Everyone looks forward to Christmas and the summer holiday season. After all, ’tis the season to be jolly. To indulge in festive fare. To get out in the great outdoors and enjoy quality time with family and friends. But it could also be the right time to buy a home. Here are 5 reasons why clever property buyers are considering making a purchase after Christmas during the holiday season.
Spring is one of the busiest times of year in Australia’s property markets. That’s when all the buyers are out in force and vendors have the best chance of getting their price. If a vendor is still trying to sell come summer, they’re often highly motivated – or even desperate – to get a sold sticker on that notice board.
This year, spring auction clearance rates were lower than they’ve been for a while. Now summer has arrived, there are many more properties on the market than usual. Motivated sellers are good news for you – they may be more willing to negotiate.
Looking for a property during spring can be a nightmare. Open home inspections are packed and by the time you decide you might be interested in a property, there are usually several offers already on the table. This can be frustrating and detrimental to your capacity to negotiate.
If you start your property hunt when others are away on holidays, you can avoid all the hassle and drama. Again, fewer buyers mean vendors may be more willing to negotiate.
This is also a great time for First Home Buyers to negotiate with less chance other buyers trumping you in the negotiation process. Check out my previous blog for tips for First Home Buyers here.
Traditionally, property prices fall in December. Last year, the average national home price fell by 0.3%. This year, we can expect this drop to be larger than usual – particularly as there was still a lot of properties left on the market at the end of spring. Prices are already starting to drop in our bigger markets like Sydney, Melbourne and Brisbane.
The moral to the story? The summer holiday season could be the time to buy property – it’s a buyer’s market right now and it probably won’t last long. CoreLogic is predicting home values are likely to move back into growth territory in most markets by June 2019.
There’s no getting around it. Buying a property takes time and energy. It takes considerable research and a lot of time travelling around to open home inspections.
If you’re working full-time, it can be hard to make time to do it right. You’ll likely be devoting weekends and evenings to your property hunt. The solution? Do your research and inspections while you are off work and on holidays. That way you’ll get it done faster.
Nothing motivates people to wrap up a deal quickly like the idea of taking a break. That goes for real estate agents, lenders, vendors and buyers. Things tend to go much more smoothly when demand is less, so you’re more likely to see a hassle-free settlement during summer than a busier time of year. There are also more special home loan offers available during the off-season, so talk to us to find out more.
So, why not put the beach life on hold for a while, and spend the holiday season looking for a bargain on a fantastic new home?
If you’re in the market to buy, talk to us at Wyze Finance about getting a pre-approval on your home loan now. It could be a great way to start the new year off with a bang!
This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances. All loan applications are subject to lenders terms and conditions, and eligibility criteria. Lender fees and charges will apply.