2016 is almost to an end, and what a topsey turvy year it has been. Starting out, a very aggressive approach from buyers, and quite a vendor favourable environment, leading to a massive lack of sellers, and finally from October until December double the amount of stock entered the market fulfilling demand.
The new stock late appearance in November and December has led to even more activity. The rush before Christmas is in full swing.
In the last month, SEA has sold $20,110,000 worth of local property!
This weeks weaker than expected national data would indicate that interest rates would remain on hold until at least March 2017. The concern is for unemployment, and European growth, as Spain, Greece and Italy economies plunge deeper into debt, and Brexit face an unknown financial future.
Locally, we anticipate a lot more stock and activity.Three continuous years on the upward trend, historically, would trend to level out some pricing and supply and demand will produce this outcome.
Banks are still causing some headaches with respect to tightening of the process for approved mortgages, and this may have a weakening effect on LVR lending ratios.
Investors are back after their surge in 2014. The 2015/2016 flattening yield return from 4.5% returns to 3.75% pa, has seen the season summer rates come back with a leittle more gusto. More investor purchasers are visible.
The forecast is +2.0 to -5.0%, pending economic growth.
Merry Christmas from all the team @ SEA