There are many cases to be made statistically that the Australian’s Real Estate market has seen the mid-term bottoming of this corrective cycle. Posting the 2nd monthly increase in price in a row, increasing prices at a time when the interest rates are so high is anything but commonplace. So what is happening exactly?
Whilst it is almost impossible to attribute price direction to any single factor, it is evident that the primary factors driving prices higher is the demand. Where is this demand coming from? Overseas migration. As the world is now much more free-flowing than in the past 2 years, the overseas migration rates are returning to norm. The demand for real-estate from overseas migrants is further exacerbated by the sharp rise and lack of supply in the rental market.
The current market remains tricky for construction and renovations industry, with supply chains as well as liquidity issues continuing to plague the once buoyant and vibrant sector. As the market recovery is underway, construction and renovation activities will start to pick up. Take precautionary measures to safe-guard yourself from potentially problematic outcomes by considering the following:
- Break up any renovation works into bite-sized pieces and ensure each milestone is hit before moving onto the next one
- Negotiate terms with contractors and prevent situations of jobs that are 100% paid off prior to completion
- Don’t rush into contracts and ensure as many safe-guards are in place as possible to mitigate your risk as a consumer
Reach out to Simply Frameless and inquire about your bite-size pieces of bathroom or kitchen renovations today.