Australia is experiencing a dip in consumer confidence at the moment. As we can see, we are still above the historical average. But what does this mean for the Sydney property market?
Retail credit is still hard to come by (except for Expatland service providers) but is the rest of the Sydney population thinking its credit crunch 2.0?
2008 was a decade ago now and many are saying that we may dip again below the trending average in 2019. The Sydney property market is watching 2019 through a lens of skepticism.
The political sphere is driving this down with a March state election where the Premier is not handling her team well while no-one knows the name of the opposition leader. What’s going to happen? I know that treasury is screaming from the reduced forecast of stamp duty revenue.
Federally we have a new PM that wants to reduce population growth and an opposition leader that wants to run on the premise of getting rid of negative-gearing? Do any of our leaders really want to foster a growth environment again?
The increased interest in doing deals in Sydney right now on both residential and commercial property is rife. We are negotiating on several investment properties for our clients in which the developer needs to sell remaining product or product with settlement risk with a 5-15% discount. Additionally, our clients are capitalising on buying established home’s for repatriation due to the pressure on some homeowners to sell.
One Sydney expat client from Hong Kong called to get some advice as she was not scheduled to come back to Sydney for another few years but wanted to take advantage of the current market and find her home for retirement. Over the New Year period, three private inspections will happen via Skype.
So don’t let the consumer sentiment get you down, take advantage of the counter market cycle and use the Christmas and New Year periods to reflect and plan for the next year or years ahead.