The property market is set to heat up with the onset of the spring selling season but activity is expected to be more subdued than usual.
According to the Real Estate Buyers Agents Association of Australia (REBAA) spring is historically the time of year that market activity moves up a gear, however the election result may flow through to a slower than usual start.
“The hung parliament will no doubt postpone the start of the season but we are predicting good stock levels throughout the coming months after a delay by vendors to list due to the election,” REBAA president Byron Rose said.
“The market may still be soft with demand light on so vendors may need to readjust expectations amid a high level of market uncertainty amongst home buyers.”
According to REBAA South Australia would represent a strong investment choice for buyers.
“With rental demand high, low vacancy rates, affordable prices, a sound economy with a great forecast… South Australia [is] the ideal market to buy this spring,” REBAA South Australia representative Chris Waterman said.
Activity was also expected to be relatively strong in Tasmania.
“Early indications are that the spring will bring new confidence and I see strong activity in both Hobart and Launceston where property will become more available as the market shakes off the cobwebs of winter,” said Tasmania REBAA representative Rob Zubin.
Sydney and Melbourne were expecting steady but relatively subdued activity.
“Consumer confidence still has some way to go, unemployment is declining and interest rates are on hold for the time being,” commented REBAA New South Wales state representative Rich Harvey.
“Essentially I see the pendulum swinging back in favour of the buyer for the Sydney market as more listings mean more competition amongst vendors.”