How will this affect the Real Estate market?
Every time an election is called, we see the same knee-jerk reaction in the market.
It's that buyers and sellers freeze in their decision making.
There's a thought among property stakeholders that a change of government will have a direct, immediate and substantive impact on the price of housing. As such, most wait to see what the election result will be before they proceed with any real estate plans.
In aiming to predict the future, it's worthwhile looking at the past.
In 2007 the Federal Election was in November clashing with the traditional spring selling season. The economy was booming in 2007 so sales were unaffected. The RBA actually put rates up during the election campaign in an attempt to cool the heated property market at that time.
The RBA also increased interest rates during the 2022 Federal Election campaign - which was the first hike in 12 years. Inflation was skyrocketing and needed to be contained. This rate hike had a greater impact on the property market at the time than the election did. The first rate hike in over a decade was a shock to many, where as the change of Government occurred without any noticeable impact.
There is a sense the RBA will cut interest rates after the 2025 election, meaning buyers may be less concerned about the election result and more focused on the role lower rates will play in the property market and the economy. The reality is central bankers often wield more power and influence over the economy than the elected leaders.
Now that the race has been run and won and economists predicting a rate cut, buyers will be out and about seeking their next property purchase. With vendors being hesitant to list their property prior to the election, we expect new listings to become available.
We have a large database of registered buyers and are receiving new enquiries each day from prospective purchasers. If you are considering selling your residential home or acreage, please give us a call as we are confident we will find a buyer for your property
As dedicated property specialists across the region, we use a tailored marketing strategy that will benefit your property no matter the time of year.
We offer no obligation, no cost property appraisals for Residential Homes, Lifestyle Acreages and Larger Rural Properties across the Port Macquarie Hastings region.
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