Buyers agency experiencing strong demand of late

The offer of additional mortgage repayment pauses by lenders is further proof that the September “property market crash” was always unlikely, according to national buyers agency Your Property Your Wealth.

Your Property Your Wealth director and buyer’s agent Daniel Walsh said buyer demand had already been steadily increasing before the announcement was made.
“Savvy buyers and investors recognised that lenders that were never going to simply walk away from borrowers come September so they have been more active in the market over the past two months,” he said.
“Banks have a duty to assist borrowers experiencing genuine financial hardship, which is exactly what the Australian Banking Association has said lenders will do with possible four-month extensions of mortgage repayment pauses.”
However, Mr Walsh said that the four-month extension would not simply move forward any potential market wobble to early next year.
He said property markets had been firming since May with price discounts not on the table in many locations as well.
“When the coronavirus first hit, buyers were able to get discounts on properties because of poor consumer sentiment and concerns about the economy generally.
“In some locations, not only are those discounts now gone, there is strong competition for listings, which is pushing prices higher.
“This is especially the case in locations like Brisbane that aren’t dependent on international migration and were already the beneficiary of strong interstate migration.”
In fact, Mr Walsh said his buyers agency has been experiencing its strongest months on record of late.
He said Sydney and Melbourne-based investors were making the most of equity in their homes or their portfolios as well as low interest rates to strategically purchase properties.
“The low point of the market was actually about eight to 12 weeks ago, but that opportunity is gone now with many locations recording prices about 10 per cent higher from trough to peak,” Mr Walsh said.
“Property prices are tipped to continue to strengthen in Brisbane in particular with interstate migration likely to soar as more and more southerners prioritise lifestyle and affordability post-coronavirus.”