Ulladulla - Media Release

Media release – date ULLADULLA PROPERTY MARKET SET TO IMPROVE IN 2012 Darren Sparks from First National Real Estate Ulladulla expects the current falling market for the Ulladulla region to moderate into 2012, with the market improving as the year progresses.

Mr Sparks said in the First National 2012 Property Market Outlook released this week, activity in the Sydney property market, interest rate fluctuations and global economic instability all represent significant factors which will affect the local Ulladulla property market in 2012.

“Although, the new Woolworths and Target developments will help to stimulate activity in 2102, as people gain renewed confidence to invest in the Ulladulla region,” Mr Sparks said.

According to the Outlook, residential property prices in the Ulladulla region are expected to remain mainly flat in 2012 across all property sectors of houses, apartment/strata and land with potential price movements of up to 1 per cent.

“There is the potential for land prices to decrease by between 5 and 10 per cent, depending on how consumer confidence returns,” Mr Sparks said.

The rental market should see vacancy rates trend downwards, tightening with decreases of up to 5 per cent, while weekly rent prices are expected to increase by between 5 and 10 per cent.

Mr Sparks expects investor activity to increase by between 10 and 20 per cent due to rising rents improving yields which will appeal to investors as they look for alternatives to the underperforming stock market.

“However, it is retirees who represent the strongest growth sector for the Ulladulla region, driven by baby boomers leaving Sydney for a sea change,” Mr Sparks said.

Interest rates are expected to decrease by up to 0.5 per cent, which should help stimulate buyer activity and improve affordability.

The economic events in Europe and America will also impact on buyer confidence and the introduction of the carbon tax is expected to further reduce home prices.

- copy ends Issued by: First National Real Estate For further information or to receive a copy of the 2012 Property Outlook, Darren Sparks, Principal from First National Real Estate Ulladulla, on 02 4455 3999