by Marshall Cobb - Head of New Projects
We normally don't like to quote entire articles, however we just had to share Terry Ryders observations about the Sydney property market, in his Hotspotting article...
"Stand by for an avalanche of hysterical nonsense from mainstream media as the Sydney property market continues its gradual wind-down after four strong years of price growth.
We’re likely to see a similar scenario to the one that evolved in 2004, following the end of the previous boom. Back then there were plenty of predictions of price collapse from attention-seekers, but that did not occur. We simply saw an end to the previous price growth and values flat-lined for a few years.
The evidence to date, both statistical and anecdotal, suggests we’ll see similar things this time. The conditions for significant price decline – economic recession, high unemployment, major oversupply and reckless lending – don’t exist.
The key elements that drove the up-cycle – the strength of the NSW economy, the very high levels of infrastructure spending and the steady population growth – are still as prominent as ever.
So, all signs point to a market which, unsurprisingly, is running out of puff after sprinting for four years. But we can expect Sydney to keep jogging steadily. "
Well said Terry - we could not have put it any better ourselves!