08 APRIL EDITION
IF I AM CONSIDERING SELLING , WHY GO TO MARKET NOW ?
SUMMARY
• Home values climbed 2.8 per cent in March
• Demand far outstripping supply
Australia ’ s housing market is now well entrenched in one of the strongest growth phases on record . CoreLogic says the disconnect between buyer demand and low stock has fuelled the surge in values , probably more than low interest rates . March saw the end of JobKeeper , the rental moratorium and the expiration of the mortgage deferral program . We are waiting to see if regulators step in with macroprudential controls ? There are some headwinds ahead in the form of a reduction in fiscal support from the federal government , home loan deferral arrangements expiring and migration remaining stalled .
Buyer demand is still outpacing new stock additions . Demand is expected to remain strongest from first-time buyers and upgraders , many of whom are spending money on a house they might otherwise have used on overseas holidays . Australia ’ s top bankers and chief regulator are adamant rapidly rising house prices are not seeding financial risks that warrant lending curbs , but have signalled borrowers ’ incomes will be a key indicator for taking future action . Surging house prices in New Zealand have forced its government to introduce tough curbs through taxation and lending