Douglas Driscoll, real estate CEO says property market is not headed for a crash

Douglas Driscoll CEO of Starr Partners estimates there are likely further fall in property prices, as some areas cool, but firmly believes the market will not crash.

 

He has been seeing a slowdown in the market in some areas as is to be expected, but other areas are still doing extremely well, and he believes reports of a crash are being blow out of proportion.

 

Mr Driscoll said that “There has been talk of the market slowing, but 4.4 per cent over 12 months isn’t much and if I were being cynical, it’s not inconceivable that property prices might fall another 10 per cent."

 

"The ingredients just aren’t there for a market crash, Whether they’re buying or selling, owner occupiers shouldn’t necessarily hold off."

 

"Fearmongering certainly doesn’t help and ultimately creates a wait-and-see mentality”, commented Mr Driscoll.

 

Douglas says that a crash simply wont happen because of a number of factors.

 

Housing stock levels are strong, interest rates are low, and it is only a matter of time before they rise.

 

APRA has relaxed measures for investors, immigration levels are high and the skilled workers that are arriving will want to get their foot on the property ladder.

 

He added that he believes the current fear-mongering is more about the potential lack of profits that property might deliver over the next few years.

 

John McGrath agrees the Sydney and Melbourne property markets won't crash in 2018.