Property Update – 17 March 2020
In a show of strength, Melbourne’s property buyers were out in force on the weekend with a preliminary CoreLogic auction clearance rate of 70 per cent. This impressive turn-out and success was fuelled, in part, by the Reserve Bank cutting the cash rate to a record low of 0.5 per cent last week – with the expectation of another reduction in April.
First home buyers are also returning to the Australian marketplace in big numbers with ABS figures revealing that newcomers took out 9,945 loans in January, up 25.5 per cent from a year ago and a 10 year high. The federal government’s First Home Loan Deposit Scheme is believed to have prompted many to enter the market.
It’s too early to predict the full impact of coronavirus on the marketplace, but the long-term nature of the housing market will provide some insulation, compared to the volatility of other investment streams. From a purely historical perspective, when you combine price appreciation, rental income potential, and the tax benefits of real estate investing, property comes out on top.
As always, it’s business as usual at Eton Property Group, so call us today for your own private viewing! To view our latest property listings, visit our Projects page.