There are many ‘big questions’ in real estate, but none more frequently asked than ‘when should I buy?’ And unfortunately for us, unlike the ‘what’s’ and the ‘how’s’, the ‘when’s’ are almost the trickiest of all to answer due to the unpredictable nature of market conditions, and the undeniable necessity of doing what works according to your own personal (read: financial) circumstances.
While it would be a mistake to put all of your nest eggs in one seasonal basket, below are my tips to getting in while it’s hot (or cold):
Spring into Action
From September to November, properties are popping up like daisies. The problem is that you won’t be the only one who’s looking to make the most of the sunshine: while there’s always more stock available this time of year, you’re bound to run into some fierce competition.
The Hot Tip
As the mercury rises so do the stress levels of those who went ahead and bought up big in Spring. As their 120 day settlement period comes to a close in December, January or February, a few sellers out there might just resort to accepting considerably less for their current properties – particularly if they’ve felt the burn of a previous auction campaign attempt.
Generally speaking, we all like to have things tied up and out of the way before the new school/working year. For this reason, December and January in particular can prove fruitful for buyers.
Rise and Shine
What would a morning reference be without a cliché? Be the ‘early bird’ and catch that proverbial worm – head in at 9.30am and capitalize on an agent’s tight schedule by taking your time in the negotiation process. They’ll have a day’s worth of other auctions ahead of them and will want to stay on track by wrapping up negotiations as quickly as possible.
If it’s cold, wet and rainy, you might just be in luck. House prices tend to drop 1% between June, July and August, even in seasonally moderate Melbourne.
At the End of the Month
For those pushing paper, end of the month is crunch time. Without giving too much away, this can also prove a better time to submit your offers as agent will be looking to tidy up their numbers for the month.
At Infolio, we believe in long-term thinking when it comes to big ticket investments. If you are buying a property with the intention of holding onto it for 10 years then the purchase price rarely matters. If you’re planning on buying and selling in the same or slightly different markets however, then you may encounter a few problems. Ultimately, the not-so-simple answer to ‘when to buy’ is ‘whenever’s right for you!’ If you’re interested in finding out more about the what, where’s and when’s in real estate, get in touch with Infolio today. The big ‘when’ could be a lot sooner than you think.