Up to a couple of months ago, confidence was high and growing from buyers, creating a upward trend with prices in some price categories, namely lower priced properties up to $1M in Applecross and Mount Pleasant and surrounds.
This can cause up to 5% premium for sellers in this instance.
Recent shivers with the stock markets, Government changes proposed for the mining industry and the associated uncertainty generally, has created in my opinion an instant freeze with some buyers of confidence.
This usually means a 5% drop in the amount of discount a buyer will expect in order to commit.
This has meant we are seeing around 10% gaps between buyer and seller expectations on some deals. Sellers still wanting the upward trend, buyers sensing a downward trend. Corresponding gaps of expectations follows.
This is all part of the normal up and down of cycles, and as soon as things settle down again we hope things revert to a more normal market.