Sales Trends: Units and Houses
In May 2023, the Central Coast real estate market saw a substantial 25% year-on-year decrease in dwelling sales.
This decline affected both houses and units, with house sales down by 25% and unit sales experiencing a more significant decline of 27%.
These figures provide a clear indication of significant shifts in market dynamics and evolving consumer preferences.
Within the unit market, properties priced in the range of $400,000 to $800,000 continue to dominate, accounting for a remarkable 66% of unit sales.
Regional Market Update, CoreLogic
This trend underscores a strong preference for mid-range properties, likely influenced by considerations of affordability and lifestyle choices.
Such properties appeal to both owner-occupiers and investors, offering a versatile option that caters to a diverse set of Central Coast residents.
In the housing market, properties priced between $600,000 and $1,000,000 take the lead, representing 56% of house sales.
Regional Market Update, CoreLogic
The popularity of this price range indicates a robust demand for homes that strike a balance between value and quality, appealing to a broad spectrum of buyers.
Home Values and Quartile Insights
In July 2023, the Central Coast's home values experienced fluctuations.
Houses saw a decline of 5.5%, while unit values recorded a milder drop of 2.8%. Notably, properties in the upper quartile, often considered higher-end, experienced the most significant decline in value.
Houses in the upper quartile saw a decrease of 6.4%, while units in the same bracket experienced a 1.0% decline.
These statistics present an enticing opportunity for potential buyers eyeing premium properties at more competitive prices.
On the other hand, the lower quartile tells a different story.
For units, the lower quartile's value increased by 1.6%, indicating resilient demand for more affordable housing options.
This trend caters to both owner-occupiers and investors seeking entry-level properties on the Central Coast, offering a more accessible entry point to the real estate market.
Vendor Discounting and Time on Market
Market dynamics are evident in vendor discounting percentages and the time properties spend on the market.
For houses, the average vendor discount now stands at 4.2%, reflecting the negotiation power of buyers.
However, the average time on the market has increased to 37 days, suggesting that buyers are taking a more measured approach to their purchasing decisions.
Units show a similar pattern, with an average vendor discount of 3.4% and an average of 35 days on the market.
Although discounting has improved slightly from the previous year, the extended time on the market suggests that buyers are being deliberate in evaluating their options and making well-informed choices.
Market Predictions and Implications
Navigating the Central Coast real estate market in 2023 calls for careful consideration of various factors.
Economic conditions and fluctuations in interest rates can significantly impact affordability, influencing both owner-occupiers and investors.
The rise of sustainable and energy-efficient properties reflects the preferences of environmentally-conscious buyers seeking long-term cost savings.
As the market potentially stabilises, it may lead to more realistic pricing expectations and reduced vendor discounting.
The sustained demand for mid-range properties is expected to continue, potentially influencing developers to cater to this segment.
Regional Market Update, CoreLogic
However, it's crucial to bear in mind that external factors remain unpredictable.
Global economic shifts and unforeseen events can have a profound influence on the trajectory of the Central Coast real estate market, underscoring the importance of making well-informed decisions.
The Central Coast's real estate landscape in September 2023 reflects a dynamic market with evolving trends and statistics.
Despite the decline in sales and fluctuations in home values, the market continues to offer opportunities for both prospective homeowners and investors.
For potential homeowners, mid-priced units and houses provide balanced options that align with affordability and quality.
Investors may find enticing opportunities in premium properties that have seen a decrease in value, making them more accessible.
As the Central Coast real estate journey unfolds, staying informed and adaptable remains essential.
Understanding market dynamics empowers both owner-occupiers and investors to make well-reasoned decisions that align with their goals and preferences in this ever-evolving market.
This article is intended to provide general information of an educational nature only. Information in this article is current as at the date of publication.