What is selling best

There has been a bit of media this week noting that the lower priced properties – under $1,500,000 in Sydney are selling better and for increased prices compared to the middle price band and the higher end homes and apartments. Part of the reason is the Federal Government’s First Home Buyer Deposit Guarantee scheme; it allows buyers to purchase with only a 5% deposit rather than 20%. This is creating strong competition amongst purchasers and pushing prices up in the under $1,500,00 price range which the scheme caps out at. Another reason for the lower end price strength is that rising interest rates have reduced purchasing capacity. For buyer as interest rates rise the amount of money they can borrow reduces. 

In December a buyer might have been able to borrow say $1,260,000 at say 5.6%, now with two 0.25% interest rate rises to 6.1% they can only borrow $1,205,000. A buyer now with an existing pre-approved loan should be making the most of the amount they have now as it will be less when the reapply later in the year. Also if you plan to sell in 2026 now is the best time to be doing it as your buyers will have less funds to spend later in the year as interest rates increase.

We have had a good April in both sales and leasing. On Saturday we have 2 new off market properties for inspection. One a modern 2-bedroom, 2 bathrooms North facing apartment near Passmore Reserve and the B1 Bus in Manly Vale and a stunning 5-bedroom executive home in Seaforth with amazing views on a level spacious 1020m2 block. Please let the team or I know if you would like to have a look through one of these homes