CoreLogic data this week showed home values fell 1.2 per cent in December and 1.4 in November in Sydney – the first time since May 2013.
Therefore, if you have been wanting to buy a home and have been waiting, 2016 has been declared the first buyer’s market of the past four years. Property prices have softened with auction clearance rates not down on average to 55 per cent from averaging 90 per cent in the last quarter last year. Sellers are now rushing to move their property before a further predicted prices slide.
“The market has finally reached a point where it’s no longer a seller’s market where buyers were forced to meet their ridiculously inflated prices,” Jalil Wakim, managing dirictor of finance broker Lendfin, said.
“Prices are now coming back to much more realistic levels and where, 12 months ago, properties sold within a week, buyers are waiting much more on the sidelines to see what happens, and they’re now taking two, three weeks to sell. That means savvy buyers are now in the much stronger position where they can negotiate both prices and terms.
The knock-on affect of falling property prices will show in real estate in the Southern Highlands in a greater way than in Sydney. Now you can relax a little when you find a home that suits most of your needs but not just right perhaps, without rushing in to buy it in a panic fearing if you don’t get this one, there wont be another one. Take your time, buying a home is such a big commitment, you just don’t want to get it wrong.
A client signed with my services early last year to purchase in Picton. The market just keep moving up and up but we felt the prices that were being asked for the properties were too high, and should my client need to sell in a hurry at a later date she may have found she paid too much. So in October we stopped looking, she put her money in a term deposit, went on doing what she does, and it was decided we would shelve the purchase until Easter this year. And I am glad she did. Time was on her side, but unfortunately for some buyers they don’t have the luxury of waiting, and had to meet the market price.
I guess it’s always hard to hold back when you feel there aren’t choices but always try to stay focused and calm in a moving market.
Now, the worm has turned. Great news. If you need help though being steered through the whole process, contact me and I am always available for a chat and helpful advise even if you are not ready to buy.