JUNE 2023 NEWSLETTER
JUNE 2023 EOFY NEWSLETTER
This past financial year was packed with a little bit of everything!!
Real estate was extremely buoyant later in 2022 with low interest rates, plenty of people buying and to a degree, a shortage of stock. Prices were heading northward and buyers had FOMO there for a while. Median price increased (in Greater Bendigo) from June at $475,000 to November at $515,000 which is a 22.5% increase over that time.
Interest rates then stung the property market with 10 consecutive rate rises through to March this year which corrected prices – and we don’t mind saying the market needed too. We are now returning back to a more stable market albeit numbers of sales are down – but only slightly and median price has corrected about 5%.
Properties are still selling at a reasonable pace and there are plenty of people trying to secure rental properties. The general feeling is that there may be two more rate increases from the RBA and then things should settle down. Along with many people in local business and the general consensus from our leading economists, I feel the market will warm up in summer and certainly into 2024 with rates decreasing and an increasing positive market sentiment.
Buying in the current market.
Think of it like this: Is the best time to buy is when interest rates are low, prices have been driven up and there are lots and lots of people trying to buy in the same market? This is what most people do – because others are doing it!
Consider buying in a market where interest rates are higher, sentiment is a little off and there aren’t as many buyers around… for some short-term pain dealing with higher interest rates, you could be much better-off especially when those rates come down. History has shown us that interest rates decline faster than they increase. This is the point where generally median price increases, more people start buying and there’s buoyancy in the market again.
You could be in front of the market by buying that step before others take the plunge.
TOP 5 BEST PERFORIMG SUBURBS
Suburb Median Price % Growth
Quarry Hill $640,000 18.0%
Kennington $620,000 6.9%
Eaglehawk $515,000 6.2%
Kangaroo Flat $530,000 4.5%
East Bendigo $565,000 3.7%