When determining whether or not now is the right time to buy, it can help to look at recent real estate trends. Researching patterns that have emerged over the last month can help buyers decide if June 2014 is a good time to buy without paying too much for a home or investment property. Here is the property outlook for June 2014.
Trends in major Australian cities
New home construction is trending positively across Australia, but some cities are more popular than others when buyers are looking for a place to build a home. In addition, home purchases are surging in metropolitan areas across Australia.
Sydney is one of the hottest cities in Australia for real estate, and the recent impressive growth in values reflect this trend. Property investors are more likely to be able to purchase property in the city because of the highly competitive nature of the market.
New developments are in the works in desirable suburbs, but the price tags for new homes in these areas are high. Buyers may be able to purchase homes that are in construction during the month of June, but it is essential for investors and home buyers to be willing to put down a substantial sum well before construction is complete.
Melbourne is another city that has seen an increase in new home construction, and the volume of home sales in the city continues to rise. Some properties are being sold above their market value, and the popularity of real estate within the city threatens to create a short term lift in prices.
Canberra is still showing slow signs of growth. The slow and steady progress that the market has made may make it ideal for home buyers and investors looking to make a purchase in June that is low-risk.
Perth is close to its breaking point, and homes are frequently being sold above and beyond the asking price. Property investors are advised to do their research and see which properties and suburbs offer value for money before leaping into the property market.
Is it time to buy?
Interest rates are currently hovering around record lows and are likely to remain low for the foreseeable future with the Reserve Bank of Australia stating that a prolonged period of rate stability is the most prudent course of action. Further, property prices are likely to continue to rise over the short to medium term. As such, if Australians are currently in a position to buy, then now may be a good time to do so.
Jumping into the property market now could allow borrowers to capitalise on the low interest rate environment and beat the rising property prices.
If you've decided it's time to buy, make use of these handy tips and tools in preparation for your big decision.