By Ray Fadel
Low interest rates make winter a good time to sell in Sydney. After rollicking along for the best part of 5 years, the NSW real estate market recorded a dip in property exchanges and settlements in April, according to data from Raine & Horne.
However, it’s far from a doom and gloom scenario, with the sales statistics counterbalanced by robust Sydney real estate values. The median dwelling price in the NSW capital is up by than 11% over the past year, according to CoreLogic. “Also our offices reported a surge in buyer enquiry with auction numbers, as a result of the premiums currently being achieved,” said Angus Raine, Executive Chairman, Raine & Horne. “This result underlines that taking a property to auction is still the preferred method of sale for many vendors.”
Often vendors choose not to list their homes for sale in the colder months, a scenario reflected by a 15% fall in appraisals in April compared to the same time in 2016. “However, with interest rates expected to remain unchanged over the next quarter, we are anticipating relatively robust buyer demand throughout winter,” said Angus. “It’s for this reason, if you’ve decided to move house, a winter sale in Sydney will prove a worthwhile exercise for owners.”
In other news, NSW first home buyers will save more many thousands of dollars on a property purchase due to new concessions set to take effect on July 1. In May, the NSW Government announced that all first home buyers would be exempted from paying stamp duty on properties up to $650,000. The new stamp duty exemption will apply to both new homes and existing properties and is designed to help first-time buyers compete with property investors.
The announcement will prove a boom for home buyers outside of Sydney, like in Bathurst. “It’s absolutely terrific, it will bring a lot of people into the market,” she said. “It will certainly give first homebuyers a helping hand.”