Data often leads us to market signals and the wise ones can read it on time to get ahead.

I took a snapshot for the last three years .While we do believe that if we reduce supply and demand remains the same the price would go up. However if  available stock reduces and capital growth reduces then demand has reduced. Well I have enclosed a table showing this over the last three years 2014/2015/2016. Have a look and you would probably have the same conclusion as I did.  Have a look at the first file which is a word document. I have extracted the info from the three other attachments’ which are suburb profiles from RP data.

The other interesting fact is that all three suburbs  differed in their rates of increase per year. As a snapshot. Cherrybrook, West Pennant hills and Castle hill moved 59.07,60.8 and 51.5% respectively. Against logic as cheaper properties generally have better growth. West pennant hills with the most expensive houses with no train station or having a famous high school like Cherrybrook tech actually grew by a whisper more than Cherrybrook over the three years.

So if people are looking for a stable market to make a move this table may be telling them something.

Volume of Sales Cherrybrook West Pennant Hills Castle Hill
2014 215 233 520
2015 214 186 410
2016 269 171 380

Capital Growth Cherrybrook West Pennant Hills Castle Hill
2014 19.9% 26.6% 18.8%
2015 31.1% 20.8% 24.2%
2016 1.2% 5.2% 2.7%

As you may see capital growth dropped even though volumes decreased. This could signify that the trend has changed.Please post your comments as this is a tiny market segment.

All the above data was sourced from RPData.None of the above information is financial advice . You ought to look at your own circumstances before you come to a decision.

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