The inner city apartment market is being driven by a combination of first home buyer bonuses, increasing population and improved affordability.
Inquiries are quickly turning into sales as consumers respond to low interest rates and rush to claim federal and state government first home buyer financial assistance. MICM Property’s sales manager, Brett Townsend-Booth, says that “existing apartment stock is very attractive to first home buyers. Buyers are nervous, but they are doing the deals quickly if they feel the value is there, and we have some great quality apartments to choose from.”
The market should continue to benefit with the $7,000 first home buyers boost set to run till 30 September 2009. A tight rental market, with rental returns well up in some instances, has also resulted in improved investor demand. Mr Townsend-Booth said that low construction levels in recent years, combined with an increase in new residents, means that the rental market will remain tight for many years to come.