Aussie property markets in autumn: expert predictions

Kelly Emmerton   |   01 Mar 2018

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The 1st of March is also the first day of autumn, which brings with it dropping leaves, chilier weather, and the autumn property season.

If you’re looking at stepping into the property market over the next few months, being prepared is key. That means being auction ready, knowing the market and crunching the numbers on your potential home loan so you can find the best deal and plan a budget. 

To help you in your home buying preparations, check out some killer home loan options in the table below, then read on for Mozo property expert Steve Jovcevski’s predictions for property markets in Australia’s capital cities this autumn.

Home loan comparisons on Mozo - rates updated daily

  • Essentials Variable 80

    Owner Occupier, Principal & Interest

    3.64% p.a. variable

    3.66% p.a.

    A low-rate home loan that could save you thousands. No monthly or ongoing fees. Unlimited additional repayments. Unlimited free redraws with no minimum redraw amount

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    • $520

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • no

    • 80.00%

    • $50,000

    • $2,000,000

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    • Principal & Interest

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  • Select Basic Variable

    LVR<80%, Owner Occupier, Principal & Interest

    3.69% p.a. variable

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    • 3.70% p.a.

    • $330

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    • $535.00

    • yes - free

    • yes - free

    • no

    • 80.00%

    • $100,000

    • $5,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Fortnightly, Monthly

    Details Close

  • Base Variable Rate Home Loan

    Owner Occupier, Principal & Interest

    3.69% p.a. variable

    3.73% p.a.

    $1,250 BONUS WITH AN ELIGIBLE NAB HOME LOAN BANKING BUNDLE*. Low ongoing rate. Free extra repayments and redraw facility. Only 5% deposit and no annual or monthly fees.

    • 3.69% p.a. variable

    • 3.73% p.a.

    • $600

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    • yes - free

    • yes

    • no

    • 95.00%

    • $20,000

    • -

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

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  • UHomeLoan - Discount Offer

    Owner Occupier, Principal & Interest

    3.59% p.a. variable

    3.59% p.a.

    A low rate Home Loan with no bank fees on variable rate loans. Easy & fast to apply. Choose between flexible repayments and make extra repayments for free on a variable rate home loan.

    • 3.59% p.a. variable

    • 3.59% p.a.

    • $0

    • $0.00

    • $0.00

    • yes - free

    • yes

    • no

    • 80.00%

    • $200,000

    • $699,999

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Details Close

  • Low Rate Home Loan with Offset

    LVR<80%, Owner Occupier, Principal & Interest

    3.68% p.a. variable

    3.71% p.a.

    A Low Rate Home Loan with a $0 Application Fee, Free Redraws & Extra Repayments

    • 3.68% p.a. variable

    • 3.71% p.a.

    • $286

    • $0.00

    • $300.00

    • yes - free

    • yes - free

    • yes

    • 80.00%

    • $100,000

    • $2,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Details Close

*WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

Expert property predictions

Sydney

The Sydney market has begun to slow recently, but Jovcevski says it remains relatively strong.

“I’d expect clearance rates to stay pretty steady around the 65%-70% mark this autumn. The market has slowed down, and now that sellers are beginning to adjust their expectations and auction reserves, we’ll likely see more sales go through,” he said.

Melbourne

The Melbourne market, which is still driven mainly by first home buyers, is still growing, especially when viewed in comparison with Sydney. Jovcevski is counting on the market in Melbourne to remain stable.

“Clearance rates will probably stick around 70% - I’m not expecting a drop in Melbourne the way there might be in other markets,” he said.

Canberra

Jovcevski has Canberra pinned as a top performer this autumn, with clearance rates going as high as 65%-70%.

“The market is a bit quiet at the moment, but Canberra is a great spot for investors because it has low vacancy rates and high rental yields, so there’s always going to be demand there,” he said.

Hobart

You can’t judge Hobart by its low clearance rates, because according to Jovcevski, it isn’t an auction dependant market. Instead, a better marker might be the super low vacancy rates in the city at the moment.

“Low vacancy rates and interest from interstate investors means the Hobart market could even grow another 10% this year,” Jovcevski predicted.

Brisbane

Like Hobart, Brisbane isn’t an auction focused market, so the low clearance rates aren’t cause for concern. Jovcevski said an improving jobs market after the end of the mining boom and the relatively low prices available in the city might tempt first home buyers to the market.

“Brisbane houses in particular I’d expect to rebound and improve. Units in Brisbane never seem to do as well comparatively,” he said.

Adelaide

“Consistency is the name of the game in Adelaide. The market generally see 3-4% yearly growth and that trend is likely to continue,” said Jovcevski.

This slow and steady growth makes Adelaide a reliable pick for investors, but it may also be another area of interest for first home buyers this autumn, thanks to still affordable prices.

Perth

The Perth market has been in freefall for a while now, but according to Jovcevski, what goes down in the property market must come back up, and the city is in for an upward swing - just not quite yet.

“Perth is getting close to the bottom of the market now, but until it hits that point, there’s going to be a lot of ups and downs. This autumn might be too soon to buy in Perth. It’s not a market for the faint of heart at the moment,” Jovcevski said.

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