NSW continues to attract investor attention as its rate of decline decelerates and its economy strengthens
Sydney's real estate market may not be in its best state at the moment, but expectations are still high for Australia's most recognizable capital.
"Key indicators show that the state's economy is not going too badly. That said, the real estate market, and especially the investment sector, seems to be lagging behind, investors taking a wait-and-see approach, "says Ian Hosking-Richards, CEO of Rocket Property Group.
"This reluctance to take action is exacerbated by the persistence of lending restrictions in the financial sector."
Hosking-Richards believes the market will remain gloomy at the moment, especially as the new supply comes in. The annual decline rate in Sydney has already reached 10% over the last year, according to the report. 39, CoreLogic House Value Index for April 2019.
Still wanted
In the midst of all this, it seems that even the highly publicized negativity in the real estate field has not prevented Sydney from being in the minds of investors. Real Estate Investar has recorded more than 100,000 searches for specific investment results for the state.
"At the state level, Real Estate Investar members still believe that NSW will generate strong long-term returns," said Clint Greaves, director of Real Estate Investar.
The most affordable part of Sydney is booming, with declines in April 2019, particularly in the lower quartile of the market, which is more accessible to buyers.
"A number of people will not be able to afford isolated homes in the suburbs of downtown. As a result, there will be a growing demand for housing offering a compromise between the location, size and price of housing, offering many amenities, "said Geof Snell, senior real estate economist at BIS Oxford Economics.
"We expect the market [NSW] to remain in a situation of under-supply. Although growth has been supported by strong levels of migration and continued buoyant construction, these factors will soften and growth is expected to slow relative to 2018. "
In April 2019, Sydney still had the weakest rental market in capitals, with a 3.1% drop in rental rates in the last 12 months. Nevertheless, lower sales could boost returns as more people seek to rent rather than buy, which could generate greater rental demand.
SUBURB OF WATCH
GLENFIELD: Values ​​fall in the suburbs of Sydney
The suburbs of Glenfield were clearly affected by the economic downturn in Sydney, with housing values ​​dropping significantly between April and April 2019.
House prices fell 13.2% to less than $ 600,000, while unit prices fell 9.5% to under $ 450,000. Vendor rebates average around 7% and rental rates are stagnating or declining. As rental yields are also low, it is wise to be cautious in this market.
The local railway station is an important interchange for southwestern Sydney. Glenfi eld is therefore a practical suburb for professionals. The M5 and Hume motorways are also in the west. There are also several schools in the suburbs.
Accessibility: Glenfield Station is an interchange terminal and the suburb is bordered by highways
Education: Glenfield has several schools for families with children
Top suburbs:
Newcastle
,
sunshine
,
Bligh Park
,
emerald
,
Harris Park
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