Reasons to be Positive about Australian Real Estate
We’ve got a good feeling about real estate in Australia. Not just real estate actually, we’ve got a good feeling about Australia in general. Despite having to be apart from each other, we’ve come together in our fight against this virus and the Australian spirit and resilience has shone through. We’re flattening the curve, lockdown restrictions are easing and the economy is stirring back to life again.
These are positive signs for Australian real estate post-coronavirus. We hold a lot of faith that this industry will reach new heights… in fact, it hasn’t really struggled too much during this pandemic so far.
Discounts Relatively Unchanged
According to Domain, Melbourne prices have held strong. The discounts (the difference between the advertised sale price and the actual selling price) are lower than this time last year and have only risen .4% since March. That’s a pretty good sign, and as restrictions start to ease and home opens and auctions become a thing again, this is likely to improve.
Home Prices are Stable
It’s not just in Melbourne either. The CoreLogic Hedonic Home Value Index for April has just been released and despite the uncertain times, the national home price average increased by .3%. CoreLogic themselves said that the “April housing market looks remarkably resilient.” Here at Ristic we remain hopeful that this will continue once the economy starts to reawaken out of its Covid haze.
Strong Buyer Interest
The buyers are still out there and they’re still interested. According to this article on realestate.com.au, search activity has gone up by 35% in their ‘Buy’ section. It’ll be interesting to see what this translates to once the restrictions ease, but we feel it’s a good indication that dire predictions of massive crashes in the real estate industry won’t come true.
If you’ve got any questions about real estate in these times, get in touch with the Ristic team. We’d love to answer them. Well done to everyone for being so diligent about staying at home, social distancing and doing what you can to help us beat this thing. Keep it up Team Australia!