Economists Perform Rethink as Prices Rise
Monday, 6 July 2009
At the beginning of the year it was hard to open a newspaper without reading alarming forecasts of tumbling house prices in 2009. Thankfully the economists who made the dire predictions have been proven way off the mark, with recently released figures from RP Data showing that the median house price in Sydney rose a remarkable 5.2% in the first five months of the year.
The news is particularly positive for those looking to climb the property ladder, with market movements bringing low end and high end properties far closer together. Entry level properties have surged in value thanks to the increased activity generated by the first home buyers grant. The top 10% of properties have however become significantly cheaper, with buyers able to pick up quality properties for around 12% less than a year ago.
While the economists revise their models, many Sydneysiders are now looking to upgrade. A buzzing property market can be expected over coming months.
