Kedron & Surrounding Suburbs Weekly Market Update 24.06.2020
Daniel from One Percent Property here with your weekly market update.
Lots to talk about this week with another fantastic week in the Brisbane Inner North property market!
Do you have any questions or would you like to get an updated value on your home?
Call Daniel - 0424 585 391
Kedron, Gordon Park & Surrounding Suburbs Property Expert
Hi. Daniel from One Percent Property here, with your Wednesday weekly market update for Wednesday, the 24th of June, 2020. So what is happening in the Brisbane property market? What has happened over the last seven days?
We had 804 sales across Queensland, which is really good, bringing that right back up to the normal activity levels pre-COVID. 12 sales across the Kedron and Surrounding Suburbs. Again, good amount of activity shows there's some properties moving hands, and are all good signs. There was a 52% auction clearance rate. When you compare that with last year, it was 21% this time last year. That's a really, really good sign that despite everything that's going on, there's still really good market sentiment. People are buying properties. It's a fantastic sign for homeowners and really anyone involved in property in our area.
As we're coming out of COVID, what's happening, what's going on, how are we looking? I had a funny email this week. Well, I found it funny, from a buyer. They were inquiring about a property that I've got on the market. The property is listed at $600,000. The email read, "Because of the massive property crash in Brisbane, would the vendor accept $250,000?"
I had a bit of a chuckle before composing my response. What crash are people talking about? Some statistics for Brisbane since this all happened. Brisbane property prices so far, up to date in 2020 are up 2.2%. Since the start of COVID, property prices overall are up 0.5%, up 0.5%. They dropped last month, but two months ago, prices went up. That's where we sit at the moment. June to date, Brisbane property prices have gone up 0.8%.
There has not been a crash in Brisbane. There has not been a massive price drop. There are not lots of distress sales. It's just not happening. The only people that are talking like that are buyers that are trying to find a deal. Maybe they send out a hundred emails talking about a crash, they might get one response with a yes.
People are then talking about September. "What's going to happen in September? We're going to go off a cliff. Everything's going to stop. All the payments are going to stop. The banks are going to start reclaiming, and it's going to be horrible." I've read a few articles about this, and I tend to agree that I really don't see the government and the banks allowing this to happen. To have gone through all of the trouble with putting all of these systems and saviors in place, to then just cut it all off at once and allow the economy to collapse? It makes no sense.
I know for a fact that APRA and the banks are talking about extending the mortgage grace periods, and they're talking about other options and other ideas to help people smooth out of this period without having to sell their house in a fire sale. I'm confident that other measures will be put in place by the government. I just do not see why they would go through all this trouble to just let it cut off in September and have everything collapse in and of itself. It makes no sense.
Look, I'm not too worried, especially for Brisbane in what happens in September. It's not all good news. The population growth statistics have come in, and population growth has slowed down, not by a lot, but it has slowed down. Now, obviously, population growth has a big effect on property prices, but again, this is something that's going to put a strain on the increase in prices, might keep things flat. It might make them go down a little bit over the long-term, but it's not something that's going to cause a crash. It's not something that people need to panic about.
The local market really has reflected what I'm reading in articles on a national level and what I'm seeing in the industry on a national level. There's a lot of activity locally. We've got two Eastgate Street, 13 Sylvia Court, and 3 at 28 Figgis Street in Kedron, all settling in the next couple of weeks. Each of those properties sold well above the asking price. Two of them for a street record, one for a suburb record. The building [inaudible 00:04:31] all went perfectly. There were no issues at all with anyone getting finance. Everything went smoothly, which is obviously a fantastic sign. It shows that there is confidence. It shows the property is being valued at the right point, and it's all good things for property owners in our area.
We also took 6 at 186 Petrie Terrace under contract, cash unconditional offer. So congratulations to my vendor, Denise, on your sale, and congratulations to Sandra on the purchase of your beautiful new apartment.
If anyone has any questions in regards to what I've been speaking about today, or if you'd like to have a chat about property in general, or if you'd like to get an update on the value of your home, please give me a call at any time, 0424-585-391. I really, really hope you've had a fantastic week so far, and I hope the second half is even better than the first. I really, really look forward to hopefully talking to some of you soon.