How to know between Buyer or Seller market ?
- Thread starter albertwt
- Start date
If an agent rings you after you view a property - it's a buyers market.
The newspaper keeps saying it's a buyers market right now... technically speaking it is ...but from my experiences it's an even market ( for Sydney anyway)
I find that property prices are still high, discounting still exists...but the prices are still high either way. What i find in fact are prices are stable, but "VOLUME" of sales is much lower...and with rate at 7% sellers are happy and comfortable to hold on a bit longer
Regards
Michael
I find that property prices are still high, discounting still exists...but the prices are still high either way. What i find in fact are prices are stable, but "VOLUME" of sales is much lower...and with rate at 7% sellers are happy and comfortable to hold on a bit longer
Regards
Michael
Signs of a sellers market
Signs of a buyers market
It's overly simplistic to assume that reductions in any asking price are an indication (per se) of a weak market - they might be, or it could also be that sellers just got realistic about previously unrealistic asking prices.
It is also important to remember that no-one has a perfect crystal ball - the "market" at any given point in time (for any given type of property in any given location) can be extremely fluid. The best you can do is negotiate fair (legally) and hard, whether you're a buyer or a seller (it's basically a zero sum game, after all).
Today's bargain could be tomorrow's falling knife.
And today's "buyers remorse" (paying too much) could be tomorrow's "I'm a genius for buying that!".
- Packed open homes (though you shouldn't confuse people "looking" and people "buying" - you've got to put pen to paper to create demand)
- Days on market falling (a reduction in the average time it takes for a property to sell)
- Multiple offers on properties (bidding wars)
- High auction clearance rates
- Properties under contract after (or even before in some cases) the first viewing
- Talk in the media about a surge in the real estate market
- More OTP sales
Signs of a buyers market
- Empty open homes
- Days on market rising (opposite of above)
- Vendors becoming increasingly open to low-ball offers and / or "non conventional" offer terms and / or accepting offers with more caveats on them (just so they have something on paper)
- Low auction clearance rates
- Talk in the media about a slumping market
- Increased signs of distressed sellers (mortgagee sales) - though this may apply more to individual properties and your ability to negotiate hard on them, as opposed to weakness in the overall market
It's overly simplistic to assume that reductions in any asking price are an indication (per se) of a weak market - they might be, or it could also be that sellers just got realistic about previously unrealistic asking prices.
It is also important to remember that no-one has a perfect crystal ball - the "market" at any given point in time (for any given type of property in any given location) can be extremely fluid. The best you can do is negotiate fair (legally) and hard, whether you're a buyer or a seller (it's basically a zero sum game, after all).
Today's bargain could be tomorrow's falling knife.
And today's "buyers remorse" (paying too much) could be tomorrow's "I'm a genius for buying that!".
... and rings you again repeatedly after you have told them "not interested"....
The Y-man
sellers market - agent gets a free ride.
buyers market - agent has to work to sell.
buyers market - agent has to work to sell.
S Market - before
B Market - NOW!
B Market - NOW!
Why do agents drive BMWs or Mercedes?
Thought Toyota was more fitting
Thought Toyota was more fitting
it's an image thing....
and anyone worried about their "image" is someone i am always wary of doing business with.
and anyone worried about their "image" is someone i am always wary of doing business with.
But if the person didn't have a good 'image' would you even consider meeting them, let alone business with them in the first place?
I thought it was good 'reputation', not necessary good 'image'
... and rings you again repeatedly after you have told them "not interested"....
The Y-man
Hmmm.... I had an agent ring me 3 times, maybe more.
Had agent ring me yesterday as a followup from an email I'd sent him months ago (and had forgotten about) about wanting to buy a particular type of property for our next PPOR. He had a property listed in the street we'd like but it had a brand new, dog ugly, mcmansion on it.
He rang about a property he's about to list later this week ... sorry mate, it's about 20% overpriced. I may be keen but I'm not stupid.
Will wait a few months to see if anyone else is gulliable - if not, will make a low offer as is deceased estate and the kids want it sold.
He rang about a property he's about to list later this week ... sorry mate, it's about 20% overpriced. I may be keen but I'm not stupid.
Will wait a few months to see if anyone else is gulliable - if not, will make a low offer as is deceased estate and the kids want it sold.
Offer him 60% of the price he's looking for
He might get a reality check and sell it
He might get a reality check and sell it
