Is this your window-of-opportunity?

By Graeme Salt

Prospective homebuyers are becoming increasingly confident about purchasing a property.

And we might be getting closer to another period of property growth.

New research shows that the majority of prospective buyers feel positive about getting into the market.

Buyer confidence has increased markedly over the past three months, with a report from Mortgage Choice showing 83 per cent of prospective buyers now feel positive about buying a home (compared to 70 per cent last quarter).

Some of this may well be because, nationally, prices appear to have peaked – increasing by 0.08 per cent last month – the smallest monthly increase recorded since prices stopped falling in late 2022.

This slowdown in price growth is not unexpected, it coincides with continued strong listings activity – so much so the balance appears to have been tilted in buyers’ favour.

Even the cities that have shown most growth (Adelaide, Brisbane and Perth) are starting to show some level-headedness.

In the past three months, 15 suburbs in Brisbane and three in Adelaide posted a decline in house prices.

However, if you’re holding-off buying in the hope of major price falls, you are in for a major disappointment.  Economists expect the Reserve Bank of Australia to deliver its first interest rate cut in February 2025 – this may well spur the market into another growth phase.

And Australia’s (traditionally) second market – Melbourne has been showing value for some time.

If you are thinking about buying, now may be a window of opportunity for you and you would be well-advised to arrange your loan pre-approval.

Economists are predicting three rate cuts in 2025 – expect prices to take off once they have occurred.

Graeme Salt is an award-winning mortgage broker.  For a no-obligations consultation on your home loan needs, please contact him on 02 9922 5055.