Cairns Property News - Feb 2023

What did the house wear to the Sydney WorldPride Mardi Gras parade?
Address.

Ever heard of a ‘fixed-rate cliff’?  It has emerged as one of the biggest potential risks to housing market values, and overall stability in 2023. This “cliff” is when home-loan owners fixed rates end and the new “variable” rates kick in. For example on a fixed rate loan taken out in April 2021 with clients rates of approx. 2%, will jump into the current rate of 5.48%! This means that the average monthly payments will go from approx. $1,986 to a whopping $3,053.26. Homeowners/mortgage-holders will need to afford this EXTRA expense (or perhaps consider selling the house). 

CoreLogic Research Director, Tim Lawless, said the stabilisation in housing values over the month coincides with consistently low advertised supply levels and a rise in auction clearance rates. Regional dwelling values were DOWN -0.3% in February. 

If ever you should sell, I’d love to do it for you – properly.

Daniel Sheehan

0409 265 326