The Property Market: Time to Sell or Buy?
As 2022 begins, new opportunities for home owners arise due to the ever-fluctuating property market. Prices have persisted to increase with a 25.5% increase in the property market in the last 12 months. But then again, Feb 2022 showed a negative trend for some suburbs.
This begs the question; should I sell my property?
This is a very interesting topic seeing as the increase in property price would likely make for a greater selling price for your property. Waiting too long could cause a shift in the property price that would negatively impact your potential selling price. However, due to the consciously high demand and the reduced supply of properties, it would be recommended that selling now would be a great opportunity.
Especially with the continuous increase in inflation prices, its likely that the property market will reach its peak, then significantly drop as it done in the past. Additionally, it’s likely that the Australian government will being introducing contractionary fiscal and monetary policy in order to work countercyclically against the dramatic increase in house prices.
This could include:
- Increasing Interest rates,
- Increase in mortgage rates,
- Capital taxes on housing gains,
- Value Added Tax (VAT),
- Reducing first home buyers’ application approvals.
The opposite question is also valid; should I buy?
Since the property market in NSW is so volatile, finding a property that you want to buy is extremely rare. Therefore, if you find a property that suits your needs, it is critical for you to act quickly. There is likely to be competitors so the earlier you get your offer the fast you can seal the deal because you don’t want to miss out on the opportunity to buy your dream property in the fast-pace competitive market.
Additionally, it’s worth noting that property prices may not be greatly affected and may continue to increase. This highlights the urgency for you as the purchaser to solidify your offer and buy that property that you want because that property is likely to be more expensive in the coming months or years.
Either way, we are here to Assist you with buying and selling process. Please contact our team on 6989 4656 for further information on Contracts.