McGrath Estate Agents founder and executive director John McGrath is bullish the north shore market will remain resilient this year.
“There is limited property available on the north shore, but there is a lot of people who want to live here, which will keep prices and interest up,” he said.
“I don’t believe the market will get much worse, I think we’re on the verge of stabilising and off that prices might be increase down the track.”
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McGrath’s confidence has seen his agency launch new offices in Neutral Bay and Mosman this week — one of Sydney’s few booming areas.
It follows McGrath ending a franchise deal with the former McGrath team in December. That group later rebranded as Di Jones.
“We’re starting with Neutral Bay and Mosman, but we have plans to expand into Chatswood down the track,” Mr McGrath.
The McGrath founder said the strength of economy and low unemployment actually made it a very good time to buy property.
“It’s the negative sentiment that is stopping people. If you’re a buyer, you can buy something knowing you’re getting it for 10-15 per cent less than a year ago, but with the same interest rates,” he said.
With many vendors looking at alternative methods to selling property, the auction process was still the most effective way to sell, Mr McGrath said.
“It’s not a cookie cutter solution, but for a vendor that is aligned on price with buyers, they can still get very good results, and sell their home much quicker than private treaty,” he said.
Mr McGrath said the launch of the new company-owned office felt like Groundhog Day after choosing the north shore 23 years ago as its first office outside the eastern suburbs.
As the market adjusted to changing conditions, Mr McGrath said his company was seeing a surge in vendor interest.
“Many of our agents are doing better now than a year ago, as vendors are saying now is not a time to deal with someone I do not know or trust,” Mr McGrath said.
“We think there will be a flight to quality and we are positioned to take advantage of that.”
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