In 2015, the real estate market capitalised when residential neighbours found a trend in grouping their houses together for sale, earning beyond an additional $500,000.
Selling two, three or four houses as a single land package resulted in residents adding property market value, all while satisfying the demand from developers in the Liverpool and western Sydney area.
With so little land left in Australia’s eight capital inner cities, home sellers can make a lot more if they get developers interested. Sydney Real Estate Agents have sold hundreds of grouped property in 2015, saying it is a popular tactic for sellers to combat the slowing real estate market.
The slowing real estate market saw the price of homes in Australia growing a strong 2 per cent on average across the eight capital cities, but it is still down from 4.7 per cent on last quarter. Sydney and Melbourne still continue to lead the pack.
The Deutsche Bank reported in July this year that the average Sydney home price has risen above $900,000, up from $700,000 in 2013. When grouping up to four residential properties together, the selling value of the grouped property can be as little as $3.6 million.
When comparing Sydney house prices to northern capital cities, such as Brisbane, it is a different story as the average house price of $500,000 has been in place for the past 7 years.
What does this mean for Real Estate Agents in Brisbane vs. Sydney?
With a median house price of $500,00, houses are easier to list and sell, attracting a broader audience. This gives you, as a Real Estate Sales Agent, a better opportunity to sell property at the desired price, and for Property Managers, your rent-roll is manageable and had great potential to grow with the Queensland Property Market.
However, in Sydney, the opportunity to group up to four residential properties and sell it to extremely interested developers can result in a satisfying fee for service.
Be prepared and take the path of a real estate today. Be ready to work as an experience real estate agent or property manager as group sales and an attractable housing price contributes to the BOOM in Queensland and New South Wales current property market.
To start a career in Real Estate, enrol into the 2-Day Registration Certificate Course with REAA.