Welcome To Spring!
by Marshall Cobb - Head of New Projects
Welcome to Spring! This is
traditionally the best time to buy or sell property as the weather warms up
and people work up the courage to leave their cosy winter loungerooms.
Spring also brings out the another round of expert property commentators
with their crystal ball predictions...
The Committee for Economic Development of
Australia (CEDA) released a report this week that looks at supply and
demand constraints for the next 40 years, and concluded that without any
major changes to the property market, the lack of property supply is set to
get worse. “This is particularly the case in capital cities with a growing
population and where an increasing proportion of Australia’s population are
expected to reside,” they said. Their recommendations to combat this
included eliminating transaction taxes (stamp duty), improved planning
rules, and further encouraging downsizers to sell. Read more...
At the same time, John McGrath sent the
media into a meltdown earlier this week claiming that the Sydney market was
“overvalued” by up to 40 per cent. He quickly recanted and issued a further
statement... "In my view is there is no bubble, and no chance of
a 40 per cent correction. Sydney is a world-class international city
and a major financial centre. The market continues to have strong
drivers, including deep demand, population growth, overseas investment and
low interest rates. There is a possibility of a small and short
correction of a few per cent, and I believe that is healthy for the
sustainability of the market." Read more...
Are the experts factual or self-serving?
Who knows - but at least they are entertaining!