As with every new year there are unknowns, so to does the housing market get speculated upon & at Abode Advocacy Group we get really valuable information from real estateagents, active buyers we are working with, sellers we are assisting & mortgage brokers not just in one market but many across the entirety of Melbourne.
What are we hearing? Agents are clamouring for stock at the moment as we come out of one the quietest Spring markets we have seen in many years & this means that there will no doubt be a battle in many markets on commission rates because this is the first thing that occurs historically when stock is hard to come by. This is good news for sellers as there will be room for them to negotiate during this time & still work with the best agents.
Buyers are telling us two different tales, the first home buyers & first time investors are constantly being downgraded by the banks on the amount they can borrow as interest rate increases continue to be applied. This is seeing many having to offer subject to finance & seeing a number miss out on properties that are being fought for based on buyers offering unconditionally, as we always encourage our buying clients to do where ever possible. In the next 6 months being pre approved will be a huge benefit to buyers securing property. The other buyers looking for the larger, lifestyle family homes are not as affected by interest rate rises & we are seeing homes valued above $1,750,000 are performing exceptionally well across all of Melbourne, as buyers purchase for that little bit less than they would have 18 months ago.
Sellers are just a little confused based on whichever buyer pool they are aiming for currently. Sellers looking to attract first home buyers in & investors are having to perhaps adjust their expectations to meet the ever changing buying limits of their target market as each interest rate rise take affect. Where as the larger family home sellers are getting sold at or above expectations due their buyers not being as unduly affected & the low stock levels available.
To sum up 2023 is looking to be a year of some trepidation by sellers which will continue to keep stock levels low, but with international buyers coming back into the marketplace buyer demand will continue. Meaning that those properties on the market as long as they are priced accordingly will be hard fought for, there will never be a more important time to ensure you have an experienced advocate working with you:
– When buying to get you viewing off market or pre campaign property before being online, inspecting homes on your behalf to eliminate the ones that don’t meet the criteria, bidding at auction, negotiating privately & all the way through to settlement.
– When selling advising & helping prepare for sale, project managing, appointing the best agents, managing the campaign, calling the auction or conducting final negotiations,concluding contracts & settlement
Remember engaging us to help, saves you time, stress, mistakes & money, we have no conflict of interest & are “on your side.”
