Worried about the property market? Here’s why big city doom and gloom doesn’t apply here
Don’t believe everything you hear in the national media, say Raine and Horne Murraylands’ Michael Cox and Casey DeMichele.
This sponsored story is brought to you by Raine and Horne Murraylands.
If you’ve watched any national TV news or read the metro newspapers in recent weeks, you would have heard plenty of negativity about Australia’s real estate market.
Headlines have screamed about falling prices, low clearance rates at auctions and negative fallout from the recent federal budget.
But if you’re thinking of buying or selling in the Murraylands, don’t believe the doom and gloom, say Michael Cox and Casey DeMichele from Raine and Horne.
The story is a very different one in our neck of the woods.
“Yes, the (local) market is not what it was, but it’s also not what is being portrayed in the wider media,” Casey says.
What does industry data tell us?
Industry analysts Proptrack record sale prices across Australia’s state capitals and regions every month.
In June, their headline was about three months of falling prices across the nation, with capital cities down by an average of 1.3 per cent.
“Home prices softened across every capital city in June, bar Darwin, as higher interest rates and cost of living pressures continue to weigh on purchasing power,” economist Anne Flaherty said.
But what about regional South Australia?
We were up 12.7% over the past 12 months, and more than 94% since COVID – and as we know, the Murraylands has experienced an even greater rate of growth.
“The strongest performing parts of the market continue to be those offering the greatest affordability,” Ms Flaherty said.
“Regional markets outperformed capitals over both the month and the year.
“Looking ahead, affordability is likely to remain a key driver of market performance, with the share of buyers looking to purchase in more affordable areas, such as regional markets, expected to increase.”
Check out Cotality’s latest report and the headline is the same: the “downturn deepens” after the “largest month-on-month fall since December 2022”.
“Higher cost-of-living pressures, deeply pessimistic sentiment and a further dampening of demand via property taxation changes announced in the federal budget are all contributing to weaker housing conditions,” said researcher Tim Lawless.
But in the regions, more positivity: regional SA had been the nation’s third-fastest-growing market over the past five years, behind only Perth and regional WA.
Rental yields also remained higher in the regions than the capital cities.
Look beyond the headlines and you’ll get the whole story.
Values are still rising, just not at breakneck pace
The Murraylands’ property market is evolving too, Casey says.
Rather than decline, though, what we’re seeing locally is something closer to a conventional growth rate after a period of record-breaking rises.
“It’s not as terrifying as the (national) media makes it seem,” Casey says.
“Time on market is starting to lengthen, buyers have a little bit more choice in the marketplace at the moment, and they have a bit more time.
“But properties are still selling.”
Vendors are still making comfortable profits, too, Michael points out: “100% growth in the past four years is still pretty good, isn’t it?”
As the market changes, experienced hands are a must
Whether you’re a vendor or a buyer in this shifting market, Michael says, you’ll do well to rely on real estate agents who have seen it all before.
An experienced agent will help vendors feel calm about their upcoming sale, instead of making a rash decision like dropping their asking price.
An experienced agent will suggest a range of strategies to help move the process along if their property isn’t snapped up within days.
An experienced agent will clear up any confusion first home buyers might be feeling about what they’re getting themselves into.
That’s why it pays to choose an experienced team like the one at Raine and Horne Murraylands.
“The reality is, for the bulk of our clients, the changes that have occurred aren’t relevant to them in any way,” Michael says.
“The market in our region is actually holding – there’s nothing terrible going on here.
“For mum-and-dad buyers or first home buyers: interest rates held last month, none of these (government) changes are going to impact you … it’s not the end of the world by any stretch.”
- More information: Visit www.raineandhorne.com.au/murraylands, call 8532 3833 or drop into Raine and Horne Murraylands’ office at 4 Seventh Street, Murray Bridge.
Advertising to more than 20,000 highly engaged locals can do wonders for your business. Call Jane Intini on 0418 835 768 or email jane@murraybridge.news.
Peri Strathearn
