Planning to move into a new house? But don’t know whether it is the right time? If you are in your own bubble away from what’s happening in the real estate world, this article was written for people like you!
The coastal lifestyle, perfect temperature, amazing cuisines, excellent transport systems and most of all the caring people of Sydney makes it “one of the best cities to live in 2017”.Sydney draws admirers from all over the planet. There are about 4.5 million people and counting, here. This city never forgets to surprise you!
Sydney has everything to offer, from a classic penthouse to a stylish house by the beach, it has it all. This “perfecto” place is in for a makeover, all thanks to real estate management companies like SHEAD, who are heavily inclined to give this city a new face. Mr.Bill Geroulis, who with his expertise, personally looks after the smooth functioning of this organization. He is among the best known real estate agents in the country. His contributions to the real estate world are phenomenal.
About 60% of Sydney’s land is used for family housing purposes and the remaining 40% is used for commercial purposes. Shedding some light on the real estate situation in Sydney, here are a few facts to keep in mind before you go looking for a property.
1. In May 2017, property prices decreased after a long time, by 1.1%.but the economy recovered quickly, by a whopping 2.8% increase in sales and prices the next month.
2. The government in order to encourage more people to contribute to the economy, started with a lot of beneficial schemes to help the first home buyers.
3. Supply And Demand Crisis: Saving up to pay the rent in big cities like Sydney is almost impossible. Especially when it comes to properties in places like Chatswood which are in demand. But, since land area is decreasing, the prices are set to increase, as we all know.
There is a new supply hitting the market, which will bring about the “supply demand equilibrium”. Studies showed that the total numbers of houses and apartments approved for construction have steadily been increasing.
4. Interest Rates Will Rise: Many business persons believe that the best time to buy a house is actually when the interest rates are high. This is mainly because:
- You get the best offers when there is less demand for the property
- Less competition, which risks an increase in price, as many people want to buy the same property
- Companies fearing a loss may rethink their prices and offer a better deal
The idea is that many people back out as they think increasing interest rates make properties unaffordable. Whereas, this turns out to be beneficial for other buyers as sellers quote less money so that they don’t run out of business.
5. Apartment Over Own House: apartments usually cost around 530,000 dollars where as a house can go up to 998,000 dollars .As expected, prices are set to drop in a couple of years. For those looking to buy a house, it might be best if you wait.
- Since there are more apartments in Sydney than median houses, the apartment prices may see a fall in rent to attract more people. Apartment also means low maintenance. This means more money saved than spent.
- Living in an apartment also gives you a lot of ideas with regard to how you want your own house to look like. So instead of jumping off the ledge to buy your own house as quickly as possible, it is advisable to live in a few apartments and know what to expect for your own house.
- Lastly, you can live a more peaceful life knowing that compared to own houses, apartment has lesser risks of getting robbed.
For those of you who still think that Sydney is an expensive place, always remember “Compared to other global markets, Sydney property is pretty inexpensive” says Mr.Hay,Global Head of Residential at Knight Frank.