Our NSW Director, Will Hosking, delves into the current market conditions for Sydney in his Spring/Summer Property Market Update.
‘It’s November, 2020 and locally on the Northern Beaches we are witnessing an increasingly active marketplace. The house market is showing little sign of moderating even with the backdrop of Covid-19. Stock levels for quality properties are still low and buyer numbers are strong.
The apartment market is more varied with some strong results in A-grade apartments in Manly/Fairlight, however other areas have witnessed some pull back in prices as a direct result of softening yields and lower levels of investor activity.
With the clients we have and are currently working with, we are seeing an increase in the number of buyers moving from the Inner West and East to the Northern Beaches. This trend is particularly relevant for buyers
looking to move to the upper Northern Beaches. We believe this is predominantly lifestyle driven off the back of Covid-19 restrictions and more flexible working options, however a number of these buyers also recognise value in houses on the beaches with larger land holdings than what they can typically get for their budget in the East and Inner West.
Quality houses are selling quickly and if they make it to auction tend to be selling for a premium (auction clearance rates have also been increasing over the past two months). Certain pockets on the Beaches are witnessing clear increases in prices.
We deal with a large number of mortgage brokers, and/or private bankers, that are assisting our clients with their finance requirements. We often use their workloads as a key indicator for future market trends and at present a number of brokers have said they haven’t been this busy for a long time, in getting clients pre-approved. This illustrates a clear intent from buyers and as a result we believe the current activity levels will continue until the end of the year.’
This article featured in the Cunninghams Insights Report Spring/Summer 2020. Click here to access the full publication.