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Pre-Register for the Mid-Year Selection Auction Showcase

By Rebecca Coleman

As we approach the halfway mark of the year and the end of the financial year, it is the ideal time to take stock of how we are navigating not only through 2021 but in this COVID affected world.

Everything in life has a beginning and an end and that is most definitely the case with the real estate market, and so it is not surprising after 40+ years in the industry and at the helm of the Gold Coast’s largest real estate company for nearly 32 years of those that I am increasingly asked not only by the media but by our clients as to what lays ahead.

The real estate market, as with all asset markets, has been the beneficiary of the largest economic Government stimulus ever seen in the history of our country. Interest rates were lowered to record lows, hundreds and hundreds of billions of dollars were injected into the economy by way of grants, generous loans, JobKeeper, JobSeeker, and even superannuation was made accessible to people over the past year. With borders closed this resulted in one of the greatest consumer spending splurges ever seen. It did the job of turning us out of a recession and into strong economic growth, but all this stimulus has come to an end and as we move forward some truths will start to surface, and some realities will start to bite. As such, so many other factors that have driven the real estate market will cease to exist and after one of the strongest price growth periods in the history of the real estate market in Australia there are signs that the tide is turning.

I have had a long-held belief based on decades of experience that it is better to sell three months before the peak of the market than trying to sell one day after it. When the market comes to an end there is always a sizable price correction and a long period of inactivity to follow.

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