In a worrying sign for prospective property buyers the Sydney market has started very strongly in 2015. This time last year the Sydney auction market started very strongly and with some sense of déjà vu 2015 has begun in an eerily similar fashion. In what must be an added worry for hopeful buyers, the RBA has also lowered the official cash once more. Even more so property buyers are spoilt for choice when it comes to securing low interest rates. Investors are anticipated to be heavily active in the market place, especially as vacancy rates and letting times decrease (indicating a tightening rental market may be forthcoming). Overall yields and rental growth still remain subdued; giving some hope to first home buyers in the lower price brackets.

Last weekend the auction clearance rate was a very strong 82% and it will be interesting to see how the next few weeks perform. If the strong results continue we expect more vendors will be encouraged to list their properties for sale and the first half of the year should see worthwhile growth once again across the Sydney market.

 

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