CoreLogic reported this week that Sydney house prices are up 19% over the past 12 months
Sydney continues to have the highest home value increases over the last 12 months, according to CoreLogic’s latest report March 2017.
The property data firm says that over the past 12 months Sydney’s home value has increased by 18.9 percent.
This is helped by a monthly 2.2% increase in home values although Melbourne has the highest with a monthly increase of 3.7%.
Melbourne is ranked second with a home value increase of 14.7% over last 12 months while Perth is the lowest with its home value decreasing by 3.4%.
Weekend auction numbers are rising week on week in Sydney and other capital cities across Australia with 2136 auctions this week up from 1,591 last week with 807 of these in Sydney
An emerging property market is ‘The Downsizer’ market, it is huge and growing. There are plenty of empty nesters living in houses with too many rooms and high maintenance gardens today. With property values having increased substantially over the last 5 years, it is very tempting to sell the family home and buy something smaller. At the same time put a reasonable lump sum into Super. A down sizers challenge is in finding suitable property to be able to downsize into with developers preferring to maximise profits by building 1 & 2 bedroom units. This is opporutnity for the smaller developer to keep this target audience firmly in mind in planning phase
A recent article in the SMH reported that the Parramatta CBD will grow by 32% over the next 5 years to eclipse North Sydney. New infrastructure will be required during this growth to provide further tunnels, train lines, motorways and a new airport to service this growth. New infrastructure equates to new jobs which in turn attracts population growth placing upward pressure n the pricing and supply of required dwellings to fill the widening gap of demand vs supply. Undervalued suburbs in nearby locations will be impacted accordingly
Another growth location is burgeoning Newcastle where demand continues to increase and supply of new dwellings remain under pressure