Successful sellers will be adjusting their expectations this winter as we begin to experience a cooling real estate market after a 12-month period of record-breaking prices.
Higher inflation and interest rates are starting to temper buyers’ exuberance, but it doesn’t mean selling your property is a bad idea.
In fact, it’s probably quite the opposite, especially if you’re looking to purchase your next home once (or even before) your sale has gone through.
You could benefit from a more measured market. You’ve got little to lose if you’ve already locked in your mortgage rate to bolster yourself against future rate rises.
As an experienced agency in our area, we believe the first goal is to be a smart seller so you maximise the value of your property.
It’s a fine line between achieving this goal and holding out for an unrealistic offer that results in your home languishing on the market for weeks or even months. That is the worst of all outcomes.
Below, we’ve listed some key traits of a successful seller when buyers are more cautious and need a little more persuasion.
Be realistic
This doesn’t mean “be pessimistic”. Smart sellers understand market values fluctuate. Maintain a perspective across the entire transaction of selling your current property and buying your next. What you might lose on the swings, you can gain on the roundabouts.
Enjoy the gains
The past 12 months have seen record levels of growth in property values. They increased an average 21% across the country last year, according to industry research CoreLogic. So, even though interest rates are trending up, it’s highly likely you’re way ahead.
Research your market
Watch the price trends of properties that are similar in style and size to yours. Restrict your research to comparable houses or apartments. A benchmark price set by a contemporary home isn’t relevant if you have a Federation home. Make sure you’re comparing apples with apples when considering the value of your home in the current market.
Forge a partnership
Choosing the right agent is important. You want a mix of experience and enthusiasm plus a strong record of negotiated outcomes is critical. We’d love to talk to you specifically about our approach and local successes.
Smart marketing
Your agent will help identify your target buyer. Who will buy your home – is it a young family or a downsizer? Be clear on your prospective buyer or your home could remain on the market for weeks, even months.
Dress circle
You’re competing against properties similar to yours, so you need to spend money on presentation. We’ll discuss how to get the best return on your investment. Staging your property – using a stylist to select and install rented furniture for your marketing campaign – can be well worth the investment.
Hammer it
You may be reluctant to go to auction if the market is subdued but an auction can be an excellent way to understand exactly what the market will pay for a home like yours. If you’re anxious, let’s discuss those concerns. Some properties are ideal for an auction sale even in a cooling market and an auction usually ensures you have a limited time on market so you can move on with your life.