Residential property slowdown may not be bad news
Recent reports have shown that key measures of residential real estate growth have recorded a slowdown in a period traditionally associated with growth.
The spring selling season is known to deliver an increase in both housing turnover and property prices - however there seems to be a missing element this year as both figures measured flat to moderate growth across the range.
With auction rates lower than expected and dwelling values registering little in the way of change, it could be that there is a mismatch between buyer capacity and seller expectation.
However, this is not necessarily a negative outcome for the market as a whole as it can give rise to a number of new opportunities.
Investors and first homebuyers already receive a number of government led incentives to enter the housing industry - with special grants and capital gains exceptions that vary from state to state.
With interest rate cuts over the last two months and a fairly flat market, these buyers can now afford to take the time to examine their options before committing to a purchase.
In this way both parties will be able to get to grips with residential real estate at a pace that suits them - taking some of the haste out of a buying decision.
