If you’ve read or listened to any recent reports on the current property climate you would be forgiven for thinking that we are approaching the end of days.
But are things as dire as they seem?
Managing Director of Pace Development Group, Shane Wilkinson, is far more upbeat about the forecast for the industry than many others.
“The negativity surrounding the market at the moment is completely over blown.’’ says Mr Wilkinson. “If you read the Saturday papers, you’d be led to believe that the property industry is in free fall with no end in sight, but we [Pace Development Group] haven’t seen it.” Mr Wilkinson said.
He went on to say. “Whilst the buyer pool is reduced due to the uncertainty surrounding the industry, people are still lining up at the door to buy, settle and rent our properties. The reality is, it’s the best time to purchase as the amount of stock currently on offer across Melbourne is exceeding the demand - making it a buyers’ market.”
When asked about his outlook for the next 12-24 months Mr Wilkinson was pragmatic.
“The banking royal commission and a long-term build-up of pressure on both pricing and lending was inevitably going to force a market correction, and that’s something we’ve been expecting for a while.”
“Investing in the right property is the most important thing in these situations, because the market is cyclical and will go up again, that’s when the right purchase now will be most noticeable.”
Much of the recent scepticism has centred around apartment buildings and their ability to be valued at the prices they were sold for two or more years previously.
However, investors and owner occupiers can take comfort in Pace’s track record for delivering buildings in high demand thanks to their business ethos.
This was highlighted with over 240 groups (300+ people) coming through an inspection for 10 available tenancies in a single open evening at the recently completed Pace of Collingwood project.
Megan Sautter, Customer Liaison Manager at Pace, has seen the delivery of dozens of projects through her career, but was pleasantly surprised by the demand.
“These sorts of numbers are unprecedented and show that there are many people after a quality building in a great location.” Ms Sautter said.
“The feedback from those groups was that the combination of the building and location was something they were desperate to be a part of, so much so that we had to ask applicants to prioritise which apartment they would like if they were successful.”
To find available tenancies or to lease your property, head to the Space Property Company website at www.spacepropertyco.com.au
To buy or invest in a Pace Development Group property, head to the website www.pacedg.com.au – Pace of Sunshine North; Pace of Ascot Vale and Pace of Abbotsford are currently on sale.