Spruiker: Virus a boon for Sydney property

When it comes to property media, the propagandists at “Bricks and Mortar Media” take the chutzpah cake:

Federal Government moves to close Australia’s borders while calling for the return of overseas Aussies will help protect Sydney’s property hotspots from the COVID-19 downturn, according to Nick Viner, director of buyer’s agency Buyer’s Domain.

Mr Viner said the virus crisis has done little to stem demand for quality Sydney property, and part of the drive was from ex-pat professionals coming home.

“There are lots of Aussies returning from overseas locations and they could be here for the long haul.

“Where are they going to be living? Buyers’ agents I know across my network are seeing an influx of expats signing up. Many have actually brought forward plans to return to Australia on the back of the COVID-19 crisis.”

Mr Viner said local purchasers also remained active in Sydney’s inner addresses.

“Among the areas I cover across the Lower North Shore, Eastern Suburbs and Inner West we’ve seen little sign that activity has been dramatically hit.

“But my overall feel is that the resilience of Sydney property has come to the fore.”

Comedy gold.

David Llewellyn-Smith
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Comments

    • Goldstandard1MEMBER

      Yes, he exudes knowledge.
      Will be a check out chick by August if he’s lucky.

      • darklydrawlMEMBER

        Not likely. Due to ‘social distancing’ rules, only every 2nd checkout is now allowed to open at the supermarkets.

        Saw that in action today. Bad news for our RE friend as we have an immediate of 50% capacity in ‘check out’ operator availability.

        Naturally this has the unwanted and spectacular result of doubling the queue lenght of the customers- all of whom are rammed together for twice as long in a tighter space a few feet apart. Go figure! 🙂

        • Added to which, Coles recent advertisement for 5,000 casuals generated 36,000 applications! Underemployment much?

          • darklydrawlMEMBER

            Yeah, Shocking stats. I guess ol’ Alan J’s / Qantas’s plan for having their retrenched workforce pick up some casual coin with the supermarkets wasn’t really thought through so well. Idiots. Another brainfart from the rulers of Oz. EZFKA.

  1. migtronixMEMBER

    I want to know how commercial rents don’t fall zero given no-one can open up shop or have any customers if they do. Had to come into the office to pick up the new laptop – apparently China is moving – and I’m having a beer at the Metropolitan. Never ever seen it dead at lunch on Friday. Today it’s dead.

      • mikef179MEMBER

        I had to go into get some network cable at OW. Girl told me all monitors had gone.

        • boomengineeringMEMBER

          mike, wonder if you bump into my son running data cables in Fed Police offices and City Syd,( Somerville Elect)

    • boomengineeringMEMBER

      mig,
      commercial rents don’t fall because they directly relate to the sale/valuation price, which would need a margin call that neither the borrower or the banks want because the banks security holdings would be affected and the borrower may not have the funds. The answer lays back in time when to overcome this landlords offered I year free rent to have the books show no reduction in rent = retaining valuation.

      • Nonetheless boom, economic reality is about to come crashing down on these clowns and my popcorn is primed!

        • boomengineeringMEMBER

          100% agree, not the same this time much worse, so this play won’t last and will go into freefall.

        • I did buy 2 bags of popping corn in my stock up shop a few weeks ago. I figured they were a salt and vinegar chips substitute (I did not buy and chips as part of our shut in prep). The only problem is they don’t flag in advance ‘hey here is a popcorn event’. Should have popped some for yesterday but my mind was just blown.

    • Office buildings as well. Early 90’s commercial property crash on steroids.

      This one largely permanent as many more people will continue working from home. I wouldn’t be surprised if many city office buildings converted to apartments.

      • Yep retail, small commercial units and now office buildings …. quite delicious really.

        Well, for those who are not exposed —

  2. Are buyers agents supposed to be spruikers? I thought they represented buyers interests. Wouldn’t that mean identifying the opportunities for lower priced assetsrather than talking up the areas doing well for sellers?

    • Maybe. Or is it better to have an ever increasing price thus guareenteeing endless customers with FOMO?

    • They’re better than your traditional spruikers who sell new properties and get paid by the developer but they still have a massive conflict to get you to buy property. If they had a view the property market was going backwards and would be a couple of years to buy, they wouldn’t earn anything for 2 years as they get rewarded for activity.

  3. robert2013MEMBER

    If more people work from home there will finally be less and less need for large concentrated cities. The virus might just be the decentralisation catalyst. That could be very bad for urban properties.

    • Agreed. Given the dystopian hell hole Australia will become. Should I find myself able to buy a property it will be off the grid with a moat around it and draw bridge. I would have to rely on satellite NBN but better then trying my luck here in Gotham city.

    • boomengineeringMEMBER

      robert,
      The surf was full of newly working from home types this morn basking in their newly found lifestyle but their bosses may realize the the said job could be outsourced to India at a fraction of the price albeit at a reduced quality which under assessment may be or nor be feasible.

  4. SoCalSurfCreeperMEMBER

    under what circumstances would Nick Viner concede that prices could conceivably fall?

    • kannigetMEMBER

      None, He needs property prices to continue to rise. Because while they are falling buyers wont buy, as a buyers agent he only makes money when they buy and the amount he makes is dependent on the size of their buy….

      His opinions represent his BMW repayment and nothing else…

      • I understand you’re speculating but you’re likely 100% correct. I can’t say I’ll be sorry when all these parasites have to go and earn a real living.

      • SoCalSurfCreeperMEMBER

        BMW lease payments. Not BMW repayments. He will never actually own the BMW.

    • After prices start to rise again, but that is sometime in the future..

      So now we have a virus exposing the rotten foundations, eighty years ago it was the threat of attack and invasion on a relatively sane valuation platform. This piece understates the effect (‘fell’), I can’t find a quote but was told by old Balmain residents that harbourside prices plummeted…apparently no one was interested in getting bayonetted.

      It was in 1942, during World War II, that Sydney harbour actually experienced an invasion. Three Japanese midget submarines slipped into the harbour on the night of 31 May 1942. The attack on Sydney created havoc and fear. The mother submarines remained off the New South Wales coast for some weeks. Shells from their guns caused much panic and real estate prices in Sydney’s eastern suburbs fell.

      • darklydrawlMEMBER

        Facts and History Ginger??!! That won’t do at all. The Aussie leadership style is ‘opinion’ and ‘belief’. History is soooo last century. Get with the program! 😉 Seriously – good points on how external events will change the (seemingly) ‘unchangable’.

      • I think this pandemic could be a decent parallel – as this could this generation’s world war. Think about it – hunkering down for 4-6 months with little or no economic activity. It’s almost worse than war – the casualties will simply come in slightly different form.

  5. TailorTrashMEMBER

    Westpac slashes borrowing rates for small businesses and consumers

    As the ABC’s business reporter Sue Lannin reports, it follows similar moves from the Commonwealth Bank and the National Australia Bank.

    Westpac says it will cut variable interest rates for small business cash-based loans by one percentage point from early April and rates on business overdrafts will be reduced by two percentage points.

    Owner-occupiers with one, two and three-year fixed-rate mortgages will get a new rate of 2.29 per cent.

    The bank also announced a $10 billion home lending fund to help more people buy homes.

    Westpac Group’s Acting CEO Peter King said the economic damage from coronavirus was a crisis.

    Ten billion to lend to help people buy homes ……keep that Ponzi going ………is that QE for houses in action
    Garn Straya !

    • “The bank also announced a $10 billion home lending fund to help more people buy homes. ”

      Jebus – they know the ponzi is in trouble. That’s desperation right there – who in their right mind is going to buy in this environment. Once unemployment spikes and the press is all over it, turnover is going to crater.

      • TailorTrashMEMBER

        Could they be looking to help a better class of borrower (who would put more equity in ) to take over from a distressed punter with a few gig jobs and on interest only ( probably a large part of their customer base )
        ……but agree can’t see anyone with half a brain buying these over priced crumbling Sydmelb houses as the entire economy is crashing

  6. So expats are coming back to Australia just in time to catch the exponential ramp up in COVID-19 here? Smart they are.

    • … but they’re particularly keen to buy a property at the top of the market — the one’s who’ve been working abroad are the stupid ones, as you can imagine …

  7. Hill Billy 55MEMBER

    Westpac and commercial property, where have I seen that before? 1991 ring a bell?

  8. You people are truely cynical. Banks are really pitching in to help their customers. Darn great Aussies. Lucky to have them.

  9. As an expat i can say, anecdata, many are selling because of cap gains changes, and we’re staying put in HK and Singapore, generalised.

  10. Side DishMEMBER

    It works both ways, Aussie expats return to Australia , International expats return overseas.
    We have imported a lot of people in a short period of time and they are mostly here for the supposed strong economy.
    If they see a better opportunity elsewhere they will leave as would more Australians.
    That’s before any shortcomings in our health system are exposed with the corona virus.
    Any thoughts that there will be pent up demand when this virus has run it course I think is delusional
    The only property that will sell will be people leaving metro areas for the bush so they can live a self subsistance lifestyle