Welcome to The Buzz February Issue 2020
Now is the time to take that next big step!
Why is now the right time? Well here are some great reasons!
If you’re thinking about selling you:
- Should take advantage of the historically low levels of properties for sale
- Should not expect that the financial capacity of buyers will suddenly improve
- Shouldn’t wait in hope of another boom and further huge rises in house prices
If you’re thinking of buying you:
- Should not wait for the RBA to lower rates as the reductions probably won’t get fully passed along
- Should secure finance before APRA squeeze credit again to try and rein in housing price bubbles
- Don’t want to wait in hope of large price drops from another major market correction
The old saying “If you snooze you lose” may be just perfect for 2020.
What is your next big step?
Give us a call. We’re here to help you make it!
Yet more on the Queensland Rental Reforms
I know I am repeating myself but if you own an investment property in Queensland, I hope you have been made aware of the rental reforms proposed by the Queensland Government.
It appears increasingly likely that Queensland will follow the changes made in other states. Read the attached article about the implications that these new rental laws will have for the insurance coverage of your investment property.
Real estate and finance news
Lots of real estate and finance articles for you this month. The four main types of news are:
- Crystal ball gazing and 2020 forecasts
- Prices are up everywhere but may be up much too much in some places
- Big questions about the FHLDS scheme
- What’s next for interest rates and credit squeezes
Most forecasters see a more stable year ahead than 2019 but there are big question marks attached. Such as is how severe will the economic impact of the devastating bushfires be. As a consequence, will this be enough to tip us into a recession?
Prices are up everywhere. 3% annual to January here on the Sunshine Coast according to CoreLogic. In contrast there are clear indications that the financial capacity of buyers to pay more has reached its limit in many markets, including ours. Sydney and Melbourne are booming. Consequently, they may, again, be the cause of a squeeze on housing credit. Watch out for further comments and potential moves by APRA.
The cash rate was kept on hold this month but is still forecast by many to drop a further 0.50% sometime this year. But it seems like home loan borrowers may not see much benefit from any drop.
Here on the Sunshine Coast, there are historically low levels of properties for sale in many suburbs, yet many listings are still sitting on the market for long periods of time. Having your house on the market for months is certainly not the way to get the best price. Because of such a shortgage of properties to sell, potential sellers must beware of agents overquoting to secure listings.
Low transaction volumes make statistics of limited value and as a consequence The On The Market reports show disparate results. The standouts are Peregian Beach, Peregian Springs & Twin Waters which all saw reductions in days on market across most of the popular price ranges.
The Federal Government First Home Loan Deposit Scheme is already getting bad reviews. Perhaps you’re a candidate. To learn more follow this link to the government’s website:
Not good news if you’re a Sunshine Coast Council rate payer:
- the latest on the proposed PFAS cost blowout
Tips & Advice
Great reading for would be developers and owners of family homes:
- how to make your backyard safe for your kids
- “right sizing”, the newest trend
So you can stay up to date with the latest information:
- An On The Market Report for your suburb/s of interest
- Find out where your market is on the National Property Clock from HTW
See icons below and follow the links for your copy of the reports and to read the full articles.
Considering selling or buying? Please let us know what your next big step is and how we can help!