Last year was tricky, to say the least, but despite the challenges 2020 brought, the Australian property market was largely able to weather the storm unscathed! Now, economists are optimistic for a strong 2021, with many predicting a rise in property prices.
Over the coming year, there are a few fundamental areas that could drive growth as Victoria emerges from its COVID downturn.
Strong buyer demand
First home buyers came out in force last year and with a number of different incentives still on offer, this is predicted to continue. Investor interest is also set to pick up after low market participation in 2020. Those who sat on the sidelines last year will no doubt be enticed by the potential of bigger capital gains and low interest rates.
Economic stability and a positive outlook
According to data from Finder, 2021 is looking like a great year to buy for many Aussies. Slowly but surely, consumer confidence has bounced back to pre-pandemic highs. Now, buyer sentiment is well and truly on the rebound with many looking to put their money in property. This overall improvement in buyer confidence coincides with increased economic activity over the past few months.
The Reserve Bank has also indicated that they are not likely to increase the official cash rate for at least three years, giving buyers a high degree of confidence.
Where to buy?
So what suburbs are tipped to be top performers in 2021? Growth corridors in the outer north and west will continue to be most popular with first home buyers, as will our very own south east corner of Melbourne. New land in Clyde, Clyde North and Officer will prove popular as buyers look to build new, continuing the trend of the last two years. At Riverfield, we’ve seen this already in the first few weeks of 2021, with blocks in our Clyde community selling strongly!
Keen to make 2021 the year you make your homeownership goals a reality? Call our Estate Manager Jason on 1800 001 895 or register your details via our website today.