations. As always, please do not hesitate to reach out to us at any time, we look forward to assisting you.
If you are considering taking the next step in your property journey, please feel free to reach out — we are here to assist.