market trends | Australian Property Market Outlook for 2024

Introduction

The Australian property market has always been a topic of keen interest for investors, homeowners, and prospective buyers alike. As we approach 2024, the landscape is poised for significant changes influenced by various economic factors, government policies, and shifting buyer preferences. In this article, we will explore the current state of the property market, focusing on the Canberra and ACT region, while offering practical insights and advice for navigating the year ahead.

Current Market Overview

As we step into 2024, the Australian property market is showing signs of resilience despite previous fluctuations. In Canberra, the demand for housing remains robust, driven by a stable economy, low unemployment rates, and an influx of new residents. The ACT has consistently attracted professionals, particularly those working in the public service, education, and technology sectors, which has supported housing demand.

Price Trends

In the past year, property prices in Canberra have experienced moderate growth. According to recent data, the median house price in the ACT has increased by approximately 5-7% over the past 12 months. While this is a welcome sign for sellers, it also means that prospective buyers may need to adjust their expectations and budgets.

Factors Influencing the Market

Several key factors are expected to shape the property market in 2024:

• Interest Rates: The Reserve Bank of Australia has indicated a cautious approach to interest rate changes. While rates are expected to remain relatively stable, any shifts can significantly impact borrowing capacity and buyer sentiment.
• Government Initiatives: Ongoing government support for first-home buyers, including grants and incentives, will continue to stimulate demand. The ACT government’s initiatives focused on affordable housing will also play a crucial role in shaping market dynamics.
• Population Growth: Canberra's population is projected to grow steadily, with new residents seeking housing options. This influx will further fuel demand in both the rental and sales markets.

What to Expect in 2024

As we look ahead to 2024, here are some trends and predictions for the Canberra property market:

Continued Demand for Family Homes

With more families relocating to Canberra for work and lifestyle opportunities, expect sustained demand for larger family homes in suburban areas. Properties with outdoor spaces and proximity to schools and parks will be particularly sought after.

Rise of Sustainable Living

Environmental consciousness is growing among buyers, leading to an increased demand for sustainable and energy-efficient homes. Features such as solar panels, water-efficient fixtures, and eco-friendly building materials are becoming more attractive to prospective buyers.

Urban Living and Apartment Demand

In line with global trends, urban living is gaining popularity in Canberra. For many, the convenience of city life, coupled with access to amenities and public transport, is a major drawcard. As a result, the demand for quality apartments in the city centre and surrounding suburbs is expected to rise.

Practical Advice for Buyers and Sellers

Whether you’re looking to buy or sell in 2024, here are some practical tips to consider:

For Buyers:

• Do Your Research: Understand the local market dynamics and recent sales in your desired area. This will help you make informed decisions.
• Get Pre-Approved: Secure pre-approval for your mortgage to understand your budget and improve your negotiating position.
• Be Patient: The market may see fluctuations throughout the year. Be prepared to wait for the right opportunity.

For Sellers:

• Present Your Property Well: Invest in minor renovations and staging to make your home more appealing to buyers.
• Set a Competitive Price: Work with your real estate agent to set a realistic price based on current market conditions.
• Be Flexible with Open Inspections: Accommodate potential buyers by being flexible with viewing times to maximise interest.

Conclusion

The Canberra property market is set for an interesting year ahead in 2024, with various factors influencing buyer behaviour and market trends. Whether you're a buyer or seller, staying informed and proactive will be key to navigating the evolving landscape. For expert advice and personalised service, reach out to Jonny Warren Real Estate today. Together, we can help you achieve your property goals in the Canberra region.