Latest news with #EmilyWallace
Yahoo
20-05-2025
- Business
- Yahoo
Shoe photo reveals major $141,000 warning for Aussies: 'Be ready'
Property prices are tipped to soar dramatically if the Reserve Bank (RBA) continues to cut interest rates. The cash rate was slashed to 3.85 per cent on Tuesday after starting the year at 4.35 per cent, and it could even dip into the 2 per cent region next year. This bring major mortgage relief to millions of homeowners, but it also means many more buyers could enter the market. Buyer's agent Emily Wallace told Yahoo Finance this will inevitably have an impact on prices. "There's certainly competition in the market and heat in the first-home buyer and family home buyer sectors," she said. Commonwealth Bank, NAB, Westpac and ANZ pass on RBA interest rate cut in full Common $358 a day expense the ATO lets you claim on tax without receipts Shock as Baby Boomers candidly reveal their savings balances: 'Millionaires everywhere' "Even just as recent as the past week, we're seeing some of the results come through, and it looks like we've taken a sharp turn upwards in interest." Wallace said one of the weird but key indicators of this interest is the number of people turning up to inspections. Real estate agents have told her they're seeing far more shoes being left at the entrance of homes as people suss out the property is right for jury is out on how much further interest rates could fall. Some experts and financial institutions believe there could be two more 25 basis point reductions to come in this current cycle, however, others think it could fall as low as 2.60 per cent. Domain data has revealed that if the official cash rate fell by 1.5 per cent by early 2026, the median house price for the combined capitals could jump by 12 per cent to $1.32 million. That translates to around $141,000 extra as a result of the falling cash rate. How much would that mean for your city? The media house prices are expected to reach Sydney: $1.9 million Melbourne: $1.16 million Brisbane: $1.14 million Adelaide: $1.12 million Canberra: $1.17 million Perth: $1.02 million Hobart: $795,286 Darwin: $738,272 Wallace told Yahoo Finance that people are already trying to jump into the market to avoid paying tens of thousands of dollars more in a few months. "People who have financial literacy understand it and they're acting," she said. "By the time that reaches mass media, that might be two or three months down the track, but actually the best time is probably right now." Ray White chief economist Nerida Conisbee warned the price growth will be "particularly pronounced" in cities that have already shown strong growth like Perth, Adelaide and Brisbane. "However markets that are currently much slower, such as Sydney and Melbourne have historically been far more sensitive to rate cuts. The cuts today are likely to boost these markets," she added. Many banks will add an extra 3 per cent on top of your mortgage interest rate when you apply for a loan. This is a buffer that's designed to show you would be able to handle a sudden spike in interest rates. But with every 25 basis point reduction, more people will finally be able to get pre-approval or they'll be approved for a higher loan amount than before the rate cut. More buyers in the market means more competition. With more competition, prices go up because people have more cash to play with and they might be more inclined to keep bidding. Historically, winter is usually a fairly quiet time in the property market. However, Wallace revealed that with two interest cuts handed down and the federal election over, buyers will be keen to jump into the market before prices go any higher. But the Melbourne-based agent warned not to dillydally, as you could get left behind. "Be ready to act," she said. "The biggest thing I see is people spending a lot of time analysing and getting stuck in the research phase. "While there's a level of research that's required, if you spend too long in that, there will always be the one that got away. "Don't be that person." She's not the only ecpert urging people to get their act together. "Enter the housing market sooner, rather than later," RMIT economist Sveta Angelopoulos said. Tim Reardon, from the Housing Industry Association, said you should "buy as soon as possible". "The housing affordability problem will get significantly worse over the next 3 years as we complete a low volume of homes, and population growth remains extraordinarily high," he said. Metropole Property Strategist's Michael Yardney is also tipping prices will "skyrocket" in the coming months. "Get in before the crowd," he said. "Sure, prices seem expensive but that's what your parents said. Who wouldn't like to buy their parents' home for the price they paid." Here's how the Big Four banks think the rest of the RBA interest rate cycle will play out: CBA - Two more cuts in August and November to bring the end-of-year cash rate to 3.35 per cent Westpac - Two more cuts in August and November to bring cash rate to 3.35 per cent NAB - Four more cuts in July, August, November, and February to take cash rate to 2.60-2.85 per cent ANZ - Two more cuts in July and August to bring cash rate to 3.35 per cent NAB was predicting the RBA would cut interest rates at its May meeting by 50 basis points instead of 25 while retrieving data Sign in to access your portfolio Error while retrieving data
News.com.au
09-05-2025
- Business
- News.com.au
PropTrack: See what your suburb will be worth in 2030 – some Melbourne areas set for massive six-figure growth
Family-friendly Melbourne suburbs are projected to lead the city's charge for home price growth, with six-figure bonuses tipped for house values over the next five years. Dozens of areas including Lower Plenty, Diamond Creek, Beaconsfield, Romsey and Mentone are set to outperform blue-chip areas like Toorak within the time frame, based on PropTrack estimates. research arm has calculated the typical home value for each Victorian suburb and town in 2030, if growth follows the same patterns it has within the past half-decade. The data shows Toorak's $4.71m median house price is set to increase by $220,000. But it would be eclipsed by gains of more than $350,000 in medians from Aberfeldie to Hurstbridge. The city's million-dollar club is also expected to swell with more than 50 new suburbs including Taylors Hill, Berwick, Heidelberg Heights, Altona North and Reservoir to be added. Melbourne-based buyers' advocate Emily Wallace said the family-friendly suburbs' growth forecast would reflect a domino effect of people wanting more land moving further from the city. 'I don't necessarily mean first-home buyers, but family home buyers who are happy to go to the suburbs to get the yard for the kids,' Ms Wallace said. She said school zones, crime rates and safety were top of mind for many home seekers. 'There's also a fair amount of people not wanting the areas of the activity growth zones where development could potentially ruin the look and feel of a suburb,' Ms Wallace said. Since last year, the Victorian government has identified more than 60 areas for mid- and high-rise development, many close to train and tram zones, to address the need for more housing with Melbourne's population predicted to hit 6.2 million by 2030-31. Real Estate Institute of Victoria president Jacob Caine said the activity centre plans could make areas like Brighton accessible for buyers who would otherwise be locked out of these markets. 'You can bet that young people out there that have been really struggling to get a foot on the property ladder would absolutely jump at the opportunity to have a little piece of paradise, whether that's in Brighton or Camberwell or Footscray or wherever they would like to live,' Mr Caine said. According to PropTrack, Melbourne's future high-performing suburbs include Lower Plenty where the $1.578m median house value is expected to increase by $887,000 to hit $2.465m. Diamond Creek's $1.1m median is slated to stack $513,000 on to reach $1.613m. Ray White Eltham and Diamond Creek director Shane Leete pointed to a 2019 list of Melbourne's family-friendly suburbs put together by home loan platform Lendi that was topped by Diamond Creek, based on factors including the number of schools, open spaces and crime data. Mr Leete said the suburb experienced massive growth during 2020 to 2022's pandemic lockdowns and then slowed. But February's rate cut and last week's election have boosted confidence in the market. 'But over … the next two to three years prices will be back up to where they were in 2022,' Mr Leete added. Overall, Greater Melbourne's current $855,000 median house price is forecast to hit $1.001m by 2030, lower than Brisbane's $1.54m and Adelaide's $1.474m. PropTrack's economics executive manager Angus Moore said Victoria's capital had not experienced as much growth as Australia's other states within the past five years. 'Part of the story is the fact Melbourne does just build a lot more homes than other parts of the country, particularly out in Melbourne's west,' Mr Moore said. 'The fact that there is more supply has helped to keep housing more affordable.' PropTrack's research, which projected growth based on trends over the past five years, also hinted there could be prices rises along the Mornington Peninsula — however this could have been skewed by the unprecedented boom during the Covid pandemic.
Yahoo
09-02-2025
- Business
- Yahoo
The Aussies set to get $50,000 richer overnight: ‘Frenzy'
Australian homeowners are expected to receive a hefty windfall when the Reserve Bank of Australia (RBA) starts cutting rates this year. For some lucky Aussies, property values could skyrocket by nearly 20 per cent in their suburb. Melbourne-based buyer's advocate Emily Wallace told Yahoo Finance the forecast interest rate cuts could spark a 'frenzy of buying'. That's because while lower rates will give mortgage holders relief, they will also allow buyers to borrow more and spend more. 'I would suspect that as soon as interest rates do drop, I think that will spark more purchases in the market and unless it's got the stock levels to match it, we could actually see some really good results for sellers, because it could be high demand but low supply,' Wallace said. RELATED Property listing boom coming for Aussie buyers as prices fall: 'Floodgates have opened' $6,548 Centrelink cash boost available for struggling Aussies AustralianSuper under major scrutiny as $4.1 trillion industry faces big changes New CoreLogic research out today estimated property prices could increase by an average of 6.1 per cent for each 1 per cent drop in the cash rate, based on historical movements. Both Commonwealth Bank and Westpac are forecasting four 0.25 per cent interest rate cuts this year, while NAB is predicting five throughout the cycle and ANZ just two. For the average Australian property valued at $814,293, a 6.1 per cent boost would mean nearly $50,000 is added to property head of research Eliza Owen said relatively expensive markets had historically seen bigger growth in response to lower interest rates, particularly houses. 'Key examples are houses in Leichhardt, Whitehorse and other inner markets of Sydney and Melbourne which have previously shown the strongest reaction to a reduction in the cash rate,' Owen said. 'These markets are also generally down from peak values, suggesting they have had a strong response to interest rate rises since May 2022.' Leichardt in Sydney is expected to enjoy the biggest boost to house values, with prices historically rising 19.1 per cent from a 1 per cent cut. This was followed by Sutherland, Menai and Heathcote with an expected 19 per cent gain, CoreLogic found, and Warringah with an 18.1 per cent rise. In Melbourne, Whitehorse West was expected to enjoy a 18.4 per cent rise, followed by Essendon at 18 per cent and Manningham West at 17.4 per cent. Sydney and Melbourne are expected to see the most gains, but Brisbane will also see a reaction in pricier areas. Sunnybank values are expected to rise 5.2 per cent, followed by Nathan at 5.1 per cent and Brisbane's inner north at 4.9 per cent. In contrast, CoreLogic found the relationship between the cash rate in Adelaide and Perth was less pronounced. Here's a look at the top 5 suburbs in Sydney and Melbourne where house and unit prices are expected to benefit most from the cuts. Houses Leichhardt 19.1 per cent Sutherland Menai Heathcote 19 per cent Warringah 18.1 per cent Hurstville 17.7 per cent Hornsby 17.5 per cent Units Dural Wisemans Ferry 17.7 per cent Chatswood Lane Cover 16.3 per cent Campbelltown 16 per cent Wollondilly 15.1 per cent Rouse Hill McGraths Hill 13.1 per cent Houses Whitehorse West 18.4 per cent Essendon 18 per cent Manningham West 17.4 per cent Boroondara 17.3 per cent Bayside 16.4 per cent Units Glen Eira 12.3 per cent Whitehorse West 10.6 per cent Manningham East 9.8 per cent Maroondah 9.1 per cent Bayside 8.5 per cent
Yahoo
30-01-2025
- Business
- Yahoo
Property listing boom coming for Aussie buyers as prices fall: 'Floodgates have opened'
Aussie house hunters have been told to prepare for property listings to 'come in thick and fast' from sellers over the coming weeks. Australian home prices have dropped across Sydney and Melbourne, but a property expert has warned they could go the other way should interest rates drop. Melbourne based buyer's advocate Emily Wallace told Yahoo Finance the real estate industry generally shut down for four to five weeks after December and into January. But this week, she said the "time has come" for house hunters and the 'floodgates have opened'. 'It's two-pronged in that you've got vendors who have been away on holiday or have used the holiday period to get their house sale ready,' she said. RELATED Common mistake that cost Aussie property buyer $70,0000 Under-pressure landlords offering up to $11,840 of free rent in major 'pendulum swing' Retirees face $9,000 tax hit due to overlooked superannuation move: 'Big missing piece' 'Then you've got buyers who potentially have been travelling too. So with so much movement over that Christmas and New Year period, the real estate industry really sort of shuts down. 'This week, when school goes back is when it really starts to pick back up. Historically, public holidays and long weekends are minimal activity for real estate so we'll see listings this week.' Wallace said she expected the next two to three weeks will see a higher volume of options. She recommended house hunters mark the last weekend in February in their calendars and said this would be a big auction weekend for four-week already been a sharp rise in the number of homes listed for sale across the two major cities in the last few weeks compared to previous years, which could indicate rising mortgage stress. In Sydney, CoreLogic found 16,579 properties were listed for sale in the four weeks to January 19, up 6.7 per cent from the same period last year and 8.2 per cent higher than the five-year average. In Melbourne, 22,886 homes hit the market, up 11.6 per cent year on year and 7.3 per cent above the previous five-year average. Wallace said it was not uncommon to see people who purchased in 2021 or 2022 coming to market, which was a short-hold time. 'Three to four years is really short but most of it is people who took on too much debt and they can't service it anymore,' she said. Home values are also continuing to decline across Sydney and Melbourne, with CoreLogic's daily dwelling values index finding prices were down 0.3 and 0.5 per cent respectively over the last 28 days. Property values in Brisbane and Perth have also softened, with value growth slowing to 0.3 per cent in both cities. Wallace cautioned buyers against looking at a month's property data in isolation and said it was too early to tell if property prices would continue to drop this year. 'I would suspect that as soon as interest rates do drop, I think that will spark more purchases in the market and unless it's got the stock levels to match it, we could actually see some really good results for sellers, because it could be high demand but low supply,' she said. 'But if it's the other way around and there are too many needing to get out of the market and not enough buyers, then obviously we're going to see a bit of a slump. '[But] I do think it will be not enough homes, too many buyers.' Wallace said many of the buyers she was talking to were cautious of the interest rate cuts and were keen to get ahead of 'the frenzy of buying'. 'But they are taking a risk because it might not drop. At the same time, when you're financially ready to buy is when you should be looking to purchase,' she said.
