3 February, 2024

A New Year With New Opportunities

2024 is officially in swing. The challenges that COVID-19 and global supply chains brought on are behind us. If you’ve been holding off on building your forever custom home, now’s the time to kick start your journey again. Interest rates are predicted to settle, if not come down, and construction delays are evaporating.

Let us deep dive into why reinstating your Pinterest account is a new year must.

The COVID Comedown

As an industry insider, it was clear 2023 had everyone – suppliers, trades, consultants, builders and more – stuck in recovery mode. Media headlines loved to sensationalise it, but the reality wasn’t far off. From March 2020, the building industry was hurled into turmoil. Over 50 home builders went under, construction timeframes blew out past 18 months and costs escalated to over 40 per cent.

The reality was builders couldn’t hold to their commitments during an unknown, ever-changing time — and it took a toll. It went from bad to worse thanks to nation-wide floods, large-scale government home incentives and construction projects. It resulted in workforce shortages, putting the industry under further strain.

However, things began to improve by the end of 2023. Suppliers regained stock and trades were becoming more reasonable. Construction timeframes reduced and builders could regain a level of certainty around pricing.

2024 and Beyond

Looking ahead, there’s still a bit of uncertainty. Global inflation continues to present concerns and ongoing conflict has the potential to strain supply once again.

But there’s plenty to be positive about. Property prices are predicted to rise as we move through the year. While the experts aren't always right (2020 is the best example of this), they're tipping a spike in demand if the Reserve Bank cuts interest rates. Many believe the RBA will start to reduce rates as high levels of migration continue. The big four banks predict significant price rises, more specifically Commonwealth Bank is thinking 5 per cent, Westpac is at 6 per cent, ANZ believe it’ll be 6 per cent and NAB is saying 5.4 per cent. Locally, many banks are tipping Brisbane property prices to rise by as much as 9 per cent.

With the pain of the pandemic behind us, and the Australian property market strengthening, it’s prime time to consider purchasing a new home for a knock down rebuild.

Reach out to Pilgrim to start your journey.