The Sydney Property Market – June 2021
While we expect the market to remain strong, it is not likely to maintain the same growth momentum.
Key indicators for the housing market include interest rates, economic conditions and credit conditions. Currently all of these are working together to fuel the market growth, coupled with limited stock numbers and strong buyer demand.
Most analysts are not predicting any movement upwards in interest rates in the short and medium term, and economic outcomes are better than predicted. However there may be some pressure on APRA to tighten credit to slow the market.
Investors should continue to be focused on areas that have new transport and amenity infrastructure planned, including suburbs along the Sydney Metro and also the planned Northern Beaches tunnel link.
Some potential risk factors?
- APRA may step in to restrict bank lending
- Potential over supply of new unit developments in some areas of Sydney where amenities have not been planned properly.
- Covid-19 issues and international political and economic uncertainty