The peak for the Melbourne property market was November in 2017. Since then, the annual decline has been -10.3% (CoreLogic). Of course, as with any statistic, it is important to realise that there is always more to the story, as the Melbourne property market is not made up of one thing. For example, detached houses have fallen by 9% more than apartments, and this despite the fact that there are more apartments available than houses. This probably reflects the affordability of apartment compared to houses and that the buyers are purchasing their first homes, utilising the incentives provided to get their first step on the property ladder. All this is an indication that currently we are in a buyers’ market.
A buyers’ market is the term used to describe a property market in which the buyer has greater ‘power’ than the seller. This is because in a buyers’ market the supply of properties for sale exceeds the demand (measured by the number of people wanting to buy property). This gives the buyer a better chance to negotiate a lower final sale price. To take advantage of a buyers’ market you simply need to start looking. Obviously, you still need to keep all your financial goals in mind – ensure you are able to borrow for a mortgage and know your limits. Also be aware that Melbourne is one of the 10 fastest growing cities in the developed world, so bargains will still be snapped up quickly.
Regardless of the market, Accrue Real Estate have the expertise to help you realise your property dreams. With years of experience in the Melbourne property market, Accrue have helped hundreds of people buy and invest in property. Contact Accrue Real Estate to see how we can help you.