Demand for Sydney property rises in the middle of winter

Roisin Kelly-Goldsmith

25 Jul 2017

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Despite growth in the Sydney property market lagging behind Melbourne’s in the June quarter, rising auction clearance rates have shown that demand for housing in the harbourside city remains high.

For four consecutive weeks the percentage of successful Sydney auctions has continued to climb, with figures from last weekend reaching a high point of 73.1% and accounting for $269.2 million worth in sales, Domain reported.

According to CoreLogic’s Quarterly Auction Market Review, Mosman held the most number of auctions in Sydney in the June quarter, while Double Bay was the top performer when it came to auction clearance rates at a perfect score of 100%.

“Auction popularity shows no signs of waning,” said CoreLogic research analyst, Cameron Kusher.

Anticipating these results, Mozo’s Property Expert Steve Jovcevski advised first home buyers months ago to snap up Sydney property as soon as the July 1 stamp duty concessions and exemptions kicked in while investors were spooked in the wake of APRA’s clamp down on investor lending.

“As you can see the tide has turned now, with demand ramping up in the Sydney property market largely due to two types of buyers - first homeowners and property investors with a restored sense of confidence,” he explained.

“Something else to remember, is that at this time of year property investors are doing their tax returns which means they can benefit financially from the perks of negative gearing too.”

For those looking to take their first step on the property ladder, Jovcevski reminds house hunters that the spring selling season will soon hit the calendar.

“I urge first home buyers to take heart that house prices in Sydney aren’t skyrocketing like they were in 2016. Winter is always a time of limited listings and with spring just around the corner there will be more properties to choose from,” he said.

In more good news for borrowers, mortgage rates for those paying off both the principal and interest are at competitively low levels, with many providers offering loans well below the 4% mark. Whether you’re in the market for a fixed or variable rate home loan, shop around for the best mortgage for you at Mozo’s comparison hub.

Compare home loan rates: - rates updated daily

  • Promoted

    loans.com.au

    2.79% p.a. variable

    2.81% p.a.

    $1234

    Product details Close details
    Essentials Variable 90

    This low-rate home loan that could save you thousands! With no monthly or ongoing fees and the ability to make unlimited additional repayments. This home loan from popular online lender loans.com.au also features unlimited free redraws with no minimum redraw amount.

    • 2.79% p.a. variable

    • 2.81% p.a.

    • $520

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • no

    • $520

    • 90.00%

    • $50,000

    • $2,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

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    Suncorp

    2.78% p.a. variable

    2.79% p.a.

    $1234

    Product details Close details
    Back to Basics Special

    No monthly account keeping fee, no ongoing annual fee and no loan establishment fee on new lending of $150,000 or more. Get a $2,000 cash bonus when you refinance with an eligible Suncorp Bank Home Loan of $250k+. T&Cs & eligibility criteria apply. Minimum 10% deposit.

    • 2.78% p.a. variable

    • 2.79% p.a.

    • $0

    • $0.00

    • $350.00

    • Yes - free

    • first redraw per month free

    • no

    • $0

    • 90.00%

    • $150,000

    • -

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • Refinance from another lender to receive a $2,000 cash bonus for loans of at least $250,000 or $3,000 bonus for loans over $750,000. Available for loans with an LVR <90% and applications made by 18 December 2020 and settled by 26 March 2021.

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  • Promoted

    IMB Bank

    2.39% p.a.
    fixed 3 years

    3.08% p.a.

    $1234

    Product details Close details
    Fixed Home Loan

    The IMB Fixed Rate Home Loan gives you peace of mind with the security of fixed loan repayments. You can also pay up to 12 months repayments in advance without penalty.

    • 2.39% p.a.
      fixed 3 years

    • 3.08% p.a.

    • $799

    • $6.00 monthly

    • $350.00

    • yes - free up to 1 year in advance

    • yes - free

    • no

    • $799

    • 90.00%

    • $10,000

    • $5,000,000

    • Fixed

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Read our Mozo Review to learn more about the Fixed Home Loan

  • Promoted

    Yard

    2.65% p.a. variable

    2.68% p.a.

    $1234

    Product details Close details
    Variable Home Loan

    Yard’s low-rate variable home loan is packed with all features – unlimited additional repayments, free redraw, 100% offset account. Enjoy a simple online application. Only a 10% deposit needed.

    • 2.65% p.a. variable

    • 2.68% p.a.

    • $835

    • $0.00

    • $500.00

    • yes - free

    • yes - free

    • Optional - $10 per month

    • $835

    • 90.00%

    • $150,000

    • $5,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Read our Mozo Review to learn more about the Variable Home Loan

*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 the amount and term you entered.

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