Sydney Housing Market

[JustaReader]

I believe this is a subject dear to us all. Just waned to get a feel of the sentiment out there given:

1) Antoher 25 bps interest rate rise in the horizon (expected sooner(?))
2) Expected tax cuts on the way
3) Higher oil prices
4) Inflation creeping-up (hopefully will stay down)

What do you folks out there think will happen to the property market in the next 12 to 24 months.


JaR

 

[tech/a]

In Sydney.

Possible further falls in certain areas where demand is lowest and selling is highest.
Other areas will stabilise.
Areas where demand is at a premium could actually experience rising prices but these will be few.

 

[GreatPig]

Expected tax cuts on the way

What expected tax cuts are they?

According to this morning's Sunday Tele, tax cuts are on hold for this budget.

GP

 

[Smurf1976]

I expect that yields on residential property will at some point return to the mean and then exceed it. That means 7%+ for most areas with yields peaking around 10% (will vary from area to area).

Question is how and when. Either nominal prices stagnate whilst rent and wage inflation takes off or house prices fall. Adjusted for the quality of houses actually being sold, a bit of both seems to have been happening lately and I expect it will continue.

My guess is for another 0.25% rate rise the RBA meeting after next and then possibly another one around October or November. I think the inflation genie is already well and truly out of the bottle. Business won't absorbe rising costs forever.

 

[hypnotic]

People are saying there will most probably be another .25 rate rise by the end of the year.

I agree with tech/a i think there will still be further drops in the prices.

But did anyone hear about the possiblity of a tax reform in NSW regarding cutting out or lowering some of the taxes, like stamp duty.. If that happens it would become interesting in sydney housing market. Might go up

Hypnotic