A picture is often much better than words and below are two pictures that many have asked me to update.
Matusik property clocks
When choosing the relevant time, five factors come into play. These include:
- Existing housing market: the interplay between, and direction of, sales volumes and stock listed for sale.
- New housing market: underlying need to build more dwellings compared to the likely number of new dwelling completions over the next 2 to 3 years.
- Rental market: change in annual weekly rents versus vacancy rate trend lines.
- Coal face: are properties (that are correctly priced and well marketed) regularly selling faster than they would a year or so ago?
- Affordable: is the median value or rent affordable by at least half of the local market?
Until next time,