Following the May interest rate increase (no change in June) we saw the last nine months of bullish market activity move from growth to stabilisation. R&W has continued to record some strong sales over the past month (in particular a new Street record for 17 Yatama Street & a strong result at 17 Sandy Bay Road)  – however the aggression that buyers had displayed so far this year has recently returned to more normal levels & buyers are becoming a little more cautious.

Looking at the most recently released economic data – particularly figures on auction clearance rates, home loan approvals show that a change in the market began in April however there was no real noticeable effect on our area until May. As active buyers will have picked up, attendance to open homes has dropped in recent weeks over the general market place, however we are still enjoying a strong response to the apartment market.

Taking a peak at Sydney wide figures, in the last year, Sydney house prices have grown at three times the historical annual average. Sale figures achieved in 2010 have been as strong as we have seen since the peaks of the market in 2003 & 2007. Current price levels seem to be stabilising rather than racing forward as they have been. We are likely to see a trend come back into the market of buyers upgrading, rather than renovating in our local area and with a currently limited supply of property this will ensure values & demand remains positive.

Indications from the Reserve Bank are suggesting that interest rates are likely to remain on hold for some time. Some economist’s suggesting that the next movement we may see is a slight decrease while we move through the uncertainty in Europe and the repercussions of the reaction to Rudd’s super profits tax.

From a local vendor or purchasers’ point of view – what remains more important is that you achieve the right property move for you. Those that purposely try to time their transactions tend to fail. By acting at the same time you benefit from the relativity of the market & by waiting for prices to change up or down is likely to cost you the opportunity of securing your perfect home!

We look forward to seeing you at our opens and auction this weekend! Click Here for our inspection times.

Best Wishes,

The Team at Richardson & Wrench Seaforth Balgowlah.

To keep an eye on this week’s reported Seaforth real estate, Clontarf real estate, Balgowlah real estate, Balgowlah Heights real estate and North Balgowlah real estate Click Here*

*Sales are as reported by Australian Property monitors on 4/06/2010

With the release of the Sun-Herald Property Guide for 2010 last weekend, there has been some interesting figures revealed.

Our surrounding suburbs recorded the following figures for house sale price changes between 2008 & 2009 calendar years:

Suburb                         Suburb Rank                       Change          Trend

Balgowlah                               68                                -9.8%               6.1%

Balgowlah Heights              18                                21.1%                8.8%

Clontarf                                     7                                16.7%                9.7%

Fairlight                                  53                                -2.7%                 6.4%

Manly Vale                             136                              7.2%                  6.5%

North Balgowlah                  96                                0.3%                  7.7%

Seaforth                                  33                               -9.8%                   5.7%

With such an extraordinary result recorded for Balgowlah Heights, let’s dig a little deeper and review what has happened in Balgowlah Heights between 2007 and today.

As shown below, there was a slight decrease in the total number of transactions in 2009 compared to the year prior (-9%), however there was a significant jump with the highest price achieved at $7.6 million (60.5% increase on the 2008 result) with 3 properties selling in 2009 above the 2008 highest price of $4.4million.

Although the statistics may not truly reflect the true growth experienced during the year on all property in the suburb – it’s a great place to live & buyers will tend to pay a premium to secure a Balgowlah Heights address. Removing the 3 top sales for 2009 we reveal an average price of $1,727,500 which equates to 7.5% growth from 2008 to 2009 – a solid performance!

Balgowlah Heights sales so far in 2010* (House / Townhouse / Semi)

Total number listed                          14

Total number of sales recorded   2

Total Value Sold                                 $4,120,000

Public Auction                                    No Properties 

Private Treaty  2  properties        $4,120,000 (Total Value)

Average Price                                     $2,060,000

Highest Sale                                         $  2,200,000
 

Balgowlah Heights Sales in 2009* (House / Townhouse / Semi)

Total number listed                          56

Total number of sales recorded  48

Total Value Sold                                $95,877,500

Public Auction   8 Properties       $19,480,000 (Total Value)

Public Auction Average                 $   2,435,000

Private Treaty   40 Properties     $76,397,500 (Total Value)

Private Treaty  Average                 $   1,909,937

Median Price                                       $  1,777,500

Average Price                                     $    1,997,447

Highest Sale                                         $  7,600,000
 

Balgowlah Heights Sales in 2008* (House / Townhouse / Semi)

Total number listed                          75

Total number of sales recorded   53

Total Value Sold                                 $85,161,060

Public Auction   17 Properties     $  27,418,500 (Total Value)

Public Auction Average                 $   1,612,852

Private Treaty   35 Properties     $ 55,892,560 (Total Value)

Private Treaty  Average                 $   1,596,930

Median Price                                       $  1,440,000

Average Price                                     $    1,606,812

Highest Sale                                         $  4,400,000

Balgowlah Heights Sales in 2007* (House / Townhouse / Semi)

Total number listed                          62

Total number of sales recorded   59

Total Value Sold                                 $ 102,662,550

Public Auction   17 Properties     $  22,815,000 (Total Value)

Public Auction Average                  $   1,342,058

Private Treaty   42 Properties      $ 79,847,550 (Total Value)

Private Treaty  Average                 $   1,901,132

Median Price                                       $  1,540,000

Average Price                                     $    1,740,043

Highest Sale                                         $  4,930,000

We look forward to your posts on the blog with any additional thoughts & comments from our readers.

Please feel free to email us if you have any further questions about the market or real estate in general – it would be great to hear from you.

Till we meet again, wishing you all the best in your property search!

The Team at R&W Seaforth/Balgowlah.

 
See you at the open for inspections www.teamrw.com.au/buy/opentimes-sales/

 
To keep an eye on this week’s reported Seaforth real estate, Clontarf real estate, Balgowlah real estate, Balgowlah Heights real estate and North Balgowlah real estate www.teamrw.com.au/buy/local-market-watch/*

*Sales are as reported by Australian Property monitors on 26/02/2010

IAN BARR!

On 7^th January 2010 at 6:15am, Ian reached  the summit

of Mt. Kilimanjaro, 20,000ft (5,895m) above sea level.

His climb raised over $2,000 for Cure cancer Australia.

The climb required

Determination, Energy, Commitment and Dedication…

The same selling qualities Ian Barr brings to Real Estate!

Looking at the current trends, a number of vendors have been taking the opportunity to sell first, and then knowing exactly what they have in their ‘pocket’ they head out to find their next home.

Relatively low stock levels have meant that purchasers have had less choice and this has assisted Seaforth, Balgowlah & surrounding suburbs in holding its value better than many other areas during the G.F.C. and in the past couple of months we have started to see prices moving up again.

Coupled with this in recent weeks we have seen very strong clearance rates emerge at auction with a number of the prices being achieved above expectations.

We believe this is a good market for both vendors and purchasers. Australia has been seen to have weathered the financial turbulence well and we are seeing slightly more desperate purchasers, who have been in the market for up to 12 months & are now keen to buy.

Many of our clients use us as “real estate advisors,” whether they are looking to sell or buy. As with any good investment advisor, our focus is to help you plan for your long term success, in line with your expectations and ideals. We assist, educate and empower every purchaser to proceed, and, at the same time, focus on exceeding the expectations of our vendors.

If you need constructive property advice, we would be delighted to contribute to your knowledge base, so don’t hesitate to pick up the phone.