We have received the latest report from Buyside for property markets around the country (see attached). For a quick 2 pager it has some great insight!
Overall we have seen more activity from clients looking to borrow money for owner occupied, investment, and also renovation purposes.
There have however been 3 challenges in the last quarter;
1. Credit tightening (lenders increasing scrutiny on expenses, income, and purpose of funds),
2. Locally (Sydney) there has been limited property for sale. This has been driving prices higher than expected at auctions.
3. Valuations performed for lenders have been coming in lower than expected. The valuations are based on settlement values not current exchanged contract sales amounts. Settlements are around 8-12 weeks after sales and with prices increasing again it is a timing game for settlements to ‘catch up’ with the time lag.
Full report is attached here Market-Essentials-Report-NOV-2019
As always please reach out if you have any questions