The Weekly 14 October 2022

Be quick, Christmas is coming!

We’re now in the run-up to Christmas, well at least for property. It generally takes a few weeks for a property to be listed, sold, and settlement is usually a couple of months after that. So, if you’re looking to buy or sell and be sorted by Christmas, you’ll need to get your skates on…call us!
 
This weird weather – storming (literally) through all time-record rainfall – has certainly detracted from the sense of Spring so far, but as hard as it is to believe, we are heading towards Summer.
 
You, like us, would have noticed that your email inbox is clogging up from retailers offering discounts, vouchers and sales. That’s a pretty sure sign that belts are tightening on consumer spending. Confidence globally is under pressure, and as interest rates rise, stock markets are more volatile, as they factor in a greater likelihood of a global recession. Whilst at the same time, everyone is keen to persuade you to spend, to offset greater retail wariness. 
 
Which means that while cash rates and returns rise, investment and super values fall.
 
Here, there’s little sign of imported goods prices falling or of their availability increasing…yet. So, there’s clear pressure on the property market.
 
Locally, there are no signs of panic, but buyers aren’t being rushed into anything, and sellers are being compelled to be more pragmatic. Prices are lower than six months ago but still substantially higher than 2-3 years ago, with little likelihood of ever returning to those pre-pandemic levels. Buyers absolutely should think about the cost of not owning.
 
In any case, the banks are lending much less freely than they were. But always reflect on the fact that ownership gives stability…if you can afford it. To put our current situation in context, interest rates now seem high compared to the past decade.  But in the long-term picture, those rates were atypically low; they were above 15% a few decades ago! If you’re renting, well there’s a shortage there, and rents are rising. 
 

Stamp Duty


The mooted introduction of long proposed stamp duty reform might ease the pressure on buyers too. It will absolutely make property more affordable, although of course, it adds an annual tax to buyers who would adopt the change. Unfortunately, with a limit of $1.5m, there’s not much in the house market to choose from, locally. Might help local apartment buyers however!
 
Here are the details
 

Thinking Ahead

We’ve talked before about ways to both make your home more future proof, and more affordable, both to run and to build/renovate. This article caught our eye, and imagination…it doesn’t have to stop at solar panels…

Locally


There’s a lot of mixed community opinion on the forthcoming trial closure of Old Barrenjoey in Avalon, around Woolworths, The Community Centre and Dunbar Park. Change can often be met with resistance; But after all, look how successful the car free George St in the CBD now is… although keeping a wary eye out for trams is not so much an issue in Avalon!
We know our villages are friendly and neighbourly. but here’s a plan from NBC to ensure we are. Take the test…how good of a neighbour are you?

What’s On

 
There are a few things going on locally and these ones in particular have caught our eye…
For the groovy but self-conscious amongst you, here’s a winner (plus, it’s for charity!) Dancing In The Dark. Donate as you dance; doesn’t get much better!
 
Dance as if no-one is watching…because they won’t be!
Wednesday October 26th at 7.30 at the Community Centre Annex…
The next evening, if you think you haven’t got the music in you, there’s an alternative at The Bowlo 6 comedians, on stage, from 7.30 pm.$10 entry, which includes food.
 
And lastly, coming up this weekend just a short ferry ride away on Pittwater’s heart shaped island, Scotland Island…you can enjoy, The Scotland Island Spring Garden Festival, at the Catherine Park Community Hall. Open Gardens to explore and plants for sale…there will plenty of beautiful things to look at. This Sunday (Oct 16) 10-5pm.

The Market

If you’ve ever seriously considered being an island dweller, and this event has re-tweaked your interest, we have a fantastic opportunity to present to you: The much-loved and highly regarded Scotland Island Lodge, is up for sale! This wonderful bed & breakfast, one of Sydney’s most popular weekenders, is on the market for the first time in over 2 decades. It’s as pretty as a picture and still running smoothly and well booked into the new year.  Call me for details on 0414 997 328. And click on the link for more details on the Garden Festival this weekend.

Don’t Forget Rentals!


I would like to mention our highly respected property management business. Over the last couple of years, the rental market has changed dramatically – in line with rising house prices. The changing demographics within our area – especially with WFH now commonplace – we’ve become a rental hotspot. As a result, rental yields have never been stronger. 

The issue was explored as part of the ABC-TV’s 4 Corners program on the housing crisis. It aired on Oct 4, it’s worth watching on iView.

These days tenants in our area are so varied: There is the wait-and-see potential buyers, downsizes, try-before-you-buy newcomers, and local couples/families.

We are experiencing unprecedented demand! So, if you have a rental property already – but would consider a fresh change of manager, or are new to the renting scene, and want the best, call Sienna Berney on 0431 302 023.