In Episode 3, Michelle Galletti gives us an overview of supply and demand in the Northern Beaches property market, focusing on two key suburbs: Freshwater and Fairlight.
Click to watch the video or read the transcript below.
– Hi, I’m Michelle from Cunninghams and together with John, Matt and Georgi, we’re bringing you a series of market updates to wrap up 2020.
I’ll be giving you a general overview about the supply and demand on the Northern beaches. And I’ll be focusing on two suburbs, Freshwater and Fairlight.
The decline in listings over the past 10 years leaves no doubt that our high demand and low supply marketplace is here to stay. And this year has been no exception.
As locals, we all know that the Northern beaches is the best place to live on earth. Given this, more people want in than want out. Our high stamp duty costs in New South Wales have been a potential deterrent for owners when considering their options. Instead of moving people are living on average in homes 13 to 17 years.
Owners have also been less concerned about overcapitalising when it comes to rebuilds or renos, as they can see that property values still remain high.
Buyer confidence also remains at an all time high. And this is due to low interest rates. The interest rates have never been lower at this point in time.
This is driven off the back of Covid-19. The opportunity to work from home has become the new normal and there’s much less of a need to be closer to the CBD.
Affordability and value for money.
We have also seen an increase in cashed up buyers from the North Shore in the West and Eastern suburbs. This in turn has put more pressure on available stock. These buyers are seeing better value for money here and in our opinion, a better lifestyle.
All of these points have allowed for some pretty impressive results.
For instance, in Freshwater, our median house price in 2020 has gone to 2.52 million. That’s an 8.2% growth this year. We’ve had 55 houses for sale this year as well compared to 75 last year (total suburb sales). And that’s a 27% decrease in volume.
And then we go to Fairlight.
The median house price in 2020 is 2.41 million. That’s a 10% growth this year. We’ve had 35 house sales this year compared to 55 last year and that’s a 37% decrease in volume (total suburb sales).
So what does this data show?
It shows that there’s been a 75% increase in demand compared to last year. And the average open home in 10 days in quarter four 2020 was 14, compared to eight in 2019 and that’s almost double.
We hope you found this information really helpful. If you have any questions, please don’t hesitate to reach out to one of our agents.
Please note: It’s business as usual for us until we close for the Holidays at 5:30pm on Wednesday 23rd of December. Our offices will then reopen in 2021 on Monday 4th January. If you have any questions, please don’t hesitate to get in touch 9949 7077.