After a sluggish 2011 for real estate sales, Alexandra Hills saw the number of residential sales fall from 407 in 2009 to nearly half that amount of 237 sales in 2011. No wonder there has been so many sales people leaving this industry in recent times! You can be assured that those of us who have weathered the tough times are in it for the long haul and that we remain optimistic for the coming year.
We have had a very strong January with more sales on our board than ever before and we are witnessing over double the number of buyers attending our open homes this year. Our first auction on the 14th January saw a large crowd and 3 registered bidders all competing strongly for the property in Thornlands. We exceeded the reserve set for the sellers proving that there is renewed confidence in our market. That property sold for $559,000 and generally the buyers were 2nd or 3rd time home buyers looking to upgrade. All three were renting and ready to take the plunge.
Alongside this Thornlands property, being one of the 10 sales on our board awaiting settlement, the majority have been purchased by 1st home buyers and investors. There’s strong demand for houses under $400,000 which represents 90% of our sales this year. A number of these sales were properties which were withdrawn from market in 2011 and relaunched at the same price in January. It will be interesting to see if this shift of property under $400,000 price range flows on for more sales in the higher value end of the market.
So this poses the question, is it time to sell now? Maybe this surge of buying is a good sign that the market has now bottomed out and perhaps we are on the upswing. The Reserve Bank says that its too soon to gauge the effects of the recent interest rate drops and so they decided to keep them on hold, until those results are assessed. Time will tell, unfortunately we can only look at statistics retrospectively, but if the higher numbers of buyers at open homes are any indication, we should see this activity continue for at least another 60 days.
Happy buying and selling!
Cathy Pieroz Ray White Alexandra Hills