Of course, making assumptions about what the property market is going to do in the future always requires a degree of faith. After all we only have to look back to this time last year, when may economic commentators were making forecasts full of doom and gloom, to understand just how far off some predictions can be! Indeed, despite a nervous start to the year, 2019 ended up being a year of growth in property prices in Melbourne.
Having said that, it was interesting to read the latest market information from Corelogic, including their property forecasts for 2020.
As reported in the Australian Financial Review on December 26th, “Home values in Australia's biggest cities are on course to record up to 14 per cent growth in 2020 as low mortgage rates and easier lending standards unleash buyer demand…The largest, and longest, market decline since CoreLogic started tracking the indices in the early 1980s led to capital city dwelling values falling 10.2 per cent over 21 months. But the property market analyst expects the rapid turnaround in the second half of 2019 to persist, with an 8 per cent nationwide increase by the end of next year.”
Corelogic’s Head of Research, Tim Lawless, is quoted as saying, "We've just had one of the fastest recovery cycles, with housing values bouncing back rapidly over the second half of the year, led by Sydney and Melbourne, where values lifted by around 9.5 per cent since finding a floor in May."
In fact, CoreLogic has tipped home prices in Sydney rising as much as 12 per cent, and in Melbourne by up to 14 per cent.
Forecasts like this are one more reason that anyone planning on buying their next home in 2020 should consider doing so earlier rather than later.
So, if you would like some up-to-date advice or assistance on any property matter, you can give the Barry Plant team in the inner-north a call on 9478 6344. Our offices will reopen to assist you from Monday January 6th.
George Metax, Jim Dimitropoulos & Loretta Khoo
Directors - Barry Plant Inner North