PHOTO: REINSW president Leanne Pilkington
While property experts and big banks have widely predicted that the property market will fall, so far it has remained stable, an industry expert highlights.
Despite claims of up to 30 per cent decreases in property values, REINSW president Leanne Pilkington said investors would be better off looking at the data.
“Let’s look beyond the headlines. I consider the data released over the past few weeks and let it speak to me,” Ms Pilkington said.
“It is interesting that the analysts who are now saying the market needs a ventilator are the same ones that were previously saying we were in a boom when the market had 80 per cent clearance rates. So, the way I do the maths, the distance between apparent boom and bust is 2.1 per cent.”
Ms Pilkington argued that a lack of sellers is helping keep the value of properties higher.
“If vendors are selling, then the properties are clearly reaching their reserve. In fact, feedback from the REINSW member agents and auctioneers indicates that properties have been comfortably exceeding their reserve,” she said.
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