Sydney homebuyer confidence has plummeted in the past 12 months, with more than a third now holding back from purchasing a home.
RP Data today reports that only 63% of Sydneysiders thought it a good time to purchase a dwelling this month, down 10% from May.
On average, only 74% of people across Australia – including zero percent in the Northern Territory – said in October that it was a good time to buy.
According to Australian Property Monitors on the SMH this morning, the median Sydney house price had jumped 4.2% in the September quarter to $722,718.
RP Data reported that Sydney house prices had risen 12.2% since May 2012.
“Many prospective Sydney buyers have either been priced out of the market or would be viewing the current level of capital gains as unsustainable,” RP Data reports.
The survey, of 1,045 Australian residents, found that 65% of Sydney respondents thought local housing values were “vulnerable to a significant fall”.
Respondents in the ACT (70%) and Perth (68%) were also pessimistic about a downturn; RP Data explained that Sydney and Perth had seen an above-average rise in house prices recently.
On the sell side, 53% of all respondents thought now was a good time to be selling a home, up significantly from 29% a year ago.
With the typical Sydney house selling in an average of just 27 days, 74% of Sydneysiders thought now was a good time to sell, compared to 65% in Melbourne, 61% in Perth, and 23% in South Australia.
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