Numbers to ponder while you eat your chocolate
The Easter long weekend is one of the favourite short breaks for many Victorians. It’s a time of year when many of us get away for a change of scenery, while others use it as a chance to attend to various tasks we’ve “been meaning to get to” for several months.
From a property perspective, it’s an ideal time for people around Melbourne to stop and take a breath, to gain some clarity and to reassess our plans for the year ahead.
With this in mind, I thought I’d provide some ‘food for thought’ for all those homeowners in the north of Melbourne, along with those who are aiming to become a homeowner in the near future.
As I said in LAST WEEK'S POST, the news that the Melbourne property market has seen some growth in house prices in recent months is worth noting, particularly for those homeowners who may have assumed that values were falling based on some media reports last year.
What is more important, however, is looking at the long-term performance of the market. As I’ve said before, buying and selling property is not something that should be tackled for short term reasons.
So the latest long term data from Corelogic, (or as they will soon be known, Cotality), shows that Australian median housing values have risen by almost 40 per cent over the past five years, despite the impact of Covid and rising interest rates, just to name two of the challenges over this period.
Importantly, this figure, impressive as it may seem, is actually quite moderate when you look back at other five year growth data. For example, Melbourne’s median house price was only marginally below 100 per cent at one stage in the late 1980’s!
So what I’m saying is, whilst short term data is interesting, particularly if you are looking for signs of when to make your move, it’s the long term numbers that are really important…and they are saying that the sooner you get your foot in the door, the more likely you are to reap additional benefits in the future.
So I hope that gives you something to consider as you unwrap your next chocolate egg this weekend. Of course, if you’d like to have a more specific discussion about your property options with someone who really knows the local market, feel free to give us a buzz at Barry Plant Thomastown this coming week on 9466 3233.
Cheers,
Con Constantinou
Barry Plant Thomastown