Though the economy is growing, the pace is not as fast as many would like. To make up for a slow economy, one positive happening for property owners or would be property buyers is that interest rates will remain low in 2015. Some analysts are even expecting interest rates to decline further.
In terms of real estate cycles, most of Australia is in an upswing. Melbourne and Sydney performed great in 2014 and prices are seen as rising in these two cities in 2015. However, the level of property price growth in these two cities will not be as high as in 2014. The rest of the country should experience a better 2015.
Here’s how sellers, buyers and investors are expected to fare in 2015:
2015 could be a good year for those who are considering selling a property.
At present, there are more buyers than properties for sales, which means the damand is greater and the supply smaller so prices of the properties tend to be on the rise. Secondly, don’t wait and wait and wait for that best deal. You will more likely receive your best offer in the first few weeks or even days. If you get an offer that is within your asking price, accept it.
With not too many properties for sale, competition will be fierce for those properties. Don’t be surprised to see many prospective buyers at home opens and auctions.
If you are keen on buying a property in 2015, you are urged to plan and prepare. Meet with your bank and/or broker prior to starting your hunt for a property. This will give you an inkling of the how much loan you can take out amount so that you are confident when making a bid or making an offer.
If your existing home needs to be sold, either sell it or list it before you start checking out other properties, because an offer that is contingent upon selling your existing home is a turn-off to a vendor. Especially when there are many other buyers offers to consider.
Good news for investors! Interest rates will remain low in 2015 (or likely decline even more). If you have not sorted out part or all of your mortgage on your investment property, seriously consider speaking with your bank or mortgage broker to find the best solution.
If you are considering keeping your investment property for a while, consult your bank and/or broker about this.
Need a Property Appraisal? Call Annette, the Newcastle Real Estate Agent who enables you to turn the key to where you want to be, today on 0418447856.