Ex Brissie local and property oracle Michael Matusik has tipped 2022 as the “start of a long rest on a high plateau”. This follows the year that’s been which he describes as “an unexcepted and somewhat exhausting ramble up a very steep incline”.
So what will drive this welcome relief?
There are a couple of key factors.
More expats and foreign buyers are expected to return, and the lift of lockdowns will also have an effect.
“Established home buyers have been facing a lack of stock, but once lockdowns are done and dusted, stock levels are likely to lift. High prices are now also restricting buying activity and looking forward employment security plus rising interest rates/harder access to credit are starting to emerge as concerns,” he writes.
Things might quieten on the newbuild front too.
“The new housing market is suffering from a lack of economically priced development sites plus a lack of labour and certain construction materials. In general construction costs are currently rising above the market’s willingness (ability?) to pay and tighter credit is already starting to bite into the first home buyer market,” he writes.
So whatever is in store, it seems likely we won’t see a repeat of the year that’s been.