WHAT IS DRIVING THE PROPERTY BOOM?

According to news sources, the epicenter of the property boom continues to be the Sydney property market,

in particular the Eastern Suburbs. Properties in these areas are snapped up at auctions for hundreds of

thousands above the reserve, with median house prices double of the Sydney median of nearly $1

million and auction clearance rates are well above that of the rest of the country (often nudging 80% –

90% since the residential boom started in 2012).

What is the attraction?

Proximity to the CBD, great infrastructure, shops, services and lifestyle are on offer! Demand

constantly exceeds stock levels. Coupled with a population boom and a shortage of

land in these prime areas, people who want to live and remain in close proximity to the city are

moving into apartments while those who wish to have a house are being pushed to the outer rings.

Some are even making the big decision of a city and lifestyle change.

The current low interest rates are also fueling the property boom and more investors have again

returned to the market.

House prices are no longer driven by value but by how much people are prepared to pay and how

much banks are willing to lend.

Are you considering making the property move now but are waiting for a sufficient deposit? We

can help with alternatives, Contact us on Facebook or email at loans@financeandmortgage.com.au.