Sunday, April 10, 2011

Buyers Market

Even the most positive commentators say it is a buyers' market for residential property. And it seems that the Queensland property market is in worse shape than NSW and Victoria. And in Queensland, Port Douglas, Cairns, the Gold Coast and the Sunshine Coasts are in dire straights. I agree with the commentators. Some evidence:
  • The Courier Mail makes money from property advertisements and thus tries to have positive stories about the property market and its advertisers (i.e., real estate agents). This Saturday's Courier Mail had no stories about residential real estate at all.
  • Real estate agents are returning my calls when I say that I am looking to buy. I even have agents offering to be a buyers agent for me.
  • In relation to sales in apartment buildings that I follow, for sales this month, the prices are flat or going backwards (10% to 20% declines in sales prices for comparable apartment property sales, compared with sales prices from six months ago). There are some exceptions to this.
It looks like the Brisbane apartment market is going to go backwards before it goes forward.

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