Current Real Estate market conditions in Victoria

Hello again AJ,

There is always some type of doom and gloom in the papers or on the local news. The past 6 months for the higher end of the market has been very slow. I feel with all the interest rate hikes etc. people are sitting tight with their money. The lower end of the market is still very good, always buyer demand, but will be up and down throughout the year.

When you see a property on the market for say 2 mil + and they reduce the price $500K, this seems a big drop but it is just like a $20K drop on a lower priced property.

Lets just say don't trust everything you read in the papers, they seem to only print doom and gloom, they must think this is all people want to read, we never usually read about the good times, or for that matter good real estate agents doing the right thing by buyers, you only hear the bad reports when the agent does something wrong.

Cheers and good luck!

Jackie

Hi Jackie,

Thanks for giving your two cents. The top end of the market isn't looking good as you mentioned, and hasn't been great in the past 6 months.

It sounds like from an investment perspective it would be better to have many smaller homes in the market, than one or two in the top end as there seems to always be demand at the lower end?

Do you foresee the top end picking up anytime soon?

AJ

Hi AJ,

With the interest rates always on the radio and news I don't forsee the top end selling any time soon, I feel prices will reduce as we are seeing, but soon stabalize when things settle down with the interest rates and polotics that have been in the news lately.

I agree, I would certainly put money into the cheaper priced homes and wait for the market to rise on those. The cheaper properties always seem to hold their own.

Cheers Jackie

Hi Jackie

Hope things are well. Thought I would get a quick update on Market Conditions in Vic. All things point to a pretty flat year ahead, with not much in store for the top end of the market. Would you agree?

AJ

HI AJ,

I tend to agree with you, I feel we are in for quiet a flat year, especially in the higher end of the market. We didn't sell much at the top end last year either. All that is selling here are the cheaper properties, but just need to work harder to sell more of those.

Investors are starting to come out again though. The more cheaper the property the more investors look. As long as they keep the interest rates down this year we will continue to see more investors to keep the lower end of the market flowing.

Hope all is well with you too...have a good day

Jackie

Thanks Jackie, great to get some opinions of a professional without having to buy or sell real estate!

I'm hoping things pick up again this year though, it would be nice to see some gains in the market. And yes, let's hope interest rates stay relatively flat as well.