Since the second wave of the COVID-19 pandemic, the uncertainty in the property market has been growing. It’s suggested, without the help of government stimulus packages and mortgage deferrals, home owners will struggle to pay their mortgage repayments and bargains will soon be able to be found.
The events of 2020 have re-shaped how many of us live and how we use our homes. With multiple family members under the one roof needing to find space to study, work, play (or hide!), it seems the need for flexible spaces has never been so pressing.
With the outbreak of COVID-19, Melbourne’s rental market saw a huge hit to rents, as landlords were forced to give their tenants rental reductions to combat the financial stress of the pandemic, with house prices in Inner Melbourne reduced by $40 per week, and units $35 per week over the June quarter, giving units the first annual fall in 15 years.
Following a buoyant start to the year in the inner Melbourne property market, COVID-19 halted the momentum. With limited opportunities to transact, buyers and vendors have been forced to retreat and wait for the market to re-open with the easing of the inspection bans.
It’s been a time of adaption and resilience as the real estate industry has risen to the challenge of operating in a COVID-safe manner. While Victoria’s Stage 4 restrictions have temporarily placed the market in a holding pattern, there’s been one constant throughout the year - strong buyer demand.
It’s been a testing time for the real estate industry as we unite with Victorians against the spread of COVID-19. The good news is the property market, on a stand-alone basis, remains resilient. We have plenty of eager buyers wanting to take advantage of record low interest rates and government grants.