property guide 2009 - Domain.com.au

the grants have brought to other regions. In
the west, despite some dire predictions of
price falls, agents aren’t particularly
pessimistic. They see first-timers providing
their salvation – and driving Sydney’s southwest
into something of a recovery.
A sales consultant with Response Real
Estate in Penrith, Stephen Golab, says: ‘‘In
this area we have many houses priced at
$250,000 to $350,000 and the level of
inquiries, particularly from young first home
buyers, is astronomical.’’
‘‘We’re going to be very busy for the first
six months of this year but the immediate
problem is building confidence in sellers to
put their homes on the market. At the
moment, buyers far outweigh the number of
sellers and it’ll be interesting what the
economy is like if the Government stops the
grant in June.’’
Investors are also back in the west, lured
by low interest rates, high rents and the stillteetering
stockmarket.
‘‘Now 25 per cent of inquiries are from
investors,’’ Golab says. ‘‘Spending $250,000
wisely can bring $300 a week in rent, which
comes very close to servicing the loan.’’
BEST GROWTH PROSPECTS
It’s a similar situation in the south-west,
which APM says has Sydney’s best pricegrowth
prospects this year.
Median prices in areas such as
Moorebank, Regents Park and Cecil Hills are
forecast to rise by 9 per cent.
That’s a direct result of first home buyer
activity, according to the chief executive of
The Realty Group in Liverpool, Andrew
Bodnar. ‘‘This is the area that got hurt the
most by interest rate rises before,’’ he says.
‘‘We saw the highest rate of mortgagee sales
and had prices fall 20 per cent to 30 per cent
to 40 per cent. So we have some of the
cheapest property around, particularly for
the first home buyer, so it’s only natural we’ll
see some price recovery. That’s why this area
will grow.’’
Up to 80 per cent of his sales are to first
buyers: tenants becoming owners and
people coming from other areas to buy.
There’s also been an increase in the number
of investors, who are currently making up
25 per cent of inquiries, says Bodnar.
In the inner west, the areas that will fare
the best this year will be those closest to the
city, such as Glebe, Ultimo, Pyrmont,
Petersham, Lewisham and Stanmore,
according to the principal of Planet
Properties, Rosalie Gordon.
Most of the east will generally weather the
financial storms, says McGrath’s Simon
Exleton. ‘‘Property in the eastern suburbs is
generally pretty resilient,’’ he says.
‘‘Although now there’s generally one to
PREDICTIONS HOUSES
Best performing
Suburb
(% change)
Moorebank
Regents Park
Cecil Hills
Prestons
Glenfield
Warwick Farm
Hinchinbrook
Green Valley
Lurnea
Sadleir
Ashcroft
Busby
Last
year
1
-5
-3
-2
1
-5
-1
0
-3
1
4
-6
This
year
9
9
9
9
9
9
9
9
9
9
9
9
SOURCE: AUSTRALIAN PROPERTY MONITORS
Worst performing
Suburb
(% change)
Mosman
Bellevue Hill
Londonderry
Richmond
Cambridge Park
Oxley Park
St Marys
Erskine Park
Bowen Mountain
Cambridge Gdns
St Clair
Hobartville
Colyton
North St Marys
two buyers for each property rather than
three or four, there’s still a lot of activity as
people’s circumstances are always changing
and people downsize, upsize, move closer to
the water, shift towards the city.
‘‘It’s a pretty good opportunity to sell and
buy a bigger place in the same market.’’
That’s true for John Wall, 62, who bills
himself as the world’s fastest senior sprinter.
He’s offering a $10,000 discount off the
$419,000 asking price of his three-bedroom
Central Coast house at Shelly Beach for any
buyer who can beat him over 100 metres.
‘‘I think, as Australians, we have to give
others a hand and this was one way of doing
it,’’ says Wall, who is selling his property
through Greg Wild Real Estate (0412 911 171).
‘‘I want to give others a chance to get
something for nothing. And first home
buyers in particular need a helping hand.’’
Last
year
-3
10
-9
-8
-1
-2
1
-5
1
11
2
-3
-1
-10
This
year
-14
-13
-13
-13
-13
-13
-13
-13
-13
-13
-13
-13
-13
-13
TAKING THE PLUNGE
After buying three houses and an
apartment as investment properties,
Rebecca Broughton, 32, and her
husband Andrew, 34, have finally
decided that 2009 will be the year to
buy their first home.
‘‘With interest rates coming down,
we can make the next step that we
couldn’t afford to do in the heat of
the market," says paralegal
Broughton. ‘‘Now we’re looking to
buy a house for ourselves to live in.
It’s so different!’’
The couple, with daughters Taylor,
8, and Madeleine, 5, are now looking
for a three-bedroom terrace with,
hopefully, a courtyard, close to the
inner city.
‘‘We want to be close to the city
and not far from the airport and
beaches, as well as having the
lifestyle,’’ says Broughton, currently
renting in Randwick. ‘‘Now feels the
perfect time to buy a home.’’
Photo: Janie Barrett
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THE SUN-HERALD PROPERTY GUIDE 2009 9