FIXED OR VARIABLE? - it’s in the planning

The Sydney residential property market is settling down – and real estate agents know it. This means better conditions for would-be property buyers – if you know how to take advantage. Here are three ways ways buyers can make the most of the changing market:

1. Be Patient – More property is coming on to the market as sellers worry whether prices have peaked. Lenders are also more strict with how investors. Along with the traditional peak property time of spring, buyers have more choice in the number of properties available. This means less competition, spread across more properties. Buyers can now be more selective about the property they wish to buy, so don’t just jump on the first property you like. Be prepared wait for the right property and research what is happening to prices in the areas you are looking.

2. Negotiate to buy prior to auction – Sellers are starting to get a little nervous about auctions. Auction clearance rates have fallen from over 80% to 70% in the last few weeks and agents are now advising their vendors to temper their expectations of achieving over-the-top sale prices and expect fewer bidders. This means you may be able to secure a property before the stress of attending an auction. A word of caution, however – bank valuers are also noticing the change and will adjust valuations accordingly, so be careful not to be over-zealous with your offer.

3. If the property must go to auction, seek the assistance of a buyers’ agent. Bidding at auction is stressful and emotional. A buyers agent, who can bid on your behalf, can give you the edge you need to win the property you want to buy as they are experienced in the science, art and psychology of auction bidding. They will also help ensure you don’t attend auctions you have no chance of winning by comparing the property price guide to to other property sales in the market, therefore saving you time and money.



By Ramon Cura