As 2020 draws to a close and we reflect on the year that was there’s no denying that it’s been a challenge navigating the market in these unsettling times. The good news is, the momentum we’ve seen late this year has helped insulate the housing market from any negative impact from the coronavirus pandemic and property has been selling well. In fact, it’s been a record breaking year for PPD Real Estate with the team securing over 558 sales which tips last year’s total of 484.

Alexander Phillips shares his insight, “We saw the market peak in February and, following lockdown, there was a 10% drop in prices over the March to May period for both houses and apartments. Since then, the market has proved very resilient and over the past six months has both recovered and bounced back. Housing prices are up 15% from the start of the year though the apartment market is still down about 8%. Cheap money has also been driving the market and with more people coming back into Australia than leaving, there’s more competition out there than usual. We’re also finding that many people have been able to boost their savings with no overseas travel and reduced expenditure meaning they are more bullish about buying a home or upgrading to a new one.”

And what lies ahead for 2021? Alexander says, “We expect a very strong first quarter followed by a potential softening due to oversupply of stock. When we see really good data, there’s usually a flurry of activity as those who are not necessarily needing to sell move to capitalise on the market. March is usually the peak of activity so there could be a potential oversupply by the second quarter of 2021. If you’re looking to sell in the next 12 months, our advice would be to sell in January/February with a longer settlement and buy in March to marry up with settlement.”

Both realestate.com.au and Domain record the most active property searches are in January and, with overseas travel still on hold, this year will undoubtedly be a record one for activity in the New Year. With interest rates at record lows and government incentives fuelling the industry, it would be pertinent to take advantage of the buyer demand and prepare to list for sale at the start of the year.

PPD has the largest and most up-to-date database of buyers in the east; we’ve met more than 34,800 buyers this year and our auction clearance rate stands at a healthy 95.5%. Our energetic team work together to achieve the best possible result and has maintained its standing at the #1 Most Recommended Agency in NSW by ratemyagent for the past four years.

Take care, stay safe and keep connected.