Insights

Tools, tips, industry knowledge & market trends.

As we head toward a close for 2021, property research house Corelogic has Sydney house prices up 29.1% for the year, whilst apartments are up 15.3%.

The explosion in property prices was a market reaction that few predicted or saw coming at the end of last year.

In fact, the market finished 2020 somewhat subdued, but once the market recommenced in January 2021, almost every sale in the first 5 or 6 months of the year exceeded the agents and vendor’s expectations.

Boom persists amid rising stock levels

October saw the end to lockdown and the unofficial start to the spring property market.

Onsite auctions and open houses recommenced whilst APRA’s move to slow the market took hold. As expected, stock levels jumped providing buyers with a decent range of stock for the first time in 2021.

Days on market remained tight, although it could be said that houses performed better than apartments.

When you are selling your property, one point becomes obvious very quickly, there is no shortage of agents willing to help you sell it. Most of the agents will be personable and persuasive.

Deciphering the strategic benefits each agency/agent offers is the key to employing the right agent for you.

Most people consciously or unconsciously employ an agent on the following criteria:

Price – what does the agent believe the respective property is worth?

Townhouses have become the goldilocks solution for many buyers during the boom in property prices.

Most market commentary focuses on ‘units’ and ‘house’ price performance. Where do townhouses fit in this equation?

In the stats promoted by most research firms, they fall under ‘unit dwellings’ because many exist on strata title. This generalisation sets up a misread for anyone that categorises a townhouse as simply a unit dwelling.

The easiest money in the world to spend is other peoples.

 

When you are selling in a property boom, how much do you need to spend to reach the target market? The answer is a lot less than you think and definitely less than the agent is likely to recommend.

Two symptoms of a booming market are low stock levels and increasing buyer demand. Therefore, active buyers have a smaller selection of property to choose from which subsequently sees each listing attract more buyers than it normally may.

When you are selling in a property boom, how much do you need to spend to reach the target market?

The answer is a lot less than you think and definitely less than the agent is likely to recommend.

Two symptoms of a booming market are low stock levels and increasing buyer demand.

As Sydney deals with unprecedented lockdowns due to COVID, activity in the economy and property market has stalled. The property market which has boomed since the beginning of 2021 has performed better than the economy during the lockdown.

The ASX also gives no hint as to the drama playing out in the real economy. The ASX hit a record high in July 2021 as the COVID lockdowns gripped Sydney. Only time will tell how long markets can persevere in these conditions.

In recent years, selling ‘off market’ has become a mainstream phrase.

Getting a universal definition of what selling off market constitutes is far more problematic though. If you thought you understood what selling off market meant and then became deeply confused when you saw a Domain advertisement offering you off market listings, you could be forgiven.

Agents and stylists have many options, tricks and clever ways of presenting a property in its best light – pardon the pun. These styling options range from the sensible to borderline deceptive.

To avoid buyer’s remorse on settlement day, identifying the following presentation tricks can ensure you are not swept up in emotion and inadvertently overlook pertinent aspects of the property.

Given the strength of the market throughout 2021, a lot of sellers find themselves afflicted by seller’s remorse.

Buyers who have bought a property often suffer buyer’s remorse. Buyer’s remorse stems from a sense of guilt or regret from the buyer that they bought the wrong home or over paid. Seller’s remorse works in reverse where the vendor feels they sold at the wrong time and/or for the wrong price.

The property market has been impacted by a multitude of dynamic forces since the pandemic commenced. The subsequent knock-on effects are wide ranging and unexpected in many instances.

In this special report, we highlight the 11 most discernible trends in the 2021 Sydney property market that have come about as side effects of the pandemic and the ongoing response to it. As you read through the report, you may find some of the points contradict. Given property markets vary from suburb to suburb and region to region, some of the trends are location based.

Interpreting real estate agent’s respective price guides during the 2021 boom has become harder than earning enough money to purchase a property.

The frustrating reality for buyers is each real estate agency tends to take a different approach on how they price their respective listings in the marketplace.

There are a few common ‘price strategies’ agents adopt that are worth being aware of:

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