Millwater Property Update
With Mike Pero Real Estate Millwater
Happy New Year to you all. I hope everyone has had an enjoyable break and has come back as enthusiastic and refreshed as our team has. I thought this month I would summarise how 2019 went, and have a look at what might happen in the Millwater market in 2020.
It would be fair to say that 2019 started in a very subdued way, with low sales volumes and vendors generally being prepared to hold out for their desired price. Listing numbers were high and the market was in a relative period of stalemate, with buyers not wanting to pay the prices vendors required and many vendors not being prepared to lower their expectations.
As we headed into May and June, a number of forces were at work to change this situation. In many cases, vendors withdrew their properties from the market, accepting that buyers weren't going to pay what they wanted; potential vendors also noted the subdued nature of the market and put off selling to a later date; and then some vendors decided to get on with life, agree with the market and sell. The upshot was that there was less property on the market and less new property coming on, so supply decreased quite quickly.
At the same time, there was a shift in buyer behaviour. Many buyers who had been sitting on the sidelines waiting for the market prices to drop, eventually ran out of patience and decided to get on with life, and so purchased. Around this time, the Government announced that it would not be pursuing a Capital Gains Tax; the Reserve Bank tweaked the Loan to Value lending rules; and interest rates started to drop. The upshot was that the buyers came back – not overnight, but there was a relatively quick upswing in buyer activity in May, and then a steady increase over the following months.
The final part of the puzzle was that buyers started to miss out on their first choice of house. Having had the luxury of a market where property generally took 6-10 weeks to sell, suddenly good houses were selling in 2-4 weeks and buyers were missing out.
While the time to sell was coming down quite quickly, buyers were still cautious about paying too much for any property. So, the months from July to September presented a market where well priced and presented property was selling well, if not at record high prices. By mid-November, there was a relative shortage of quality property, and there were some indications of prices recovering continuing through to Xmas.
From early indications, it appears that some of this buyer enthusiasm remains in 2020, with offers already prevalent and buyers and vendors coming together on pricing. There is relatively low stock levels remaining from 2019, and at time of writing there has not been a massive upswing of new listings.
So, for 2020 we are expecting an overall steady start to the year. There will be the usual Millwater market peaks and troughs through the first few months, with a lot depending on the number of properties entering the market. Interest rates remain very low, investors are starting to purchase again ,and first home buyers are jumping in also, so the short term prospects look good for selling.
Of interest will be the timing of the general election. The latest it can be is 21 November; however, it is possible to be any time this year. Whenever it is announced, we usually see a distinct slip off in sales activity for the 6-8 weeks prior to the election and, unless a clear majority is achieved, probably another 4-6 weeks after. All said and done, it is likely that the last third of the year will be impacted in some way by the election, meaning that the prime time to be selling this year is likely February to June. While there are significant international economic concerns, it appears that the central banks of the world – particularly the USA – are determined to keep things rocking along as long as possible. How long they can keep the slowing worldwide economy at bay is yet to be determined, but something is likely to give eventually – just bet that President Trump will be trying very hard to avoid this until after the US elections later this year.
In the meantime, now is a good time to sell so if you are considering it please give us a call, we are happy to provide you with a market appraisal of your property and discuss how timing your sale could help achieve a great outcome.
021 665 423
About Mike Pero Real Estate Millwater
Grayson and Sarah live and work in Millwater and know the market extremely well. Their clients attest to their enthusiastic and professional approach as well as the high value proposition that the Mike Pero Real Estate brand provides.
Clients appreciate that because they are locals they not only have an in depth knowledge of the current market but also strive to make a fabulous impression by delivering optimum results.
“We are proud to be the business owners of Mike Pero Real Estate Millwater, servicing the area from Millwater to Long Bay and across to Albany."
- Grayson and Sarah
Contact us at Mike Pero Real Estate for more information on residential sales in the Millwater area.
"The dream team strikes again. For the second time we have had the pleasure of having Grayson, Sarah and the team at Mike Pero Millwater market and sell our property. They made the process easy and took care of all of the details for us. The professional photos were fantastic and made all the difference for our online marketing. Second to none, real estate professionals we would recommend to everyone."
Shane & Nicole Woods | Prospect Tce and Skipjack Pass
"My sincere thanks go to Grayson Sarah and Vanessa from Mike Pero for achieving the successful sale of my property in Millwater. Grayson is happy to spend as much or as little time with you as you require to find out all about the exciting but sometimes stressful process of selling a beloved home. No question went unanswered from him - or Sarah and Vanessa for that matter -and they work so well as a team. I would highly recommend them to anyone thinking of selling their home as not only do they achieve great results they have your best interests at heart."
Kathryn Deakins | Blake Greens
"We have used Sarah and Grayson from Mike Pero Millwater on three occasions to sell our homes. On every occasion we received good market information and the final result exceeded our financial expectations. Appointments were always kept and phone calls always returned without delay. Open home feedback was prompt and accurate.
Grayson and Sarah helped us finish creating our retirement fund in under 5 years. We are really happy we were loyal to a fantastic team who always exceeded our expectations."
Mark and Donna Bradford | Madison Terrace, Bartlett Drive and Botanical Drive
Grayson and Sarah were brilliant from the get go - the transparency and communication, including regular updates helped us feel connected to the marketing plan with the end goal always in mind. We felt like we were dealing with real people that understood us and our family needs. Being a part of Maddren Homes and in the business of building/selling homes, professionalism and quality are important to us and with Grayson and Sarah we felt we got looked after every step of the way. They were professional and approachable and we were constantly kept informed - we felt like our home was always a priority and they were focused on achieving a great outcome for us, which they did! We’d recommended listing with Mike Pero, as we would again in a heartbeat. We wish them every success. The kids were rapt their playhouse was even sold. The Anderson Family | Outlook Terrace