Election outcome is restoring confidence
REAL estate agents agree on one thing – the federal election result, rather than a 0.25 per cent cut in interest rates, was likely to have the greatest positive impact on the property market.
Harcourts Caloundra principal Luke Carter has been inspired by not just the election result to shift cash back out of the bank and into investment, this week signing a $985,000 contract on a Shelly Beach property.
He’s also been motivated by Westpac’s 0.35 per cent interest rate cut for interestonly loans to what was a predominantly investor market for that product.
Mr Carter was confident cash buyers flowing out of southern markets with big budgets and borrowers would ultimately put pressure on supply and return growth to the market.
“There’s been a definite change in sentiment (post the election),” he said.
Mr Carter said prior to the election people lacked confidence. He now points to a Golden Beach property, which has sold for $1.17 million, the highest price in the area for five to six years, a new $2 millionplus benchmark in Pelican Waters and another for just shy of $5 million at Moffat Beach.
In Mooloolaba Kevin Annetts of Kevin Annetts Real Estate was also certain the election result had brought confidence, which, coupled with the rate cut, could only generate market confidence.
Interest was emerging from all sectors including professionals, retirees and families.
Groups of 10 from all over Australia and the world were lining up to inspect rental properties at Harmony while buyers were predominantly out of Queensland’s south-east.
PROMISING SIGNS: Dan Sowden calls the bidding for Ray White at Mountain Creek. Agents say the federal election result has had a big impact on the market.