If you’re considering using the Christmas and New Year period as a reason to start a new chapter of your life, it’s a great time to buy a house. Why? Because traditionally, the Christmas period is quiet for the buyer’s market, meaning sellers have far fewer options to choose from. Inevitably, you’ll end up with a much better final price if you take up this window of opportunity.
When it comes to the real estate market, timing is absolutely essential. Because of the buyer’s market downturn, the next 4 weeks are an excellent time to make a property purchase, regardless of whether you’re a first-time buyer, investor, upgrader or downsizer.
Christmas is a great time to buy
Year-on-year, the activity in the property market slows down over Christmas and New Years, as people are more focused on buying presents than properties. After this period, however, the market bounces back very quickly, meaning you’re left with a very small window of time to take advantage of the lowered prices.
In Perth, Brisbane and Darwin especially, there are a large number of homes to choose from for prospective buyers. If you’re interested in any of these neighbourhoods, you stand a better chance than ever of scooping one up, as there are far fewer buyers to compete with. If you’ve been on the fence about buying a new property for some time, don’t get hit with buyer’s regret when the prices surge again in January.
Don’t fall for buyer’s regret
Buyer’s regret is typically when a buyer delays making a purchasing decision on a property, waiting for the prices to drop, when the market has already hit its lowest point. By the time the buyer makes the call to purchase the home, the prices have started to rise again. In this situation, the buyers are faced with having to pay far greater sums to secure the same property they could have made a serious saving on the month before.
During this 4 week period, buyers often find that sellers are more open to offers, even ones that are lower than they’d usually consider. If you’re looking to make an offer on a property, however, make sure that your first offer is the best one. Although sellers are prepared to consider discounts, they still want to achieve as close to fair market value as possible.
Ensure you’ve got the money
One key point that you need to ensure you’ve got covered is financial pre-approval. There’s nothing worse than having an offer on a property accepted then finding out that you can’t borrow the money to cover it. For this reason, you should meet with your bank or mortgage lender and find out exactly how much you’re eligible to borrow.