Real estate agents in Sydney have warned they are concerned that the NSW mortgage crisis will get worse before it gets better, as the government continues to roll out a series of measures aimed at alleviating the crisis.
A new government survey found that 44 per cent of the real estate agents surveyed said the state’s housing market is getting worse, and only 35 per cent said it is getting better.
In Sydney, the survey found 61 per cent have seen their prices go up, while 27 per cent say they have seen prices fall.
While the survey was conducted over the weekend, the government is expected to release its own housing affordability report in the coming days.
The Government has promised to roll back some of the measures, but has not yet provided any details about what those will be.
The survey found a high number of agents had their properties foreclosed on, and the vast majority said their property values had dropped.
But while many agents said their properties were still worth buying, more than a third said they had already bought.
Real estate agent and realtor Dana Meehan says the housing market has become much more expensive.
“The problem is that we are going to get worse and worse and that is not good for any of us,” Ms Meehan said.
“We have been told that our home values are going down.”
If that is the case, then our ability to pay for the mortgage is going down, as well as our ability for our property to sell.
“If we don’t have the money, then we can’t sell and it is a really bad situation.”
Ms Meeham said the market was so bad that she had seen two people sell their homes before she moved in.
She said the only way she was going to be able to get the money for the property was to move in with her husband, but the Government was not providing the funds.
“I’m trying to make the best of what I have, but it is going to take a lot of work,” she said.
Ms Miehan said she was also worried about the future of her property.
“It is not going to last,” she told News.co.nz.
“My son has been waiting for us for a few years, but we have no money.”
He has been living with us for five years now and I think we will have to go through the whole process again, which will take a long time.
“I have got to move out.
I have to sell my home and sell it, I have had to sell all my other properties and my other possessions.”
Ms Meyers husband, who lives in the state capital of Sydney, is also struggling to get by.
He said he had been working since he was 16 years old, but is now living on the low end of the market.
“When I was 17, I was a full time student and had no money for anything, and I was homeless for a year,” he said.
“I have had two kids.
My son is 14 and my wife is 16.
They both work full time.”
What we have is a house and I have just got to put my son through school, but I am struggling.
“Ms Fauchaine, from the National Association of Real Estate Agents, said many of the properties she has seen in her career had gone for $1 million or more.
They are often built by people with very little experience of real estate, she said, with many properties in Sydney having been bought with debt.”
People who are not really experienced are taking on mortgages to pay off debts,” she explained.
I have been in real estate for a long, long time, and this is going on because of the way we are doing things.
Many of the agents surveyed were worried that some of their clients would lose their homes, but many said they were not too worried.”
There are some very good people in this market, and they are the ones that are getting hammered and they have not taken a break yet,” Ms Fauchese said.