Canberra real estate ratcheted up a notch over summer, providing a greater air of positivity for this year’s property market.
Windrose Property Sales Agent Kate Billson said Canberra had edged its way forward over summer with property values increasing by 0.3% during the traditionally slower December to February quarter.
In the past year, values surged by 1.6% to a median dwelling value of $840,103, according to CoreLogic.
Of Australia’s smaller capital cities, CoreLogic data shows Canberra last week had the second highest auction clearance rate at 69.4% – second only to Adelaide at 83.1%.
“Auction clearance rates are up, activity in the market is definitely up. For the three months of December, January and February, it’s been a much more stable and stronger market,” Kate said.
“There’s positivity out there both from buyers and sellers – and I think that confidence is coming from the fact that interest rates are on hold. It’s fair to say that we have seen more stability in the last few months than we have in the last 18 months.”
“Buyers are happy to buy and sellers are actually comfortable to put their properties on the market knowing that we are starting to see price growth.
“The positivity I’m seeing in the market from conversations I’m having with Canberra sellers, Canberra buyers and those in Murrumbateman and Yass is if they buy now, they will be really pleased they did rather than buying in six months’ time when I think we will start to see prices starting to move north.”
Kate said the increased market stability had prompted buyers to assess their budgets and borrowing capacity.
“People seem to be reassessing their position with the view that interest rates will come down later this year,” she said.
“They are putting plans in place, knowing that they can still have a new home and their lifestyle, and are worrying less about how many coffees they buy or if they can go out to dinner. And that’s really important because people are still looking for that lifestyle balance.”