Property Investment & Wealth Creation Australia | The Michael Yardney Podcast [Bonus]: The Sydney Property Boom is over!
The Sydney property boom is over.
But what should an investor do? And what's ahead for the Sydney property market?
Is it too late to get in? Should you sell?
Do you regret recently buying a property in Sydney or is it time to take advantage while others sit on the side lines?
This is exactly what we are discussing in this bonus episode of the Michael Yardney podcast.
Today, I'm joined by Ahmad Imam the senior property strategist at Metropole in Sydney, and we discuss what's happening in the Sydney property market and what you should do about it.
Today's discussion includes:
- Sydney has had peak growth in the last four or five years.
- How the mixed messages in the media are what is scaring people.
- It's common to get mixed messages as the market changes to a new phase of the cycle.
- When people are fearful they tend to hold back and procrastinate.
- The market is slowing, but growth has slowed from double digits to low levels of growth.
- How the restrictions by APRA on the financial industry have affected banks and as a result, there are tighter lending conditions and fewer interest only loans.
- Established home owners are putting money into renovations rather than upgrading their homes.
- There is no property crash in sight.
- For a crash to happen, there would need to be high unemployment or high interest rates so people would have to sell, but there would be no buyers.
- What is likely to happen is a more regulated slow down.
- Demographics in the middle and inner ring suburbs will still drive certain segments of the property market.
- This is not the time to change your property your strategy, but it's time to have realistic expectations.
- The importance of getting a good team and advisors around you.
Links and resources:
Some favourite quotes:
"Having to come up with a bigger deposit is making it harder to buy in Sydney." Michael Yardney
"Home buyers who were upgrading because the market was doing well have started to feel a little uncertain and are choosing to renovate rather than move." Michael Yardney
"For a crash to happen there would need to be high unemployment or high interest rates so people would have to sell, but there would be no buyers." Michael Yardney
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