Cunninghams Property Update

There’s a lot of media coverage at present about the state of the property market.
But what does it all mean?
How do we separate sensationalism from what may impact us here in our part of the world? Top of mind at present is a prospect of either a hung parliament or that we may be back to the polls.
Housing affordability, government spending and employment are always major factors that will impact the property market. But remember, on the Northern Beaches we’re not facing the prospect of a huge tract of land being released (and therefore increasingly supply). And both of our Federal Government Parties played it fairly safe in terms of major policy announcements so we think the impact on property prices around these parts is pretty minimal.

And so, onto business as usual – Spring is officially here! It is a popular time of year for people to sell properties and it’s important to lay the groundwork – literally – now.
Much attention is given to the styling of a home (see John’s tips in yesterday’s Manly Daily!) but don’t neglect your gardens! Beautiful backyards can become an outdoor haven, particularly in the warmer months. Talk to us if you need some advice on how to spruce up your garden, or spend some time at your local garden centre and learn from the best green thumbs in the business.
Have a great week.
PRICE UPDATES:
1/102 Lawrence Street, Freshwater – More than $775,000
5a Kitchener Street, Balgowlah – More than $800,000
12/144 Ocean Street, Narrabeen – $539,000
67 Beatrice St, Balgowlah Heights- $1,795,000
213/5-17 Central Ave, Manly- More than $580,000

Rain, rain go away. Come again preferably not tomorrow or the next day and give us a bit of respite! Last week of Autumn and we’re sick of Winter before it’s even here. Let’s hope for some sunshine soon. It doesn’t feel like we’ll ever get to that, given the grey skies that have been hanging around recently.

We have 28 properties open this weekend, including 4 Old Sydney Road in Seaforth. Without a doubt this property would boast one of the most beautiful views on the Northern Beaches – see if you agree. Andrew Lutze of Cunninghams Marketingis the agent marketing this property.

Let’s hope we get better weather for the annaul Manly Food and wine Festival (5th and 6th of June)  .Rather have it now instead of next weekend This is the 24th of these festivals – an institution in the area and very much an event on the locals calendar each year!

Have a great week!

Hopefully we’ll see you on the weekend!

Last weekend brought us to our last official weekend of Summer – bring on the cooler weather we say!  Or maybe we could just lose the muggy days and nights.    Although it was disappointing having to hop out of the water on Sunday and not being able to enjoy a swim.  Better to be safe than worry we say.

In real estate, the last weekend of Summer used to be fairly significant in terms of a busy spring and summer – especially after a break at Christmas – this time of year was almost a final dash.  It’s a bit like the first weekend of Spring – it’s really just another busy weekend for us.  Over the past couple of weeks, we had an average of sixteen parties through each of our open for inspections.  And, with better technology and smarter methods of marketing, there’s something happening in the market every day of every week.   

The interest rate rise yesterday was fairly expected and with mortgages in this area above the average mortgage it will make a bit of a differenct to everyone’s pocket.  But it does have a flipside bringing some stability to the market which I think we’d all like to see.   

Speaking of markets and activities that are on – there’s some great community events going on – do you get down to the Manly West Organic Markets each Saturday?  Or maybe you prefer the Manly Farmers Markets – held down at Short Street Plaza each weekend.  Manly Council has also been running the fantastic Saturdays at Sunset – last one this weekend.   At Cunninghams, we love these sorts of events and organisations – they have a great energy about them and make this community such a pleasure to be involved in.

Wow, how brilliant a location is the Northern Beaches of Sydney? 15 magnificent ocean beaches to enjoy surfing and nippers with your family, 15 beautiful harbour beaches to swim, snorkel or just people-watch and 15 minutes to the city on a fast ferry (well don’t get me on a technicality!) We’re always amazed at what we have on offer here, Sydney is a unique global city in this regard and we have all of this and a national park right on our doorstep.

Take the plunge and secure your own slice of paradise – now is the time to commit. We have sold 35 properties in the past 5 weeks but we still have 20 open for viewing this weekend and 5 new listings in the wind. The festive season is upon us so act soon before the market quietens down and you could still be in before Christmas. There’s still time to enjoy your summer and all the great things on offer on your doorstep

With the outcome of yesterday’s official ’shocking’ interest rate rise – sorry we’re getting Melbourne Cup winners and our finances mixed up – who was surprised?  We weren’t and we suspect most probably weren’t.  Everyone has a view on how this will impact property and prices and number of buyers in the market – but the flip side of such a rate rise is a good indication that the economy is well and truly on the mend.  Business is doing well and people have jobs – a much better position all round than was predicted same time last year.

 Here at Cunninghams Property we set ourselves what we thought was a fairly formidable goal – 30 properties in 30 days.  We finished the month with 32 sales making October our most successful month on record.  Interestingly, our average sale price is now just below $1 million dollars, considerably lower than in the July/August time frame.  This might surprise some but we see this as good news – it’s a strong reflection of a stable market – for buyers and sellers alike where a good mix of properties are being sold across all price ranges instead of an abundance of first home buyer units as it was in the first quarter of the year (where the average was a low of $750,000) or as it was in July when an abundance of significant family homes were sold.

 In the local press last week there were some comparisons of the median prices of some suburbs – with some considerable differences and seemingly alarming ‘drops’ in some suburbs.  This information was based on the Australian Property Monitor quarterly house price series report.  Having been firmly established in the area for over 18 years, we’re always wary of marking short term comparisons of results and sales prices as this doesn’t give a true indication of the market.  This sort of information can leave both buyers and sellers confused and uncertain.   Whether you are a buyer or seller in today’s market, be cognizant of the broader picture and other factors at work.  Median prices regularly rise and fall however the real picture shows a rationale behind every set of figures.

 Earlier this year, the first home buyers market was totally dominant and in the months following there was a strong flow on effect to 2^nd, 3^rd and 4^th tier buyers and then months where there was a shortage of stock for 1^st home buyers.  When studying quarterly data in isolation, the bigger picture is missing.  At Cunninghams, we’re thrilled with our results for this month and the momentum we have achieved this year.  Our results are up by more than 40% on the same time last year and our median price has risen by approximately 10%.  Activity is up, the economy is on the up (unfortunately so are interest rates) and the market is balanced.  Ride out the bumps and look at the bigger picture – we have done this for a long time and haven’t been proven wrong yet.