Brighter And some

What’s all this talk about a property market crash?

by Kate Watt, Marketing Manager 8 January 2019

It’s hard to ignore the headlines about Australia being in the grip of a property market downturn some are claiming is the “worst since the Global Financial Crisis” and the “deepest downturn in modern history”.

But is this really the case?

If you bought into Sydney or Melbourne in 2018 then you may have reason to be concerned in the near term. These markets both enjoyed a long period of turbo-charged price growth and they are now coming off the boil.

Sydney finished 2018 down 8.9 per cent according to CoreLogic data reported by the ABC, and Melbourne property prices dropped 7 per cent. This weighed down the national market, which recorded a 4.8 per cent drop in the 12 months to December.

So technically, yes, this would appear to be comparable to the 5 per cent price drop we saw after the GFC.

But, there’s more to the story than the headlines. Australia is made up of many markets, and while our two biggest capital cities experienced price drops in 2018, four capital cities, including Brisbane, experienced price growth:

  • Hobart up 8.7 per cent
  • Canberra up 3.3 per cent
  • Adelaide up 1.3 per cent
  • Brisbane up 0.2 per cent

And some are even tipping these growth markets to hit double digit gains in 2019, reports Yahoo.

So if you’re planning to buy or sell in 2019 don’t be put off by sensationalist headlines.

Research your local property market and talk to local agents to find out what’s going on in your patch. Brissie is more likely to experience a dream run than a property nightmare in 2019.

Think 2019 is the year to make your move? View our current listings for sale or talk to us about selling.