Sydney’s residential property market has been booming year on year for the last few years but as we have all known, these rates will not happen again. In the first half of 2018, we have seen a growing percentage of properties sold prior to auction.
With clearance rates at an all-time low, 50-60% for Sydney and Melbourne, there’s no better time to be a buyer.
We can always be sure that some people just have to sell, so be persistent and secure the property early if you can.
- Know your market
Data. Data. Data. With so much readily available information about Australian real estate, there’s no excuse not to know the fundamentals of your market area. No matter where you are living, you can access clearance rates, recent transactions, planning changes and builder/developer track records. A good place to start is an email subscription to CoreLogic, Domain, realestate.com.au, Property Observer and The Urban Developer.
- Don’t Settle
With lenders tightening their belts with local investors and more sellers concerned that they have missed the opportunity at the peak of the market, there has never been a better time to take your time to find the right property that meets your needs. Whether it is an investment or a home to repatriate back to, be sure to do your due diligence properly. In a cooling market, there’s more to choose from so don’t just jump at the first property that you see.
- Negotiate ‘Off Market’
Buyers are often confused by the term ‘off market’. The first preference is to always negotiate and secure a property before it is listed and many properties are bought on this basis. The other option is to take a listed property ‘off-market’ prior to auction. This not only reduces the stress of the auction experience but also ensures exclusivity over the property. With sellers extremely nervous about falling clearance rates, agents are now encouraging vendors to consider ‘off-market’ negotiations due to the lack of confidence in the market and reassessing their expectations for record-breaking sale prices.
Written by: Michael Radovnikovic – Radley Property