2021 A Year Like No Other
Wishing you all the best for the New Year for 2022. May it be the most amazing year yet!
2021 was certainly a momentous year for growth in the residential property market, which saw the fastest annual price growth in property for decades.
House Average Price Growth in 2021
South Wentworthville 18.7%
Constitution Hill 25.7%
January 2022 Market Activity
Most agents have been unusually active this January, with homeowners scheduling open homes and auctions earlier than in previous years.
This included thousands of Sydney open homes last week - an unusual occurrence for this early in the year when most agents and buyers are normally on holidays.
Part of the reason is that sellers are wanting to avoid the surge in listings over February (when the real estate industry normally comes back to life after the summer break).
Housing Boom or Crash - 2022 Prediction
Many economists and property experts are predicting house prices to peak later this year. However, they worry this will be followed by a downturn more severe and longer than we have ever seen.
Sydney now faces the prospect of (if past downturns are any indication).
National Australia bank has forecast a 4.9 per cent lift in property values in 2022 and a 4 per cent fall in 2023. ANZ's outlook is a 6 per cent price hike in 2022 and 4 per cent drop in 2023.
In Summary - Peak price growth is now well behind us and the frantic increase and intensity we saw in 2021 is likely to stabilise in 2022 and then decline in 2023.
For buyers, it is unlikely they would be able to negotiate prices down in 2022, but they would have scope to deliberate on sales, not rush in and not settle for substandard homes like they did during the winter lockdown, when there was a listings shortage due to the Covid 19 Lockdowns in 2021.
If you wish know the right selling strategy for you, call us on 02 9756 3040 for professional honest advice tailored to your needs.
From the Cumberland Realty Team