Yes - it’s 38 days till spring and if you’re thinking of selling - then spring is definitely a time to be wary of. WHY??
Typically - everyone thinks spring is the best time to put their home on the market. The truth is spring - and especially late spring - is when the market is at its most vulnerable. Every year we remind sellers of this. Every year most ignore the warnings and guess what, every year we have to deal with the frustration of long periods on the market and softening demand.
Personally, I believe if the Reserve Bank doesn't work out that we need an urgent interest rate cut - they are completely out of touch. Confidence is teetering on the verge for most and a good old shot of lower interest rates now, would stabilise things in our backyard.
Look at what is happening globally - the Murdoch saga and the collapse of 'News of The World', the international financial turmoil and the Federal Government totally out of touch with Australians - no wonder confidence is on the edge.
The reality is we now have more new buyers starting to look for the perfect property. There is an opportunity to buy well, but there are hardly any properties to buy. Normally this would lead to big price hikes and upward price pressure. Of course, the reverse is occurring - this is a direct consequence of consumer confidence.
What happens then in spring? Suddenly a whole heap of new properties come onto the market and unless interest rates drop, or there is some amazing positive world event, we risk seeing a number of very untidy events in real estate.
And what about the stock market…whew! Property is looking pretty good compared to shares for someone as simple as me. DO NOT miss next weeks SHOWDOWN Property Vs Shares on ToopTV - Wednesday at 1pm. We have a studio debate on this very subject - it will be awesome.
Anyway, all this is irrelevant if you are buying and selling in the same market - and the good news is you will save money on Government taxes and Agents fees. The smart money would get your property sold now, and buy late spring!