Property Owners Holding on to Their Homes for Longer
Since the middle of the last decade the average hold period of homes has continually
increased as affordability barriers and high exit costs result in owners holding on
their properties rather than by new ones .
The average hold period is calculated simply as the difference between the most recent date of sale compared to the previous date of sale. When we quote this figure
we determine an average based on all of the homes sold over the past year.
Across Australia, the average hold period for a house is recorded at 9.0 years and
7.7 years for a unit. The average hold period has continued to increase over the past
year, at the same time last year the hold period was recorded at 8.5 years for houses
and 7.4 years for units. The average hold period for houses and units was fairly
static until late 2005 and actually declined during the 2001-04 property boom but it
has since consistently increased.
Overall, we believe that the increase in the average hold period is a response to a
number of factors. The main contributors are housing affordability and the costs associated with moving however, it also probably has to do with the fact that the type
of property available and the types of new housing stock being delivered are not
meeting buyers needs. Whether that be cost, design or location it is clear the stock
available is not what buyers are looking for. We anticipate that the average hold period will continue to increase over the coming years as private sector demand for
credit growth remains below historic levels, sales volumes remain below their peaks
and affordability barriers mean that people choose to upgrade their current home
rather than upgrade to a new one.
Market Insights for your postcode: 2487
The data provided is an extract from rp.suburb scorecard.
Median house price: $610,000
Avg Time on Market (Houses):
141 days
Median unit price: $335,00
Avg Time on Market (Units): 151
days
Professionals Kingscliff
p (02) 6674 9000
f (02) 6674 3299
[email protected]
www.kingscliffprofessionals.com.au
110 Marine Parade
PO Box 1423
Kingscliff NSW 2487
Kingscliff NSW 2487
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