Like the economy, the property market is always up and down. Strong capital growth is always followed by a period of slower growth, no growth or on some occasions declining prices.

If you believe the media, you’d never buy or sell a property; one week it’s all good, the next it’s all bad.

Having been in the business for over 40 years, we have a good feel for what’s happening locally and we’re  starting to notice a subtle shift at the moment…. and it’s heading in the right direction!

Confidence is building.

Here are our four reasons of why we think the market will continue to take an upwards turn in the second half of the year:

Royal Commission into Banking – it’s finished!

There was a lot of uncertainty during the Royal Commission process, meaning many people held back. Now it is well and truly behind us, and while there are some stricter restrictions and lending criteria, banks are still lending money.

Furthermore, some will even help you with planning strategies and identifying hurdles to help you meet the criteria.

A side effect of this banking commission is people turning to other reputable finance providers; as a result, it’s not just the Big Four, there is more choice on the market.

Speak to your accountant or financial specialist who is up to date with all the changes and has access to lenders.

Our tip at this stage is to get your house in order. We’re coming up to end of financial year, so now is a really good time to really review your finances and if the time is right, start looking for better deals on your loan. Give us a call as we have several very good brokers we can put you in touch with.

Two elections behind us

It’s been a rocky few months with threats of property investor incentives being stripped away.
The elections are far behind us, and we all know where we stand. This is giving property investors the confidence to move forward with plans and to start spending money.

Reserve Bank lowered interest rates

In a bid to boost the economy, the Reserve Bank recently lowered Interest rates 25 points (or 0.25%). What’s really good is the vast majority of banks have actually passed on the full 25 points (in fact one of the major four banks when beyond and passed on more!).

Plus, financial institutions are saying they want the market turn and are actively wanting to approve more loans again.

Help for first time home buyers

With grants and concessions, there are already some great incentives in NSW for first home buyers (see this link here https://www.nsw.gov.au/improving-nsw/projects-and-initiatives/first-home-buyers/).

Furthermore, the Morrison Government plans to change the rules for first home buyers so they only need a deposit of 5 instead of 20 per cent.

All of these are pointing towards a solid property market once again.

If you want to know more about property drop into the Cardiff office or give us a call on 02 4954 8833. Or send us an email to: mail@apnewcastle.com.au – we’d love to hear from you.

And don’t forget to check out our Facebook page for handy tips on selling your property or what to look for when buying a property.