Changes in 2017

Key Changes That Agents Should Look Out For In 2017

Changes in 2017Congratulations – it’s 2017 and you’ve made it through another year of real estate. Whether it’s been a lucrative one for your or not, there are several points that you should look out for in 2017 to ensure that the year is as successful for you as possible.

Rate increases

There’s been such a level of conversation about this that’s it’s almost a dead certainty – at some point in 2017, it’s highly likely that the banks will hike their interest rates. If your clients are looking to buy a property now, you should advise them to go with a fixed rate loan. As sad as it may seem, interest rates most likely won’t stay at record lows for much longer.

An increased need for reasonably-priced detached properties

For the first time on record, 2016 saw more apartments built than houses, which is likely to be a trend that continues well into 2017.

As a result of this, however, there’s now an overabundance of apartments available, without the demand to cater for them. In 2017, agents should expect local councils to make adjustments to ensure that this balance is restored. Although you’d expect rental rates to fall as a result of this, the constantly increasing population should supplement the sheer number of apartments available.

Fewer listings and more renovations

With another strong year under its belt, Sydney continues to outperform its sister cities across Australia. When you look into it, this trend comes down to basic economics – the demand for property heavily outweighs the supply. The average value of properties within Sydney has increased by 13.1%, compared to 15.6% for the previous year.

With this in mind, the number of new properties listed on the market is down by 17% compared to the same period last year. The demand, however, shows no signs of waning. For this reason, you should anticipate 2017 to see an increase in the number of property renovations taking place, as well as councils changing the required policies to make this possible.

Off-the-plan property purchases being sold for a profit

Those who shrewdly invested in off-the-plan developments might now be looking to sell since the properties have been constructed. This could be especially prominent in Sydney’s eastern suburbs and CBD, as those who’ve put deposits down see that their properties have already increased in value by up to 30%. This makes now a great time to sell those properties for an attractive profit.

An increase in renting through choice

Common thinking is that people rent properties because they can’t afford to buy them, but 2017 could well beckon more renting by choice, even if these people already own properties.

Flexibility and freedom are both incredibly valuable to people and many don’t actually need to own a property where they live. Although people may own a home, they could in fact choose to rent somewhere closer to the city in order to afford themselves a better lifestyle, or to make commuting easier.

Your 2017 Real Estate Marketing New Year’s Resolutions

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