As the economic recovery gathers momentum there is growing belief amongst real estate agents that market activity will increase.
Last weekend, Sydney and Melbourne both recorded clearance rates above 70 per cent.
House prices have grown strongly over the June quarter, with the median house price in Sydney rising 3.7 per cent.
According to Australian property Monitors’ Official June 2009 Quarter Housing Data, Sydney unit prices also rose 2.6 per cent in the June quarter, up 3.4 per cent in the last 12 months.
Similarly, Melbourne recorded a 5.8 per cent increase in median house prices in the June quarter in a sign that confidence was returning to the sector.
A recent straw poll by Real Estate Business found that 73 per cent of respondents believed market activity would pick up over the next quarter.
Of the 250 respondents, only 25 per cent said market activity would not pick up, while 2 per cent were unsure.
Robert Martin Realty property manager Chris Dassler told Real Estate Business that the property market remained delicately poised for recovery.
“The property market is looking very strong at the moment. The Reserve Bank of Australia has said that a rise in interest rates is very likely which suggests that they are confident the market is picking up,” Mr Dassler said.
Raine and Horne real estate agent, Rob Blazic, said that activity in the investor market had seen a marked increase.
“Investors are starting to filter into the market, however there has been a lot of activity in every market segment,” Mr Blazic said.
“While first home buyers have started to drop off, we won’t see them disappear altogether.”
“At the moment, market activity is strong across the board – I am personally doing three or four sales a month, which is very strong for this time of year.”
Mr Blazic said he expected market activity to pick up even further in the coming months.
“November and December are always traditionally good months, so I am excited to see what the coming months will bring.”