Further rate cuts would help property market in Monash in Melbourne’s eastern suburbs: Jellis Craig
The RBA’s decision to cut interest rates in November and December last year had an immediate effect on the property market in Melbourne’s struggling eastern suburbs, says Jellis Craig.
Jellis Craig Mount Waverley directors Paul Polychroniadis and Con Lazogas have written in Jellis Craig’s Annual Property Review that another interest rate drop would help the suburbs in the Melbourne municipality of Monash further.
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Source: Jellis Craig Annual Property Review
“The two consecutive interest rates drops in November and December 2011 had an immediate and positive impact on the local market, with the level of enquiry increasing measurably,” write Polychronidadis and Lazogas.
“We anticipate that any additional rate reductions will further stimulate the market. We have already witnessed larger numbers of viewers at our open for inspections.”
They say that families looking to upgrade are buoying the market in these areas thus far in 2012.
Source: Jellis Craig Annual Property Review
“Whilst buyer enquiry has lifted across the board, it is most evident for houses in the $650,000 to $1.2 million range and townhouses in the range $500,000 to $800,000,” they say.
“Increased competition in the mortgage market will offer up attractive opportunities for buyers to finance in this range.”
This is in contrast to the end of last year, when buyer numbers were down and prices falling.
“We did see the number of bidders for each property down from the four or five parties from the previous year. This lack of competition kept prices subdued.”