[ad_1]
The weakness in Melbourne’s housing market is evident in other indicators; the median house price rose by just 0.7 per cent in the year to March. A weak economy, high interest rates and a large number of poorly maintained investment properties on the market have been blamed for the downturn.
loading
Ms Conisbee said slow house price growth and a smaller number of buyers per property were making it easier for owner-occupiers to buy homes.
“I think if you’re looking to upgrade, now is a good time to buy,” she said.
“If you’re a first-home buyer, the market isn’t moving. They hate fast-moving markets, so it’s good there,” Ms Conisbee said. “There’s still a lot of affordable market in Melbourne, which is positive.”
Belle Property agent Stephanie Evans said she had noticed low bidder numbers in areas of Melbourne where she lived, including affluent bayside suburbs such as Albert Park, Middle Park and South Melbourne.
“It really depends on the property, but we’ve seen a lot of single bidders. But having said that, every few weeks there’s a runaway auction,” she said. “So there have been one or two, but we’ve received a lot of pass-throughs (and) negotiations afterwards.”
Evans said renovated properties tended to attract more attention. “There are definitely a lot of properties on the market at the moment … which increases the choice for buyers.”
Damien Cooley of Cooley Auctions said Sydney auctions that were less likely to be contested were being withdrawn or sold early, and he agreed there were fewer buyers interested in attending auctions now.
“Some properties get more attention than others, and I think that has a lot to do with how much the seller is willing to pay,” Cooley said.
loading
“I think now is a great time to buy a home,” he added. “As long as interest rates don’t go up later this year, I think sellers will have a chance to sell their properties for a good price and buyers will have more opportunities to buy in the spring.”
AMP chief economist Shane Oliver said the relatively low number of bidders was a positive sign for buyers.
“The best time to buy a home is when there are fewer bidders and less competition,” he said. “It’s better now than when the market was booming. There’s a lot less pressure and the prices are better. You might find that[the home you want to buy]is shut out.”
Mr Oliver said if the Reserve Bank took longer than expected to cut the cash rate, the market could tilt further towards buyers, which would further squeeze mortgage holders struggling to service their loans.
“If they continue to cut rates … I could see listings going up.”
[ad_2]
Source link
