NOVAK NEWS - LABOUR WINS, MARKET CHANGES. WHAT’S NEXT?

The property market stands at a pivotal moment following Labor's electoral victory, with uncertainty finally giving way to renewed confidence and clear direction. Buyers who have been hesitant to commit during the pre-election period are now emerging with fresh enthusiasm, particularly in the Northern Beaches where market sentiment plays a crucial role alongside supply and demand dynamics.

Our experienced agents have observed tangible shifts in buyer behavior just days after the election results, with multiple property exchanges and investors actively seeking opportunities. This surge in activity comes as no surprise given Labor's substantial housing policy initiatives. The expansion of the 5% deposit scheme without lenders mortgage insurance removes significant barriers for first-home buyers, while the groundbreaking 2% deposit option for key workers (with government co-ownership) creates unprecedented opportunities for essential service providers to enter the market. With $10 billion allocated to housing initiatives, the commitment to addressing affordability challenges is both substantial and promising.

For property seekers, the timing couldn't be more opportune. Financial experts predict up to three interest rate cuts in the coming period, potentially reducing the cash rate from 4.1% to the mid-3% range. This translates to approximately 10% more borrowing capacity for every 1% decrease—adding significant purchasing power just as market confidence returns. Northern Beaches buyers should note current stock levels are exceptionally low at 683 properties (well below the normal 850-900 range), with strongest competition in the $1M-1.4M bracket. For investors and first-home buyers alike, strata title units represent particularly promising opportunities, with experts forecasting approximately 5% growth over the next twelve months. Ready to explore how these market shifts could benefit your property journey? Contact our team today to discuss your options in this rapidly evolving landscape.