WHY SELL NOW ?
On 26 March this year , a prominent Sydney newspaper ran a screaming headline : “ CITY HOME BOOM OVER ”. What followed was the eventual decline in clearance rates , buyer activity and property prices . Interest rates began their journey back to normality from their historical lows and the market shifted back to a balanced state .
Two major factors that have influenced property prices :
1 . Banks tightened buyer ’ s borrowing capacities with each rate rise
2 . Consumer confidence waned with a fear of ‘ overpaying ’
These are the facts , but now enters the question for both buyers and sellers .
When will the market find the bottom ? When the market starts to go back up !
Australia ’ s love affair with real estate as an asset class remains strong . With regards to house prices - when in doubt , it ’ s best to zoom out . Residential real estate historically remains one of the most stable asset classes in all history . With instability in equities , cryptocurrencies market and global markets - putting your hard earned cash into real estate remains a safe investment . year on year ; even heading into the traditional spring listing peak .
With lack of choice , buyers are still finding themselves in a competitive position for those agents skilled at the art of competition creation .
Over the month of September , 1,488 auctions conducted across the country by Ray White saw an average number of bidder registrations back up to 4.1 after bottoming out back in July . We saw over 94,000 buyers inspect our properties over the same period - 17 per cent up over the same time last year .
Yes , there ’ s pressure on prices . Sellers that are holding onto last year ’ s prices are being disappointed . However , engagement with buyers is swiftly turning up heading into summer . Sellers looking to sell are finding no shortage of opportunities .
This isn ’ t a market to take short cuts . Process , presentation and the people you chose to represent you on your selling journey matters .
Competition remains the critical ingredient to achieving a great outcome in the current conditions .
When considering the question of ‘ Why Sell Now ’, the major factor in a seller ’ s favour currently is driven by the lack of stock coming to market .
The difference ultimately between a balanced market and a buyers market comes down to the basics of supply and demand . Looking through our data , the volume of listing authorities ( new stock coming to market ) is down almost 14 per cent across Australia
Tim Snell Head of Performance Ray White Group
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