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QLD Property Market is on the Up and Up

By Dan Sowden

This week we welcomed the RBA’s decision to cut interest rates by a further 25 basis points, now leaving the cash rate at 3.5%. Certainly it’s our belief that this decision is inline with the changing tide in Australian property market. The second interest rate cut in as many months, it supports the shift in real estate, where in QLD especially the floor has been found and in the month just passed significantly increased transactional numbers have been recorded- up 23% from May 2011.

Property owners will see some budget relief in the coming months as the 0.75% rate reduction in rates starts to flow through the lenders and into the family budgets. We also expect to see the number of ‘pressure based sales’ to reduce as property owners benefit from the reduced holding costs.

With a soon to be noticeable tightening supply of property in our local market, it’s expected this will create upwards pressure on prices.

In the month of May, the Ray White Group sold over $2.4 billion in property.

Dan Sowden


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