2018 was a year of strong sales and weakening interest.
The year started out with strong consumer confidence and bullish buying behaviours, and then transitioned to a market fuelled by fear and speculation finishing the year some 10% down on sales prices and some 18% down on sales volume. This was largely due to the tightening of lending conditions led by APRA, and the Royal Commission into banking behaviour and practices.
Locally, we experienced some strong sales early in the year with a suburb record price being achieved July [Opal Tower], most notably the highest price paid was for 3301/1 Brushbox St Sydney Olympic Park
Highest Price Unit – $2,300,000
Lowest Price Unit – $560,000
Total Sales: – 116
Total Sales Value – $95,005,070
We saw the average price decline in the latter half of last year with the average price of 1 bedroom unit $621,475: the average price of a 2 bed unit $811,572; the average price of a 3 bed unit $1,045,125; the average price of 4 bed unit $1,730,333.
Note, these are based on sales results recorded in 2018 according to RPDATA, they are subject to future change depending on market conditions.
2019 is likely to be another year of uncertainty and possible change. This year we will experience a federal and state election, and these two will possibly have the largest impact on what property prices will do in the future.
There are a number of factors that can impact our property market either positively or negatively.
The worsening situation in Europe with the BREXIT situation and the growing tension between the US and China may have an impact on the worlds economy. Locally this will most likely impact our property market by keeping it from recovering to former price ranges quickly.
I expect to see a return of property prices in the later stages of 2019 and the early stage of 2020.