Market Report: lifestyle continues to drive our market
People are placing more importance on the ‘lifestyle’ components of our properties, with both personal and intrinsic values changing across Inner Sydney.
At the same time, the number of ‘active bidders’ participating in BresicWhitney auctions continued to climb last month, suggesting more people were joining the queue to buy.
When we see our active bidder numbers grow, that usually indicates a new cycle of growth. At the tail end of a boom, we would see the share of registered bidders who actually make a bid decrease.
The opposite has happened for us. Through May and June, 40% to 50% of registered bidders participated, since rising to between 65% and 75%.
BresicWhitney head of sales Thomas McGlynn said the most obvious driver has been people placing more importance on their way of life.
“Throughout everyones tough time this year we’ve seen a rise in popularity for properties that have views, are well located, and deliver a better home environment,” Thomas said.
“These things have always been popular, but now they’ve become more of a significant driver.”
With data in from August, Sydney’s median property price lifted by 1.8% last month (to $1,039,514) according to CoreLogic. Meanwhile, Sydney stock levels are down 20% on CoreLogic’s 5-year average.
Data also shows unit prices have followed house growth: read more about apartments here.
A few highlights
27 Young Street, Annandale sold for $2.45 million with 19 registrations. Even with price adjustments inline with demand, this deceased estate drew huge interest.
19/43 Hereford Street, Glebe sold for $1,414,500 with 7 out of the 10 registered bidders participating.
48 Rainford Street, Surry Hills sold for $1.905 million, with multiple BresicWhitney agents introducing clients to the online auction.
10/3-9 Lamont Street, Wollstonecraft brought in a massive 75 private buyer appointments, while the auction moved forward more than a week. It sold for $1.901 million.
The rental space
BresicWhitney head of property management Chantelle Collin said the rental market has experienced a similar shift as sales sphere, with tenants also valuing their space at home more.
That’s made one-bedroom apartments and studios slower, with homes of more features taking precedence. For the same reasons, small terraces have seen the same challenges.
“Urgency has been down, with homes needing to tick more boxes to capture the attention of tenants,” Chantelle said. “If they have something extra to offer, they get attention.
“Houses at the prestige end of the market or hard-to-come-by homes have been doing well.”
With private inspections taking more time to place tenants in homes, leasing teams have been working closely with owners on correct pricing, ensuring the market is captured week to week.
See all new rental listings here.