Buyers see more listings land on Sydney’s property market ahead of Christmas

Among the ever-widening range of properties on the market are some real gems, including 6 Sturdee

Home buyers are set for a very happy Christmas and an even better New Year as the number of properties on the market continues to rise, price growth softens and interest rates look likely to stay the same at least until the end of 2018.

“It is good news for buyers,” says Dr Nicola Powell, data scientist with the Domain Group. “Each month, we’re seeing more homes being listed for sale so that means a lot more choice available.

“Also, with the clearance rates edging lower towards 60 per cent, and a little lower demand going forward, they’re no longer having to make snap decisions in a hurry. They’ll have the luxury of choice that they haven’t had for a long time, and they can take their time over decisions.”

Property gems set market sparkling

Among the ever-widening range of properties on the market are some real gems.

One is a five-bedroom listing on the Northern Beaches point of Lovett Bay adjoining the Ku-ring-gai Chase National Park, with panoramic views of Pittwater.

A striking sandstone and timber main residence, a sandstone guest cottage, a private beach, a boathouse and a deep water jetty make up the beachfront estate.

A main residence, guest cottage, a private beach, a boathouse and a deep water jetty make up the Lovett

“A home like this is such a rarity,” says agent Murray Bakker of Stone Real Estate Mona Vale, who will accept expressions of interest until December 15.

“We are expecting more homes on the market in the coming year, but there will be nothing like this one. It’s extremely special.”

Held by the same family for nearly 50 years and for sale for around $3.75 million, it also has 1250 square metres of gardens and private pathways, nestled into the national park, with beautiful al-fresco entertaining areas.

Buyers gain from growth trends

Sydney price growth is slowing but overall annual growth is still forging ahead.

Price growth is certainly slowing too now, with the current Sydney median house price down two per cent over the last quarter to $1,176,560 and the unit median down over the same period 2.5 per cent to $741,472.

But overall annual growth is still forging ahead, up nine per cent on last year for houses, and 5.6 per cent for apartments, on Domain Group figures. That continued rise is encouraging more people to put up their homes for sale with the extra Christmas gift that interest rates may rise only towards the end of 2018 or in early 2019, Powell says.

Mathew Tiller, head of research at agents L.J. Hooker, says: “They are looking to capitalise on the growth that’s already happened, so we’re seeing a lot more listings on the market compared with last year. So that’s one of the reasons price growth has slowed down in the spring period.

“Also, with that rate of price growth and low wages growth, it was inevitable that those rates of growth couldn’t continue. But it’ll be great for buyers having so much to choose from and, with fewer investors in the market, there will be more choice for first-home buyers, too.”

Infrastructure drives demand 

A render of the St Peters Interchange, which will form part of the WestConnex M5 project

Naturally, there will be stark variations in the rate of price growth. In some pockets of Sydney where there is seen to be an oversupply of new apartments, prices may barely move. In others, close to major infrastructure projects such as the WestConnex, Sydney Metro Northwest rail link and the new airport out west, prices will continue to rise.

“That new infrastructure has been a clear driver of the market over the past 12 months and will continue to be as projects eventuate,” says Kim Quick, residential director of valuers Herron Todd White.

“But affordable suburbs along transport corridors will also see strong demand.”

After such a strong few years of rapid price growth, the market is now settling down nicely, believes Sophie Chick, head of residential at Savills Sydney.

“We saw a change over 2017 when we weren’t seeing that hot market that we were in before. What we’re seeing instead is a steady market, which is becoming our new normal. There are definitely going to be good opportunities for 2018.”

 

reposted from Domain

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