Market Correction or Downturn?
We've seen it coming and we've all heard that the market has plateaued. It started with APRA tightening the clamps on the amount of exposure on banks followed by changes to foreign investors not being able to borrow from Aussie banks. These couple of changes immediately slowed the booming property market and banks quickly responded with increases to investment loan interest rates.
Now for the first time in 17 months property prices have dropped. According to leading property data companies, September property prices have dropped by an average of 2% across sydney. Is this just a correction or is this the beginning of a downturn?
Unfortunately we don't have a crystal ball but with this slow down, experts are tipping banks will look at other ways to maintain profits and one likely way is further increasing interest rates.
The question is, are you ready for it...?
Is now the time to fix your loan or is it time to offload an investment property or is It time to review your your rent?
To further discuss how we can be of help feel free to contact me for a confidential chat.
Raine & Horne Liverpool