It’s hard to fathom within our regional areas, but the effects of COVID-19 is a serious matter. Here at Hibbards we are committed to following the health and Government authorities in doing our part to impede its progress. Whilst we are not scientists or health professionals, we are experts in our field of helping people to become home owners and we want to give our clients some reassurance and our thoughts around what all this means in terms of the property market.
The Australian property market has quite a history, and in the last 60 years, we as a country have weathered many storms, global tragedies and market crashes:
- 1982 – Aids was discovered and would subsequently sweep the world – (Property prices then rose by + 3%)
- 1985 – Capital Gains Tax (GCT) they said this would be the end of rising property prices – (Property Prices continued to rise)
- 1987 – Stock Market Crashed causing market chaos – (Property Prices continued to rise)
- 1988 – The airline pilots strike crippled Australia – (Property Prices continued to rise)
- 1989 – Interest rates hit 17% and again the property market was going to collapse – (Property Prices continued to rise)
- 1999 – Y2K doomsayers warned that all computers would crash & the world be over – (Property Prices continued to rise)
- 2000 – GST was introduced and we had five interest rate rises – (Property Prices continued to rise)
- 2001 – The September 11 tragedy led to war on terrorism – (Property Prices continued to rise)
- 2008 – The USA subprime credit crisis led to the Global Financial Crisis (GFC) – (Property Prices continued to rise)
Add the SARS virus, Bird Flu virus, Swine Flu, the Russian Rouble crisis, the Thai Baht crisis, the Yen crisis, the collapse of the Soviet Union and communism, the Australian property market has continued to perform over the last 40 years and longer. In spite of all the above, regional NSW has remained steady in consistent growth of property value.
So what does this mean moving forward? If you’re acquiring property then you’re working towards a great future for yourself and your family. And property will continue to be a sound investment vehicle for the long term.