Pursuits
Price Cuts Herald Sydney Home-Boom End as Foreigners Retreat
- Real estate agents having to accept price reductions on homes
- Sydney dwelling values declined by the most in five years
Houses in a suburb of Sydney, Australia.
Photographer: Brendon Thorne/BloombergThis article is for subscribers only.
Chris Carr, a real estate agent in Sydney’s northwestern suburbs, has had to convince sellers to drop prices on at least six homes in the past two months to complete transactions.
Such price cuts sent Sydney dwelling values 1.4 percent lower in November, the most in five years, as Chinese demand slows, banks raise mortgage rates and buyers balk at record home values. The first open inspection of a home now attracts on average about six groups of prospective buyers, compared with as many as 30 three months earlier, Carr, an agent with Gilmour & Orley, said in an interview.