The market continues to perform solidly with a diversity of sales for our office and range from $190,000 for a small two bedroom unit up to $1.3 million for a potential development site with the majority of sales occurring between $300,000—$500,000.
Buyers are very price conscious and will simply walk away from anything they perceive to be above market.
With the high volume of turnover the average days properties are on the market for has dropped significantly to much shorter periods and there is an upward trend back to the 2008/2009 price levels.
Listing stock levels are very low which will continue to place pressure on prices.
Dwelling sales over the 2013/2014 financial year the highest in four years
RP Data recently published an article by Cameron Kusher (Senior Research Analyst). In part it said:
“Annual house and unit sales over the 2013/2014 financial year were at their highest level since the 2009/10 financial year and 9.9% higher than the previous financial year.
Based on current estimates of house and unit sales over the 2013/14 financial year by RP Data, there were 348,670 houses and 135,330 units sold. Over the year, the number of house sales has increased by 10.4% while unit sales have increased by 8.6%. Over the financial year, house sales were at their highest level since the 2007/08 financial year and unit sales were at their highest level since 2009/10 financial year.
It is important to remember that off-the-plan unit sales aren’t counted until such time as they settle. Given this and considering the significant number of unit developments taking place at the moment it is reasonable to expect a fairly large upwards revision to the unit number over the coming year(s).
Across the combined capital cities, there has been a greater rise in home transactions over the financial year than there have been at a national level. This is reflective of the much stronger demand and subsequent capital growth across capital city markets. RP Data estimates that there were 218,429 houses and 100,894 units sold over the year. House sales increased by 11.7% over the financial year and unit sales were 7.2% higher. Once again, we would expect an upwards revision to the unit sales figures. Capital city house sales were at their highest level since the 2006/07 financial year and unit sales were at their highest level since 2010/11.
Looking to the current financial year, the expectation is that interest rates will remain on hold at least to the end of 2014 potentially starting to rise during 2015. Sydney and Melbourne sales volumes appear to have already peaked however, they may rebound once more during spring. Overall we would expect a reasonably high number of sales this financial year however, final numbers may be slightly lower than in 2013/14.