As you’re no doubt aware, the local market has been tough going over the last year or so, with property prices being well below the level of two years ago.
This resulted in quite a few people who had hoped to make a move, having plans put on hold if they weren’t prepared to accept prices offered.
It pays to remember that property prices are dictated by what people are prepared to pay. There is no set level.
All you can do is set a price you hope to achieve, reconcile it with what is being paid for comparable properties and choose an agent who will do their utmost to get you the best price possible.
If there is a disparity between what you hope to achieve and what the market will pay, you can either accept it, or wait for an upturn.
The property market fluctuates from year to year, according to factors such as public confidence, the availability of finance, interest rate levels and affordability factors.
An interesting aspect we so often see is that the real winners in property tend to be those who make their move in a downturn.
These are invariably people who undertake the strategy of selling their property for wait the market is prepared to pay – perhaps $50,000 to $100,000 below what could have been achieved at peak, and then buy a higher priced property selling $100,000 to $200,000 below its peak price.
This is a clever move because they know full well that when the market turns again they will have made a significant gain.