The lead-up to any election always has an effect on the property world, with buyers holding off on making any sudden moves and investors waiting in anticipation of any potential policy changes.
This Australian federal election was no different. In the lead-up to voting day, property market morale was at the lowest it has been in decades, with little-to-no purchases. Now that the day of judgement has passed, property market professionals from across all different sectors are reporting good news.
“The last seven days have arguably been the most interesting for this year,” says Scott Orchard, Director of CBRE Melbourne. “Since Scott Morrison has retained government, we have seen a huge change in those looking to buy.”
Scott says his company has seen a mix of tenants, owner-occupiers, and landlords wanting to ‘get back to business’ with a number of those looking to pursue further investment opportunities or take advantage of the current prices — which are sitting at all-time lows since the property boom in the 80s.
Indeed, Leonard Teplin from Marshall White Projects has reported similar results.
“The volume of buyer enquiry for off-the-plan properties over the last seven days has increased by 18 per cent,” he says. “Anecdotally, 1 in 5 buyers we spoke to last week who have previously been holding back from making a purchase are now actively re-engaging in the buying process."
What does this mean for those who have been looking to buy but holding off ‘just in case’? If buyers don’t act now, they might miss out on opportunities, as Director of Thirdi, Luke Berry, explains.
“I think would-be purchasers will be surprised how quickly projects like Paragon of Pyrmont and The Gentry in Alexandria will be snapped up,” he says. “Since the election, we’ve seen a 200 per cent increase in display suite appointments across all our projects.”
Combine the above statistics from each of these industry professionals with the recent news that APRA is looking to lower the rate threshold banks use to assess a borrower’s ability to repay a home loan, and the market is looking better than ever for those looking to buy.
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