Overall at a national level property prices showed an increase of 0.7% in March. This was the lowest monthly gain since markets bounced back in July last year. Social distancing has caused rising unemployment and a drop in consumer confidence. Restrictions have started to ease with open homes and auctions back. As long as there is uncertainty about the rest of 2020 there is going to be financial insecurity for many Australians. Many of our clients have put purchasing on hold. The pool of potential buyers in the property market is limited to those who are confident about their finances which could stop further price gains or even push prices down. The Real Estate industry hasn’t been forced into a full shutdown – buying and selling property is still happening.
Interest rates are the lowest they have been in many years, there is an opportunity to borrow cheaply. This should support the housing market. Listings have been low for a year now so there is a pent up demand among buyers. Now is a good time to buy for those who are in the right financial position.