Sydney Property Markets – Rocking, Rolling and still to the beat!

Sydney Property Markets – Rocking, Rolling and still to the beat!

SYDNEY PROPERTY MARKETS – ROCKING, ROLLING AND STILL TO THE BEAT!
Well some anyway! Last week’s release of The Dyson Austen top 10 residential survey for the March Quarter 2008 identified a staggering market trend. With world property markets in 2008 affected by the subprime and share market speed bumps the highest prices ever recorded, were posted in the March Quarter 2008.

March Quarter 2008
Highest sale $32,400,000
Average Top 10 $17,920,000*
Combined Top 10 $179,200,000*

December Quarter 2007
Highest sale $25,000,000
Average Top 10 $17,478,000*
Combined Top 10 $174,780,000*

September Quarter 2007
Highest sale $29,000,000
Average Top 10 $16,700,000
Combined Top 10 $167,000,000

June Quarter 2007
Highest sale $13,800,000
Average Top 10 $11,185,000*
Combined Top 10 $111,850,000*

March Quarter 2007
Highest sale $16,100,000
Average Top 10 $11,736,000*
Combined Top 10 $117,360,000*

*denotes approximately

CLICK HERE for Dyson Austen Top 10

The most notable omission in the March Quarter 2008 is that not a single Mosman property made the Top 10. There were three adjoining waterfront properties with a combined sale price of $16,000,000* that came in at seventh place. We posted the highest sale in Mosman this year a few weeks ago with the sale of a Moruben Road home for $9,500,000. In the last week there was speculation that another Moruben Road property has sold for $10,000,000*, and a second $10,000,000* sale was also posted although at this stage unconfirmed. A home in Tamarama sold this week for $10,000,000 (popular price range) which is a new suburb record.

Australia currently sits at tenth place on the global rich list with another 11,000 Australians becoming millionaires (US dollars) in 2007. The Australian Bureau of Statistics calculated that the Australian population at the end of 2007 was 21.181 million which means that one in every 123 Australians can call themselves a millionaire or as they prefer to call themselves “high net worth individuals (HNWI(s)”. The Unites States had 3.03 HNWI’s in 2007 and globally, HNWI(s) grew by 6.0 per cent to 10.1 million in 2007.

Quite interesting in that the share market is down 15.2 per cent so far this year which is a far cry from the previous financial year where it increased by 29 per cent. While investors are actively selling to lock and load tax losses it should be noted that 2007-08 is the worst trading year since 1981-82.

Thomson Reuters data this week revealed that total investment banking fees in Australia for 2008 are down 27 per cent so far, from the previous year. This would explain why the merchant bankers are not playing as dominant a role as previously experienced in our property markets.

It will be very interesting to see what is revealed in the Dyson Austen top 10 residential survey for the June Quarter 2008 and will it eclipse the March Quarter results? With our financial year completion just days away there will be more than a few looking to improve on their HNWI positioning in the new financial year.

Many lessons have been learned. What we do know, is that as long as sales at the top-end excel, the results will resonate throughout the middle and lower markets. Now that is something to cheer about! Anecdotal sales evidence is what all markets rely on and then opportunity knocks. This would explain why our top-end suburbs continue to reign-supreme.

Cheers ^__^

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