Apartment values steady as Sydney buyers return As winter settles in, St Ives apartment market continues to show stability, with values rising 7.2% over the past 12 months. Median apartment values now sit at $1,018,750, buoyed by improved borrowing capacity, easing interest rates, and tight supply. Despite recent economic uncertainty, growing buyer confidence and improved affordability (driven by interest rate cuts in February and May) have helped sustain modest upward pressure on apartment prices. Low stock levels support price growth Advertised stock remains tight, 5.8% below the same time last year and 16.7% under the five-year average. While total housing turnover remains slightly below the decade average, this shortage continues to support values. Auction clearance rates have continued to rise, holding steady between 60% and 70% over the past two months, underscoring strong buyer demand despite persistent affordability pressures. Apartment demand fuelled by affordability & yield Apartments are offering competitive returns, with gross rental yields at 4.2%. Annual rent growth sits at 3.1%, one of the softer figures nationally, suggesting stable tenant demand and strong occupancy. Outlook: momentum building into Spring Looking ahead, the apartment market is well-positioned for further moderate gains: • Interest rates are forecast to drop further, with rates potentially hitting 2.9% by early 2026. • With inflation easing to 2.4%, consumer confidence is lifting, and more buyers are expected to re-enter the market in the coming months. • Given the seasonal uptick in listings through spring, now may be an ideal time for apartment owners to act ahead of the competition. Thinking of Selling Your Apartment? With detailed buyer insights, local knowledge, and a tailored sales strategy, we create competition to deliver strong results. Let’s discuss how we can help you get the best price for your apartment in the current market. Book your property appraisal now. INSIDE THE MARKET: WINTER EDITION I SYDNEY APARTMENTS Giuseppe Princi 0433 641 046 giuseppe.princi@raywhite.com
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