What should Preston expect in 2017?

It’s a topic that seems to be on quite a few people’s minds at the moment, as we have seen several of the well-known property market analysts publishing their forecasts for the real estate market in 2017 during the week as well.

What was interesting was the fact that each of the three forecasts that we saw, (including one that had three distinct predictions depending on what happens with interest rates as the year goes on), were all entirely different. These predictions came from well know market monitoring services like Corelogic, SQM Research and BIS Shrapnel. So it’s important to remember that any forecast is purely an informed guess, and is based on various contributing factors that could easily change over time.

For those that are curious, the forecasts this week ranged from a price increase of between 4%-5% for Melbourne property, to a very bullish 12%-17%. Before you choke on your tonsils, the latter figure was one of three option from SQM Research and was based on the presumption of a 0.25% cut to official interest rates by the Reserve Bank by mid-year.

What is clear when you run your eye over the collective forecasts is that there is still a strong level of confidence in the Melbourne property market, with a consensus that Melbourne real estate prices will continue to rise, and continue to out-perform the national average.

This is certainly good news for anyone planning on selling in the coming months, just as it is a warning to anyone planning on buying in 2017 that early action would be wise. Of course, if you are going to be buying and selling in the same market, then the strongest message is that you can purchase with confidence knowing that your own property should find plenty of demand from buyers…particularly if you are selling in the Preston/Northcote/Thornbury area.