Post to Facebook on 14/10/2018 at 5:17 AM
Commenting on “Couple snap-up Northcote home in cooling market”
https://www.domain.com.au/news/8216they-got-it-under-their-limit8217-couple-snap-up-northcote-home-in-cooling-market-20181013-h16lm4-772935/
This is the first time Domain reports the clearance rate dips below 50%. I have been alerting that clearance rate was below 50% for a number months, and I could not work out why Domain calculated otherwise.
Is this the best time to put properties in the market for sale? Well this is normally the case, but it seems this time, things do not follow history. The warm weather, bright sunny day and blooming flowers are factors to draw potential buyers out, but all the bad news prevent the buyers to dig deep in their pockets.
Many agents still try hard to convince potential sellers to auction their properties. This enables not only the properties to have greater exposure, but also the agents benefit likewise. The agents get free advertisement and promotion, compliment of the sellers who pay for the agents’ advertising space.
Cooling market is NOT good for auction, because shortage of enthusiastic bidders will not result in high bid. It is a waste of time and money, especially the cost of advertising is never cheap.
If you are ready to buy, try not to get involved in auction; instead work on properties for private sale. If read between the lines, you should have picked up that properties failed in auction will return to the market as sale by private treaty. You tend to have the upper hand than the disappointed sellers.
I am still amazed by young couples paying mega bucks for some timber houses on small blocks of land. Please do not over commit yourself in loan, because mortgage stress is a killer.
Thank you for reading.
Commenting on “Couple snap-up Northcote home in cooling market”
https://www.domain.com.au/news/8216they-got-it-under-their-limit8217-couple-snap-up-northcote-home-in-cooling-market-20181013-h16lm4-772935/
This is the first time Domain reports the clearance rate dips below 50%. I have been alerting that clearance rate was below 50% for a number months, and I could not work out why Domain calculated otherwise.
Is this the best time to put properties in the market for sale? Well this is normally the case, but it seems this time, things do not follow history. The warm weather, bright sunny day and blooming flowers are factors to draw potential buyers out, but all the bad news prevent the buyers to dig deep in their pockets.
Many agents still try hard to convince potential sellers to auction their properties. This enables not only the properties to have greater exposure, but also the agents benefit likewise. The agents get free advertisement and promotion, compliment of the sellers who pay for the agents’ advertising space.
Cooling market is NOT good for auction, because shortage of enthusiastic bidders will not result in high bid. It is a waste of time and money, especially the cost of advertising is never cheap.
If you are ready to buy, try not to get involved in auction; instead work on properties for private sale. If read between the lines, you should have picked up that properties failed in auction will return to the market as sale by private treaty. You tend to have the upper hand than the disappointed sellers.
I am still amazed by young couples paying mega bucks for some timber houses on small blocks of land. Please do not over commit yourself in loan, because mortgage stress is a killer.
Thank you for reading.
