Property Prices - Seems going down in Hornsby, Asquith, Pennant Hills areas...

[Veera]

I have been looking around for a few months now to buy a house/duplex/TH or villa near Hornsby area (Asquith, Wharoonga, Wahroonga, Warrawee and
Turramurra) I also was looking around Normanhurst, Thornleigh and Pennant Hills as well.

In the last two weeks i am seeing more properties have come to market than any other time in the past 4 months and also noticed properites have been on market for a loooooonger time.

Some are taken off and comes back within a few days in Domain and RE websites with 10-20K less than initial offer.

Just wondering if this is specific to the properties i have been following or we are seeing a dip in prices.

Is it good to wait for a little bit longer to invest in these areas?

Any thoughts people?

 

[evand]

I have seen Inner West Sydney properties of late on Domain coming back with lower listed prices. On the listing they label it as 'updated' LOL

As well as many more listings etc....the things you point out.

When inner west Sydney gets like that you know the overall market is lacking demand as its one of the more robust geographical property markets in Australia.

Anyway, there's no rush to buy, property will be flat and/or falling for along while yet imo.

 

[Veera]

Thanks.
Yes have to tell you i was also monitoring Merrylands, Parra and some parts of innerwest (Strathfield, Lidcombe) to gauge the buyer behaviour... properties are listed for a long time than usual.

i saw the "updated" as well... silly its less 5K and content changed.

if market is going go bit flat, i would like to wait.

Anyone who have recently invested in/around hornsby, pennanthills areas... any thoughts please?

 

[Propertunity]

In the last two weeks i am seeing more properties have come to market than any other time in the past 4 months ....

Hi Veera,
What you are observing is perfectly normal for the market. This is because people do not generally list their property for sale during the winter months. This winter in Sydney was particularly cold & wet. Then Spring comes and people take a while to get organised and put their property on the market after a spruce up.
See that attached chart. You'll see the winter period we've just come thru is one of the non-peak periods for selling as is Dec/Jan holiday period.

Some are taken off and comes back within a few days in Domain and RE websites with 10-20K less than initial offer.

This is often a reflection of over-enthusiastic vendors or REAs that "buy" a listing and then 'condition' the vendor down after a bit of 'market feed-back'

Just wondering if this is specific to the properties i have been following or we are seeing a dip in prices.

The CG chart - see attached is not supporting a dip in prices - quite the opposite in fact.

Is it good to wait for a little bit longer to invest in these areas?

Look, there is no doubt the market has cooled a little (thankfully) and there is now more time to make offers and do negotiations. However, there is still a lack of 'quality' stock IMO. Good stock is still selling fast. Auction clearance rates in Sydney are hovering around 60% (and I know there are issues with how this figure is arrived at, but, they have been measuring the same way, dodgy or not, so the figures are comparable). These are all the signs of a normal to rising market (but not the mini-boom we had in 2009).

In your position, I'd be looking at the market and keeping abreast of it, then if you are looking for a 'bargain' perhaps Dec/Jan will give you a period to make lower offers with less competion around.

 

[PeterC]

The CG chart - see attached is not supporting a dip in prices - quite the opposite in fact.

from the looks of the chart, it median sell stops at around march 2010 - so not sure how you can say it does/doesnt support a dip in prices 6 months later?

 

[Propertunity]

from the looks of the chart, it median sell stops at around march 2010 - so not sure how you can say it does/doesnt support a dip in prices 6 months later?

It is difficult to see in the chart because of the amount of data (from 5 suburbs) over the last 5 years in crammed into a tiny chart like that, but the data selection criteria was up to and including Sept 2010.

Cheers, Alan

 

[evand]

I find anecdotal evidence (from sellers, buyers, RE agents, and sites like domain .com.au) much more reliable than graphs, charts, statistics etc. Which can be arrived at with many dodgy methods.

Not the least, dodgy data that is usually not up to date as sales figures only become available 3 or more months after the actual settlement.

And they pretty much only impress newbies anyway.

There is no doubt the market is cooling big time. And with another rate rise expected on Melb Cup day will go right off the boil imo.

Without over cooked govt. stimulus intervention i'd say its going to be a lean time for property growth for quite a long time to come.

If/when market forces are to come to the fore, there isn't much left in the buying tank if you ask me.

Most likely falls in real terms and relative to inflation as demand dries up.

 

[willair]

I find anecdotal evidence (from sellers, buyers, RE agents, and sites like domain .com.au) much more reliable than graphs, charts, statistics etc. Which can be arrived at with many dodgy methods.

Not the least, dodgy data that is usually not up to date as sales figures only become available 3 or more months after the actual settlement.

And they pretty much only impress newbies anyway.

There is no doubt the market is cooling big time. And with another rate rise expected on Melb Cup day will go right off the boil imo.

Without over cooked govt. stimulus intervention i'd say its going to be a lean time for property growth for quite a long time to come.

So relying on the RE's ' hot tip' without doing any home-work could be a costly and disastrous stategy you think,I also think the market is the small area we invest in has been slow for the past 9 months,i don't need RE data to know that just talk to the people that sold..willair..

 

[evand]

No, i dont rely on a RE's hot tip. I put it with all other information gained. If a RE agent admits the market is 'slow' you know its bad. LOL

And that what i mean by anecdotal. Talk to people, look at listings online and offline, gather info in the area you are looking. Statistics and graphs etc are easy to make anything look good or bad.

So relying on the RE's ' hot tip' without doing any home-work could be a costly and disastrous stategy you think,I also think the market is the small area we invest in has been slow for the past 9 months,i don't need RE data to know that just talk to the people that sold..willair..

 

[zed_kid]

America printing a trillion dollars = credit and happy times for all?

 

[willair]

No, i dont rely on a RE's hot tip. I put it with all other information gained. If a RE agent admits the market is 'slow' you know its bad. LOL

And that what i mean by anecdotal. Talk to people, look at listings online and offline, gather info in the area you are looking. Statistics and graphs etc are easy to make anything look good or bad.

The only item to look at is the sold price,and the price that the vendors paided and track all the sales back,not everyone makes money it's there in black and white problem is people only lookback at the past 5 years,willair.

 

[cadence]

I'm intersted in a local's view on Asquith. Anyone care to share? Feel free to cover any topic you like (eg: schools, transport, shopping, people)

Thanks in advance.

 

[BV]

if market is going go bit flat, i would like to wait

Ok but make sure you can still get a loan when interest rates are higher.

For many people getting a loan when they are able to do so is a better option than waiting for prices to come down to their level because the later might never happen