Presenting at our Marketing & Sales in Tough Times seminar this week, Barney McGrath predicted a price collapse of up to 40% in Sydneys housing in February and stated other cities and regions will be following closely. He presented the chart below after discussions with many of his 100+ national real estate agent clients over the past seven days. The hang over of unsold stock through Xmas will be added to by a predicted flood in February, given the financial markets, his agents say. Furthermore, he predicted this is a structural change, not just a cyclical change, with prices not coming back for at least five years. Barney is perhaps the most experienced real estate marketer in Australia, having driven the McGrath Estate Agents group in Sydney and reinvented the Ray White franchise over the past few years.
Sydney Melbourne Brisbane
Current Stock Level 200% 120% 150%
Monthly Sales Volume 35% 90% 45%
Prices -20% -5% -15%
Clearances 15% 55% 35%
