Potential home buyers should strongly reconsider investing in Sydney property, as the city has been described by an expert as one of the "bright stars on the horizon" in Australia’s property market.
Residex analyst John Edwards said that he sees cause for concern in the Melbourne market.
He said buying activity is related directly to the country’s confidence levels and that when people are apprehensive about their employment they forego new purchases.
“Our star is Sydney, which is the market that generally points to the future performance of other markets across Australia,” said Edwards.
Furthermore, he expects the Reserve Bank of Australia to slash rates in September, or even sooner, if carbon tax is not implemented.
In June, Sydney Property Monitors research showed that in the April, there was a 1.1 percent rise in the prices of homes in Sydney.
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