A leading real estate agency has rejected forecasts the Darwin city property market is heading for a crash, saying the only way is up in 2015.
Raine & Horne Darwin general manager Glenn Grantham highlighted recent figures from CoreLogic RP Data that said Darwin real estate values fell by just 1.7 per cent in the three months to 31 October 2014.
He said it is a sign the market is very close to the bottom of the current cycle.
“The statisticians have caught up with the current reality in Darwin. We’ve had hundreds of off-the-plan apartments settle in recent times and the additional supply in a small market such as Darwin has affected prices,” said Mr Grantham.
Mr Grantham said the large number of off-the-plan settlements has also taken many buyers and investors out of the market for the time being.
“But when low buyer numbers coincide with a small slide in prices, historically it means the bottom of the market is not far off,” he said.
Mr Grantham added he is tipping the Darwin property market will be back in full swing by the middle of 2015.
“We have an election in late 2015 and already the NT government is starting to make announcements that will drive stronger business activity and consumer confidence.”