FIND YOUR LOCAL BUYERS' ADVOCATE:
    TALKS & PODCAST           CALL US CALL US
1300 655 615
 
 

The
Propertybuyer

Podcast

Hear the latest weekly insights into the property market via podcast by Rich Harvey, CEO and founder of Propertybuyer.

 
Fri 3 May '24 with Rich Harvey Unpacking the Northern Beaches with Incredible Agents
 
 
Fri 29 Mar '24 with Rich Harvey How to build a $7 Million Property Portfolio from scratch
 
 
Sat 16 Mar '24 with Rich Harvey Why Invest in Melbourne?
 
 
Mon 26 Feb '24 with Rich Harvey Sydney’s Inner West – Hotspots and Outlook for 2024
 
 
Mon 12 Feb '24 with Rich Harvey Decoding Sydney’s North Shore Market – Outlook and Opportunities.
 
 
Sat 27 Jan '24 with Rich Harvey Home Buying in the Eastern Suburbs – A personal journey
 

 

Listen to many more
podcasts on our
Podcasts page.

 
 
 

Propertybuyer Blog
Property advice, market updates & more

 

Prices continue to cool in capital cities

June 6, 2014 / Written by Rich Harvey

 

By Rich Harvey, CEO, propertybuyer.com.au

Buyers worried about being priced out of the market can breathe a little easier. Data shows that more people are buying, yet prices are cooling, a great result for anyone looking to buy a house in Sydney.

Figures show that April marked the fourth consecutive month of gains for new home sales, with private sector new home sales seeing a rise of 2.9 per cent.

"A healthy April for new home sales provides a promising start to the June 2014 quarter," said HIA Chief Economist Harley Dale.

Meanwhile, the latest RP Data - Rismark Home Value Index shows that over the month ending May 31, capital city dwelling values fell 1.9 per cent. This marked the first monthly decrease in home values since May of last year.

"Outside of the seasonality factor, we have been seeing signs that the housing market is approaching the peak of the growth cycle," said RP Data Research Director Tim Lawless.

"The rolling quarterly rate of growth peaked in August last year and we have been seeing weaker auction clearance rates since late February."

The auction clearance rate in Sydney was trending over 80 per cent for several months but is now slipping back a little further in the 70 per cent range.

Some observers, such as CommSec Chief Economist Craig James, attributed this decline to the federal budget announcement. The tough budget has certainly put a dent in consumer confidence as some buyers are fence-sitting at the moment.

Whatever the cause, this news should be met with joy from prospective home buyers, particularly those in New South Wales. Sydney was ranked as the most expensive city by the index, featuring a median dwelling price of $678,500.

While decreases in property values in Sydney and other capital cities won't reverse the gains seen last year, they do show that the market is becoming calmer, offering a nice change of pace from the frenetic activity seen over the past 12 months.

I still expect to see some further growth in the Sydney property market as low interest rates make mortgage repayments more affordable and continuing demand from upgraders and downsizers.  Sydney is always under the pump from the over-riding undersupply situation.

The Propertybuyer
Podcast

 
Fri 3 May '24
with Rich Harvey
Unpacking the Northern Beaches with Incredible Agents
 
 
Fri 29 Mar '24
with Rich Harvey
How to build a $7 Million Property Portfolio from scratch
 
 
Sat 16 Mar '24
with Rich Harvey
Why Invest in Melbourne?
 
 
Mon 26 Feb '24
with Rich Harvey
Sydney’s Inner West – Hotspots and Outlook for 2024
 
 
Mon 12 Feb '24
with Rich Harvey
Decoding Sydney’s North Shore Market – Outlook and Opportunities.
 
 
Sat 27 Jan '24
with Rich Harvey
Home Buying in the Eastern Suburbs – A personal journey
 

 

Listen to many more
podcasts on our
Podcasts page.