No signs of slowing - Sydney records $760 million auction weekend
Another weekend in Sydney means one thing - another set of property records have fallen, with the harbour city registering an all time high of over $760 million worth of property sold in weekend auctions.
The median Saturday auction price of $1,320,000 million was up nearly 10% on the $1,210,000 recorded during the same weekend in 2016, with a clearance rate over 80% for the fifth consecutive weekend.
Dr Andrew Wilson, in an article in Domain , described Sydney’s auction market as having “gone nuclear” over the weekend, suggesting that low mortgage rates were a key catalyst for the market conditions in Sydney.
The record weekend results come just days after the release of the National Australia Bank's (NAB) latest quarterly Residential Property Survey , which revealed housing market sentiment to have hit a three year-high in the first quarter of 2017 despite recent crackdowns on investor lending.
NAB’s report forecasted continuing levels of national price growth throughout 2017 for both houses (7.2%) and units (6.8%), with a cooling down expected as the year goes on.
The Sydney market is also expected to continue its meteoric rise, with NAB predicting price growth of 10.5% throughout the rest of 2017, though the report suggested that 2018 would see a slighter lower growth rate of 4.9%.
“The latest results paint a picture of a very resilient market and came despite ongoing concerns about housing affordability, supply, the labour market, persistent warnings of a correction and speculation of more official measures to rein in lending to housing,” said NAB Group Chief Economist Alan Oster.
Market sentiment proved highest in New South Wales (+58) and Victoria (+58), while the national level of sentiment also rose since late 2016 (+31).
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