Australians are buying homes at warp speed rates, with homes now selling on average in just 32 days.
Stats released by realestate.com.au showed that in May 2021, properties are appearing on the open market for a historically short amount of time before they were sold.
It dropped from 37 days in April, just showing that Australians are eager to buy their first home or next investment. But buyers were even eager in other states with properties appearing on the site for only 24 days in the ACT, 27 days in NSW and 28 days in Victoria.
In South Australia properties were spending an average 43 days on the site, but they’re also breaking records, even though demand isn’t high just yet. And I emphasize, yet.
Realestate.com.au Economist, Anne Flaherty said that the property market continues to boom with demand outstripping supply in May. “We’re seeing properties sell at record speed, so buyers are having to move quickly to compete in these market conditions.”
“While demand may moderate over the coming winter months, views per listing increased in May and is now just shy of it’s historic high earlier this year.”
And for the first time ever, realestate.com.au has had more than twice the number of searched for homes over the $1million price range as opposed to under $500,000 due to increased household savings and low borrowing costs.
Investors are also making huge waves in the market, driven by low cost of debt, and expected capital growth and interestingly, first home buyers inquiries saw a rise in May as well.
However, the unwelcome news for first home buyers is despite the wintry weather home prices are still expected to increase. She said, “I expect home prices will continue to rise over winter, however with slightly reduced demand, stimulus removed from the market, and rises in long-term fixed rate mortgage rates, prices are likely to rise at a slower rate.”
What does this mean for anyone wanting to invest?
It’s never been more important to get into your first home or investment sooner!
You can see the demand for homes, and it may seem overwhelming, but there are options out there for you starting from just $450,000 and you won’t need a huge deposit either.
Get in touch with our team and start planning today!
Our goal is to help as many people as possible, create a future of financial freedom for themselves and their loved ones so get in contact on 1300 522 562 or email team@jrprosperity.com.au
When considering an investment property with positive cashflow, it is important to make sure it is suitable to your specific financial goals and objectives. Remember to do you due diligence and is you need advice, JR Prosperity Partners can help you decide if this is the best strategy for you.
