First home buyers competing with investors and both fired up with lower interest rates struggled to get enough stock. Throw in Buyer Agents trying to pick up stock before auction and you get a perfect storm for the Sydney property market.
What is the hottest area in Sydney. Well if we look at the number of cranes dotting the skyline and development applications lodged with Rockdale City Council , Wolli Creek is the boom area. It’s proximity to the city, 15 minutes by rail and serviced by its own station, close to freeway infrastructure and minutes to the airport, the only question is why did it take so long.
There is plenty of money to be made in the Wolli Creek Property Gold rush and it’s got a long way to go.
Sydney surges!A buyers agents job gets more difficult when pent up demand, low interest rates and high yields combine to spark a market rush. At this point the mini boom is in $300,000 to $800,000 price bracket for properties well situated near infrastructure hubs and delivering high yields.
How strong is the surge? Last weekend recorded 73% clearance rates Sydney-wide and this weekend will be much the same.
Agents have been caught off guard with stock shortages compounding the surge. This will change over the coming weeks as more and more stock becomes available to cash in on the new and robust levels. The question is how long before the green shoots of price growth spread into the $1.5m to $3.0m market?
“By Shane Clinton”
Beware the Strata Fee Trap!There is no free lunch in strata fees for apartment living in Australia. Before purchasing an existing or off-the-plan apartment your buyers agent should investigate what strata fees are levied and if possible the forecast for future strata fees. Strata levies are determined by the cost of running building facilities, divided by the number of apartments and then multiplied by the size of your apartment.
As a general rule, strata levies should be around 1% of the cost of your apartment. So for an apartment costing $600,000 you would expect the annual strata levy to be around $6,000. However this is rarely the case.