PHOTO: Buyer’s agent Michelle May. Picture: Supplied Source: Supplied
Unprecedented times have swept in a very unusual real estate market, so when you’re looking to buy and sell what is the best way to negotiate it?
Sellers are now in the driver’s seat after a last minute end of year surge in demand, however many are now finding themselves in a “chicken and egg” dilemma.
Vendors across much of NSW are rubbing their hands together thanks to rising prices, but there is a catch. If you’re selling your house, chances are you’re about to buy one too.
Buyer’s agent Michelle May said the high demand and low supply of quality homes in the post pandemic property market has flipped the typical ‘sell first, buy later’ scenario on its head. As a result, sellers who have offloaded their home can be left scrambling to find their next one amid hot competition.
Where’s the dilemma?
“We’re now in December, and some suburbs within Sydney have gone into double-digit growth purely because of low stock,” MS May said.
“Add to that the very favourable borrowing conditions for buyers, and it’s a very uneven market.
“Therefore, you’re going to struggle much more as a buyer than as a vendor right now.”
The advantage of buying first, said Ms May, is that you lock in the current purchase price, and if you ask for a longer settlement then it gives you breathing space.
“If you sell today, and you’ve just agreed to a standard six-week settlement, you then only have six weeks to find something and lock it in. And if you don’t find somewhere, those prices are still going to keep going up in the current market. The gap is getting greater, and the stress is greater on you,” she said.
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