The soaring house prices of recent years look to have come to an end.
After prices peaked in September last year, recent figures from the Australian Bureau of Statistics show that residential property prices fell further in 2018.
This period also saw the first quarterly housing price decline in Melbourne for five-and-a-half years and the first annual drop in Sydney prices for six years.
But far from being a sign of doom and gloom – falling prices present a number of opportunities for those looking to buy or sell. And if you are a first home buyer – the pendulum has now swung in your favour.
While a cooling market levels the playing field for buyers, bargains are still hard to come by. Here are a few tips for buyers entering this slowing market:
• Be organised: Arrange pre-approval on your finance and be ready to offer below asking price to get a feel for how motivated the vendor is to sell.
• Do your research: Attend or research auctions in your target area and keep an eye on property sites to get an indication of activity and demand.
• Be level-headed: Try not to get emotionally attached to a property and skim over necessary research and investigation.
• Make a plan: Buying before you sell can put unnecessary pressure on you to accept a lower price than intended.
It is easy to feel nervous when selling in a slowing market, but there is still demand. Here are a few tips to help you get a good deal when selling:
• Be realistic: The market has changed, so be sensible and do your research by checking out similar properties currently for sale.
• Attention to detail: Presentation is important so getting those repairs done and adding a lick of paint or spot of landscaping can make the difference.
• A good agent: Any agent can sell property during a boom so make sure that they choose an agent that has a good track record in the local area.
• Bridging finance: Bridging loans can help you secure your new dream home, while giving you more time to sell your existing property.
Ask for help
Whether buying or selling, in search of a bridging loan, first home loan or refinancing, reach out to a Liberty Adviser to assess your options.