HERE'S SOME CRISIS CONFIDENCE
So how’s your 2020 vision going so far? It’s been a combination of droughts, bushfires, floods and now pandemics! The start of a year none of us have ever experienced before and now we all face a period of uncertainty as we move forward.
That feeling of uncertainty is clearly shown in the most recent consumer confidence chart - which looks like it fell off a cliff. Human beings in general do not feel comfortable or respond well when the answer to most questions is ‘I don’t know!’ It creates an uneasy feeling and along with that, comes a drop in confidence when making decisions, so decisions get put off until we feel better.
You can ask any real estate agent anywhere in the world how they think the market will go in the next 6-12 months and guess what answer you’ll get every time? . . ‘I don’t know’ And it’s an honest answer, no one knows at this point in time.
So how can you take away that ‘feeling of uncertainty’? Especially in relation to the Yamba property market!
A good place to start is with some ‘Pre-Covid19’ facts . . . .
The Yamba market has been performing strongly with demand outstripping supply across all price points. There is little available stock and all agents are searching for more properties to meet the demand.
The Pacific Highway upgrade work is coming to a close and the welcome mat will be thrown out to SE Qld to come on down and grab a piece of paradise! It’s closer than you think! I made that same move myself 14 years ago and have since been followed by lots of friends and family. . .even my Mum-in-Law!
The Yamba town area is surrounded by the Pacific Ocean, The Clarence River and the Yuraygir National Park. There is a scarcity of long term available land and that scarcity factor helps to underpin the property market. It’s the old adage of ‘They ain’t makin any more land!’
Some extra 2020 vision would show . . .
China looks to be starting to open up their cities again which gives a an idea of the timeframe of the current crisis. It won’t go on forever and now we have a small light at the end of the tunnel.
If China continues to open up and their manufacturing kicks back into gear, the pent up demand for our commodities will build further. Some pundits are forecasting iron ore exports to top $100 Billion dollars.
While sharemarkets have tumbled around the world as expected in any crisis we know this is different to the GFC because it’s not a financial crisis, it’s a health crisis which will pass. The share market is already showing signs of a comeback.
Money has rarely been cheaper than it is now and interest rates are expected to be on hold for the next few years.
There is a cash surplus in the investment community due to the recent sell off of stock and some of that cash will be looking for bricks and mortar to park itself.
As this current crisis passes, either due to isolation or maybe a vaccine, consumer confidence will begin to return. If a vaccine is found it could be very swift. People are currently at home, they are not spending as much and are likely to splurge when they are released back into the world again.
Overall I think the Yamba market will ride through this troublesome time and it may just look like a dip in the road in hindsight. The one overriding fact that sways my thinking is Yamba itself. I mean really, how good is it! The beaches, the lifestyle, it’s a magnet to those living in the ever increasing populations of our big cities. The ‘sea change’ movement has never really stopped in the Yamba area and with crises like bushfires and viruses it is likely to become more popular the ever.
Right now if we have to stay isolated I know where I’d prefer to do it . . . . Yamba!
If we can assist you throughout this time with your property needs, please call the office on 02 6646 2299 or email email@example.com. We are only too happy to help.