Aussie John Symond says Sydney's affordability issues relate to its appreciation status

Aussie John Symond says Sydney's affordability issues relate to its appreciation status
Aussie John Symond says Sydney's affordability issues relate to its appreciation status

John Symond, founder and executive chairman of Aussie Home Loans, says the RBA has kept the powder in the keg.

"They're holding fire and let's hope they don't have to drop further because we want signals to the economy going going forward, not backwards," he told 2GB Money News broadcaster Ross Greenwood.

"Remember, it's all very good to have low rates, but it's symptomatic of a sick economy so, we want rates to be steady, hold rates where they are, hopefully the economy improves and maybe in a year or 18 months we might see a slight tick up, but that's a long way away," he said.

On prices coming off the boil he said he was "thrilled."

"I've been hoping and praying for the past 12 months that prices will ease and they've started to ease and the market's settling down, it's now heading into a more healthy market.

"That's what we want.

"We don't want prices going skyrocket month after month, year after year because that inevitably causes problems. 

"I honestly believe we're heading into a more healthy market, which is good for everybody, quite steady as she goes.

"The market's now settling down... it's becoming a fair buyer's market, and a reasonable seller's market and that's the market we want."

On rates he anticipated interest rates to stay right where they are right through the year.

He noted that with Sydney, the financial centre of Australia, "it has a history of housing prices outstripping anywhere else in the country, including Melbourne."

Especially now given the Chinese who "are pushing the prices very strongly."

"There's no doubt about that but guess, it's affordability versus appreciation.

"In terms of history, appreciation of house prices Sydney, over time, always outstrips the other areas."

 

 

Tags: 
Property market

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