The Brimbank property market is showing strong signs of recovery, according to two leading real estate agents.
Last week the RBA slashed interest rates to a record low 0.75 per cent. Barry Plant Taylors Lakes director James Hatzimoisis said now was the perfect time to get back in the game.
“The market has kicked again since the election in May, there’s renewed confidence from buyers and the banks are lending again,” he said.
“What we have seen is a bit of a perfect storm. There’s a chronic shortage in listings, but there’s plenty of buyers, so we’re actually getting some really competitive results.
“There’s still this perception that it isn’t a market to sell in, but there’s plenty of buyers, so there’s plenty of demand, but not so much supply. Last weekend we had nine auctions and all nine sold over reserve.”
He said the slowdown in the market was caused by the banks and the government, meaning recovery isn’t a slow burn.
“Nothing changed in the economy during this time, but it became harder to borrow, we had the royal commission and there was a loss of confidence.”
Ray White St Albans director Shaun Marijanovic said an over-correction had caused the problems, but things had begun to stabilise.
“The brakes were put on too hard, the banks tightened the lending strings and it became incredibly difficult to borrow,” Mr Marijanovic said. “The market is starting to steady, there’s a lot more people looking and turnover is improving, but a lot is going to be dependent on interest rates and the economy.”
Mr Marijanovic said that while things were still a little “patchy”, prices had begun to rise and it was the perfect time to buy.
“I always say that the best time to buy is when prices stop dropping because you’re obviously not going to lose.”