Understanding what’s fuelling this growth:
This week we learnt that the RBA have decided to leave the cash rate on hold at 2% due to a weaker currency, declining commodities and bouyant property sector. The property market will be monitored closely before any further decisions are made at the August RBA meeting.
Lower interest rates, combined with less available stock and large consumer buying demand has resulted in a boom period for property owners. With unemployment falling to 6%, improvements in retail spending and caution over the European markets, interest rates should remain on hold in the short term.
So when do you sell your property?
1. Economic Drivers – Demand Vs Supply: One theory is to strike while the iron is hot. The demand is here now so sell into the demand. It makes perfect sense to capitalise on a booming property market. As soon as interest rates start to creep up again, the demand will fall and potentially the opportunity to capitalise. Low rates can also assist you to buy your next property, so there’s a good reason why economic drivers is number one on our list!
2. Seasonal Trends: Autumn and Spring periods stimulate both buyers and sellers, so the results are quite tempered. The general mood in the post winter months is buoyant, gardens bloom, look manicured and people tend to “Spring Clean” their properties. Most people will generally research the market in the summer months and prepare the property for an Autumn sale. The summer holiday periods also mean less properties on the market and subsequently interest is focused on fewer properties.
3. Lifestyle Changes: Often personal circumstances are a major influence in when to sell. Births, Death, Marriages, Divorce, relocations, downsizing all influence the timing of selling your home.
4. Locational Factors: If you home is located near parks, rivers, beach, resorts, school, you should consider the attraction of the area. Clearly the beach plays into spring and summer months whilst the school year aligns with the school terms.
To start planning the right time to sell your property, it’s helpful to speak to an experienced real estate agent who knows your local market well and Infinity Property Agents is the perfect choice to consider in Sydney.
We offer free no obligation appraisals of your property and can advise you on the best time to sell your property. Call Michael Kurosawa on 9699 9179.
Author: Bernie Tynes