Tuesday 20 Oct 2015
Life is full of choices. Some you can control. Some you can't. Right now there is a choice to be made in terms of the changing residential property market and it is important to remember that the choice is yours.
Be positive. That’s my advice.
The mood has been changing over recent weeks as the market has plateaued but now is the time to decide if you believe in the fundamental strength of the residential property market. But as you consider your position make sure you take note of the facts not the emotional media furore.
Now I know we were all hoping that the Reserve Bank would keep rates on hold for a few more months. Sure, we all knew they couldn't stay low forever but certainly the longer the better! What took everyone by surprise was the move by Westpac to raise their rates.
And when it comes to financial matters nobody really likes surprises, which is why it really shouldn’t have come as much of a surprise to see the dramatic reaction to that interest rate rise on the weekend as the auction clearance rate dropped.
So what now?
I think it’s time to get on with it. A cooling market will only go cold if everyone is too afraid to even test the temperature.
Yes house price growth is predicted to slow but don’t lose sight of the fact that many experts still predict it to GROW. And I agree with them. Perhaps not as fast or as high as we have become used to perhaps, but it is still predicted to grow.
Make the right choice. Be careful and be considered but don’t be so concerned that you lose sight of the continuing underlying strength and value of the Sydney market.