R&W blog is back in action…
After a couple of weeks rest in the Northern Hemisphere escaping winter and the rain, the R&W blog is back in action!
Many of you will be experiencing school holidays and we hope that you have many activities planned in this very wet weather!
As mentioned in our early June post – we saw a change in the market in late May – we are now seeing buyers & sellers adjusting to the new conditions and the Northern Beaches property market is now gaining greater comfort and an additional understanding of the new more balanced market place.
Following the stabilisation of interest rates in June & July, the question on many people’s lips – is will we see a continued pause or another increase during the election campaign?
Time tells all things – Harry Triguboff of Meriton Apartments has suggested again this week that Australia’s property shortage will not be properly addressed until interest rates fall again, if this is the case then it maybe some time before it will be addressed.
Looking at the most recently released economic data – The Australian economy is emanating mixed signals at present, ensuring that the Reserve Bank will stay on the interest rate sidelines for another month.
Some are asking if the current sovereign debt problems afflicting Greece and Portugal – could create a GFC Mark II. In reality the main risk that this creates is pessimism, which often becomes self-perpetuating.
Reading into Macquarie Banks recent comments regarding the property market losing momentum… “Like an in-form thoroughbred, the Australian economy enters the second half of 2010 in good shape, but is likely to be carrying much more lead in the saddle-bags as it heads into 2011. This principally reflects the impact of higher interest rates on household spending, as well as the gradual withdrawal of fiscal stimulus. Business confidence has been shaken by the impasse between the government and resource firms over mining taxation. And while that has now been resolved, confidence could continue to be undermined by other concerns, such as ongoing sovereign risk issues in the peripheral European economies and significant global financial market volatility. While we are ultimately optimistic that bullish investment plans will be realised, the transition from consumer and government-led growth to investment-led growth could be rocky, and is likely to be consistent with slower growth overall.”
We don’t see anything unusual in the annual pattern that generally see’s a slowdown with the inclement weather. Active buyers will be aware of the low numbers common for this time of year – as always certain segments of the market are a lot stronger than others.
This week we have enjoyed a very strong response to the property at 12 Daisy Street North Balgowlah – after bidding started to stall in the early $900,000’s another wave of enthusiastic bidding took the final result to $1,022,000!
Also this week Maria Cassarino set a new Street Record for Illalong Avenue in North Balgowlah, selling number 5 which sold prior to auction for $1.875 Million! Making it the second highest residential sale achieved in North Balgowlah!!
We appreciate that there is conflicting information out there to prospective vendors and buyers and a lot of industry jargon! This compiled with the end of the financial year can leave you with questions still remaining unanswered for your own property goals and real estate needs.
Therefore we will are offering a confidential FREE No Obligation – End of Financial Year Property Market Update to anyone who has any further questions about their property or the market in general. If this is of interest or you have any further questions – please give us a call at the office 9948 7080 or drop in and say hi and meet the team!
Wishing you all the best in your property goals,
The Team at Richardson & Wrench Seaforth Balgowlah.
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See you at the open for inspections: Click Here for our open times
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 8/07/2010
9.07.10