Sydney Market Is On Track To Post A New Record High In 6 Months

According to Core Logic Sydney had its 2nd busiest auction week of the year returning a preliminary clearance rate of 80%

This week there were 931 homes taken to auction across Sydney this week making it the 2nd busiest auction week of the year for the city. Preliminary results show a clearance rate of 81 per cent, which will likely revise to around the mid-70s over the week. The previous week saw a final clearance rate of 74.6 per cent across 843 auctions. One year ago, 844 auctions were held across Sydney returning a final clearance rate of 42.1 per cent.

According to Tim Lawless from Core Logic who wrote the piece How Long Until Housing Values Reach A New Record High? "If housing values continue to rise at the same rate recorded over the past three months, national dwelling values could reach a new record high in six months time.  Based on CoreLogic’s Home Value Index, national dwelling values remained 5.7% below their peak at the end of October.  With values rising by 2.9% over the past three months (averaging a rise of just under 1% per month), it would take approximately 6 months for housing values to return to their historic high."

"Sydney’s housing market is on track to post a recovery within six months, or around April next year if the current pace of growth continues.  Housing values are trending higher rapidly, up 5.0% over the past three months, however the correction was more substantial across Sydney, with housing values falling by 14.9% from peak to trough.  Sydney dwelling values remained 10.4% below their 2017 peak at the end of last month."

We've certainly felt the change as levels of inquiry has increased this month. But with first home buyers waiting until the Federal Government's 5% guarantee to be launched in January 2020, there is still value to be had.