For developers, uncertainty looms large, regardless of size. Escalating building costs and high-interest rates have significantly squeezed profit margins, leaving little room for manoeuvre. The unforeseen cost surge triggered by inflation has only compounded these challenges.
While there has been a slowdown in the growth of prices, the impact of the potential decline in interest rates this year is something to watch with keen interest.
Are you paying too much for your commercial space? Is it time to take control of your lease? With the Blend & Extend strategy, you can renegotiate your lease before it expires, potentially lowering your rent and securing additional incentives.
Despite a declining Chinese property market, Chinese investment in Australian real estate has surged by $1 billion in the past year. Furthermore, it is anticipated that approximately 70,000 Chinese expatriates will return to Australia over the next two years.
If you’re contemplating the idea of dipping your toes into the retail investment market, it’s important to note that the retail sector has faced challenges in recent years. However, we have concluded that a substantial portion of these setbacks has already been factored into current prices.
Australia’s real estate market remains astonishingly resistant to conventional predictions. Commonwealth Bank (CBA), the largest home lender in the nation, has revised its house price predictions to align with the optimistic outlook shared by other major banks.
The national housing market is experiencing a continuous upward trend, with house prices showing another increase during the July quarter, marking six consecutive months of growth. As we move into the second half of the year, it will be essential to keep an eye on new listings, as they are currently below long-term averages. Notably, some well-known property forecasting firms have placed Sydney at the lower end of the market.
Despite multiple interest rate rises in the last 12 months, we are seeing the property market showing resilience. Sydney has incurred four months of straight growth and Brisbane and Melbourne are both in positive territory as well. Two key drivers are low stock levels and immigration.
Despite a surprising increase in unemployment in April, the property markets have shown resilience amidst economic fluctuations. While some markets faced challenges in response to rising interest rates, CoreLogic predicts a positive outlook as rates stabilise. Improved consumer sentiment is expected to boost housing market activity, including purchases and sales.
Buyers are placing significant emphasis on community and lifestyle factors when considering the purchase of a property. In particular, the proximity of a property to metro rail stations, within a walking distance of 5 to 15 minutes, is increasingly becoming a key consideration for buyers in both inner and outer city suburbs.
With a decrease in the availability of new properties and an anticipated rise in demand, it appears that the property market in New South Wales for residential properties will be appealing to investors seeking income returns in 2023.
The office market in Sydney continues to face a challenging path ahead due to the imminent surge of supply, primarily in the Sydney CBD. High incentives (discounting) are being offered especially from institutional owners.
Despite several interest rate rises, there is still a lack of listings available for serious property buyers at present. Having said that, buyers are back in the market and A-grade properties are selling fast with minimal discounting.
One of the biggest factors to remember as we begin 2023 is to focus on the long term and try not to get caught up in media noise. Eventually, inflation will be controlled, and interest rates will plateau. Buyers and sellers will regain confidence and a new property cycle will begin. Until then, focus on the long term.
The COVID-induced boom for Australia’s regional housing market has burst, with several regional markets that had the strongest value growth through the upswing now among the fastest declining markets, said CoreLogic. My tip for property buying in general is to stick to blue chip areas that have a track record. These areas are likely to bounce back the quickest.
Where are people parking their money? Property investors are hungry for growth and stability; recession-proof commercial properties with long leases and quality tenants are high on the radar.
Is there light at the end of the tunnel? There has been talk that the housing market across the board is starting to move in the right direction. I would not be surprised if we see the market move back into positive territory early next year, much sooner than anticipated. However, the big question mark is, have we felt the full effects of the interest rate increases? Keep in mind many borrowers will be coming off fixed loans!
It’s unclear if interest rates have had an impact in slowing inflation, however the property market seems to have been impacted. There are buying opportunities if you can get access to funds. Cashed-up astute buyers are now circling looking for opportunities.
The residential rollercoaster – overall property prices will remain flat; some areas will drop in value while others will increase. Buyer enquiry has decreased in Sydney and Melbourne.
Interest rate increases will hit different sectors in different ways, the general fallout will be less theatrical than what many of the so-called commentators are saying. Many economists say there will be no prolonged high inflation and no rate hikes next year. The reserve bank will not want to see the property market tank and people go underwater. If there is some pain inflicted, it will be those people coming off fixed interest rates.
New Labor government – what does this means for the property market? Contrary to popular belief, federal elections don’t have all that much impact on housing cycles. Factors such as credit availability, the cost of debt and economic factors are far more important.
The country’s two largest markets – Sydney and Melbourne – appear to have stabilised after a long run of strong price growth. It’s clear the rate of price growth has moderated overall, and this is attributable to several considerations facing potential buyers.
There are signs of a cooling influence effecting some segments of the market. Or is it more likely we are now moving into a more traditional market? The pace of the market in the last 16 months across the board has been anything but normal. A robust and fast paced market is simply not typical year in year out. History shows this!
Many retail businesses have returned to a greater sense of normality with the risk of COVID-19 lockdowns lessening. Melbourne and Sydney have seen stock levels normalise over recent months, taking some urgency out of the market as supply and demand become more evenly balanced and more in line with pre-covid growth.
Loosening Covid-19 restrictions helped retail sales bounce 10.1% above pre-pandemic levels. The breakneck industrial sector momentum shows no sign of slowing after stay-at-home shopping during the pandemic skyrocketed warehouse values. Despite all the difficulties Covid19 threw at us, Australia’s housing markets experienced a once in a generation boom in property prices in 2021.
The average house in Sydney is now selling for $1.31 million and units for $825,000.
Badgerys Creek Airport – “This area will be transformed from cow paddocks and market gardens into a bustling metropolis aptly named the Aerotropolis, source: Heron Todd White.
We have experienced first-hand in Brisbane while buying property for clients that days on market has reduced considerably. Is Brisbane heading into a golden decade? Our tip: Target areas that will benefit from the infrastructure investments and upgrades that will happen between now and the 2032 Olympics.
Despite all that’s going on with these lockdowns in Sydney, Brisbane & Melbourne right now, is the appetite for buying owner occupied or investment property still strong?
Prices are continuing to rise and the appetite is as strong as ever in both residential and commercial sectors. All prime assets are in high demand right now. The market is proving to be very resilient!
A recent report by ANZ Bank predicts house prices at the national level will rise to a solid 17% through 2021, before reducing to 6% in 2022. Christopher Joye from Coolabah Capital Investments – is predicting substantial property price growth through to the end of 2023.
A common question many of our clients have is: Will the Australian housing market crash? To answer this, we will run you through how we think about this question here at Locate Negotiate.
Investors are looking at industrial now as a safer option. They’re channelling their money into industrial assets more than office and retail currently.
It is difficult to ignore the good press surrounding Newcastle as a place to invest and this is especially accurate when it comes to the industrial property market.
House prices have continued to rise across Australia’s five largest state capitals through the month of February.
Pretty much all banks have done a complete back flip on their predictions from this time last year. Remember they were talking 30% drops in many sectors of the market.
Auction clearance rates are there highest for years. Sydney hovering around high 80’s percent, Melbourne around 80 percent, Brisbane in the early 70’s percent. All other capitals performing very well.
Demand to purchase real estate will remain at very high. Banks are keen to do business, so that shows they are seeing blue sky’s ahead
Interest rates to remain low for a number of years. People with bank deferrals have fallen considerable-so there is little chance of the market being flooded with excess stock levels. There will be a big focus on getting major cities CBD’S back on track, return of the office worker. Probably more so in the 2nd half of the year. Office and retail have been hit hard during COVID-19.
Market Snapshot and Talking Real Estate with Sean Garlick Garlo’s Pies 2020 NOW STREAMING - wherever you grab your favourite podcasts - Talking Real Estate With Sean Garlick Garlo’s Pies Wrapping up 2020 The consequences of 2020 were expected by many to bring down a sledgehammer of hurt on all property across all sectors. The [...]
Ray Rabs Warren talks Real Estate 2020 Now Streaming Talking Real Estate with John Gibson Market Update Snapshot - Sydney auction clearance rates nearing 79% in early November. Volume levels are still down on last year though. - Sydney and Brisbane house prices grew by 0.5% in October - The resilience of residential property markets [...]
September Property Clock 2020 When in the property cycle is the ideal time to buy? Prudent property investors ideally like to buy property in between a declining market and the bottom of the market when their bargaining power is stronger, and competition is somewhat weaker. The end game is to get the full benefit of [...]
Property Update July 2020 Snap-shot market overview: - Auction clearance rates back up above 70% for Sydney since restrictions have eased. - Prices remain fairly stable overall, however, there are some localities and price points seeing some discounting. - With restriction eased in NSW, the short-term holiday rentals that have been transferred to the long-term [...]
Property Update May 2020 Having trouble navigating through landlord and tenant negotiations during Covid-19? Are you a landlord who has received a request from your tenant to waiver rent or defer rent? Are you a tenant requiring rent relief because your business has had a significant downturn? Is dealing with property related matters a disruption [...]
Rent Relief Update 2020 Governments green light six-month moratorium on evictions Australian states and territories will put a six-month moratorium on evictions for both residential and commercial tenants during the coronavirus pandemic, Prime Minister Scott Morrison announced tonight. Tenants and landlords will need to work together The Prime Minister’s residing message for both commercial and [...]
Business Rent Relief 2020 LOCATE NEGOTIATE IS HERE TO HELP WITH OUR TENANT REPRESENTATION SERVICES. We are in unprecedented times, businesses need rent relief RIGHT NOW! We’re here to help. We are highly experienced in commercial lease matters. We will work vigorously on your behalf in re-negotiating your current rent and commercial terms with landlords. [...]
Property News February 2020 CoreLogic’s latest Home Value Index, which shows the rises in Sydney drove an average quarterly price increase of 2.9% across the nation. But on an annual basis, Sydney’s median prices are still down 2.5%, and down more than 10% from their peak just two years ago. Informed property [...]
Property News January 2020 Case Study Tenant representation Brief:As the entrusted tenant representative of a large, national company Locate Negotiate were directed to act on their behalf in their commercial lease negotiations in South Western Sydney. Discussions were around a Stay vs Go analysis, Locate Negotiate engaged the wider Sydney [...]
The residential rollercoaster – overall property prices will remain flat; some areas will drop in value while others will increase. Buyer enquiry has decreased in Sydney and Melbourne.
Property Report September 2019 Do it yourself vs Property Adviser Property is found in the investment portfolio of many people. In fact, roughly two thirds of adult Australians possess property as one of their assets. The purchasing of a property can be for many people the largest investment that they will ever make, and the [...]
Property Report July 2019 Sydney residential market performance Quick facts- *Commercial real estate had mixed results across the country in the past six months, but among the options for buying in this sector, office holdings are considered one of the safer choices. *Sydney, auction rates have improved on the back of vendor expectations meeting the [...]
In Victoria, Apartments located within the city are offering good investment returns due to limited supply because of the rise in popularity of AirBnB.
Blacktown 54% median value for dwellings is up over the past five years.
Sydney Industrial: Vacancy rates have tightened as e-commerce drives demand and speculative building is absorbed. Vacancy rates have fallen to 2%.
The residential rollercoaster – overall property prices will remain flat; some areas will drop in value while others will increase. Buyer enquiry has decreased in Sydney and Melbourne.
The residential rollercoaster – overall property prices will remain flat; some areas will drop in value while others will increase. Buyer enquiry has decreased in Sydney and Melbourne.
Property News October 2018 Where are we at with the Sydney Industrial market? Quick Facts *Sydney-Warehousing and storage are currently the key asset types for Sydney industrial. Good quality, functional office space is being seen as a requirement for most owner-occupiers and tenants. *The trend for industrial strata development is a higher number of smaller [...]
Property News September 2018 Quick Facts *Sydney Market- the number of new listings is down 8.1% on this time last year, however, the number of total listings is up 21.1%, with the median time on the market increasing from 32 days to 46 days over that period. With stock levels at close to six-year highs, [...]
Property News August 2018 Fast Facts *No handbrake on the Sydney retail commercial property market. It’s on the rise! *The residential market in Sydney has finally slowed down, and it will be interesting to see what properties continue to be available for under $500,000 in the coming years. If prices have another surge, there will [...]
Property News July 2018 Market Snapshot *The annual rate of dwelling value growth has slowed to 0.2% nationally *The combined regional markets have recorded growth in values over the past year (2.4%) *Rental rates rose over the year across all capital cities except for Perth and Darwin *Population growth remains strong, however, an increasing number [...]
Property News June 2018 Investing in property Where do i start There are many people who have prospered by investing in property, however, property investment can be risky and has high barriers. In addition to the large amount you pay for the property, there’s also stamp duty and other associated costs waiting to eat into [...]
Multiple major firms are stating that Brisbane can expect a property boom over the next 5 years. The evidence is outlined in a recent article from Core logic, Jones Long Lassalles Q4 2017 Apartment Market report and data from Queensland (REIQ)
Factors include a combination of affordability and a large price gap between other capital cities, strong interstate and overseas migration, solid jobs, economic and wage forecasts, all combining with a reduction in apartment supply. The core logic article states that ‘Brisbane is well placed to take over as the best performing capital city housing market over the next five years’ citing a variety of economic and demographic factors.
Property News April 2018 We are not restricted to residential property acquisitions Case Study Client Client’s goals - to diversify their property portfolio and purchase a commercial property within their SMSF. The Brief The brief was simple: to source and negotiate a commercial property in the Sydney Metro area which met the following requirements; prominent [...]
Property News February 2018 How to achieve the best outcome when selling your property? We’re here to help... Click on the button below to learn more about our Sellers’ Advocacy Service Learn More Quick Facts Sydney Sydney still has the highest median values for houses and units, as well as for rent, and more dwellings [...]
Property News January 2018 Are you getting the best service and advice from your Property Manager? We’ll show you how to increase rental returns and increase property worth! Our goal is to ensure our clients maximise their property investments and accelerate their returns. We can review your investment portfolio. Analyse the properties market worth and [...]
