Weekly Market Update 8th January 2019
By | 7th Jan 19

Your weekly Property update by Frank Valentic

Happy New Year to you all. I hope you and your family had a very enjoyable festive season and some well deserved time spent with the family over the holiday period. 

2018 finished in a different fashion in Melbourne compared to the start of the year, where it was a sellers' market and it changed to be a buyers' market.   Experts are predicting that there will be a 5 to 10 per cent correction this year and that there will be better buying opportunities for buyers.  Though the year ended with another record result where a house in Harkaway Road, Narre Warren North sold for a whopping $9 million result.  This showed that the market can't be falling apart and be crashing. 

The outer suburbs of Melbourne continue to be the strongest areas and the middle suburbs are also now performing a lot stronger than the inner suburbs.  They have taken over the mantle as being the strongest suburbs.  The middle suburbs such as Preston, West Footscray, Coburg North still offer great value for money as they can be purchased in the vicinity of $1 million dollars and most of those suburbs are still only 10 to 12 km from Melbourne's CBD. 

There were 17 new suburbs proposed by the government to tackle the housing affordability as Melbourne's population spreading outwards.  With suburbs bordering Pakenham East, Sunbury and Corio, there are new suburbs proposed to help Melbourne's growing population.  

The RBA has said that the economy is struggling and there is talk that experts are predicting a rate cut in 2019 rather than a rate rise.  Experts indicated that there is a 28 per cent chance of an interest rate cut this year.  This will hopefully add some confidence to buyers to get into the market as there are less buyers and competition. 

Watch: Your introduction into the 2019 property market by Frank Valentic