As 2021 is settling in, home prices are slowly increasing in many outer suburbs. This is the understandable turnout from earlier last year when property prices and interest rates fell with the onset of the pandemic. People are still snapping up property all over the country, hoping to beat out the home property increase. However, as 2021 moves on, buyers and sellers may experience a couple of challenges.
Investors still missing in action
The high sales of 2020 from May to December was bizarre, if not historic. In an almost overnight span, there was a 211% increase in new home sales. Understandably, these were the buyers who wanted a more comfortable home to ride out the pandemic and work from home. However, missing in all this are the investors. You would think that investors would take advantage of the low property prices and low-interest rates. However, falling rental occupancy rates and falling rental rates kept a lot of investors at bay. Many people just realised that buying a new home is better for the pandemic than renting one.
Delays in new builds
The delays in new builds are no fault of the construction industry. There is less titled land coming on the market due to delays caused by the pandemic. There is also a shortage of titled land, shortages of labour due to strict safety protocols, and delays with processing from lenders and local government. Because of all this, build times are set to be still longer in 2021, going up to an extra eight weeks or so. All these are keeping most investors away, and there could have been more home buyers had there been more new homes available.
Cordenos Real Estate
If you delve into the suburbs of Cairns, you can still find good homes ready for occupancy. Steve Cordenos Real Estate makes real estate Cairns readily available for home buyers and investors alike. All you need is to call 0418774994 or visit https://cordenosrealestate.com/. You can be sure of Cordenos Real Estate because they’ve had more than 30 years of real estate experience in Cairns.