Waiting for Proof the Perth Market has Bottomed (You may want to rethink your strategy)
Homebuyers and investors waiting for proof the market has bottomed out may want to re-think their strategy.
The practice of sitting back and waiting for confirmation the market has definitely bottomed out could be a costly move.
Many buyers want to have certainty, so they stay away from the market until they see strong evidence of price growth across the board.
This tendency means when the market is at around the bottom, there are less takers and it can present the perfect opportunity for astute buyers to potentially snap up a bargain from a keen seller and give you a head start on others.
Making the most out of property investing is about the right property choice and time spent in the market, rather than trying to time the market – and this is certainly true for the Perth market right now, so if you delay buying, you risk missing out.
Selecting your ideal property
However, buyers must remain aware that just because there are properties available does not mean they are good investments and selecting the right property is crucial. Similarly, some sellers are still asking too much, and those overpriced properties will be left sitting even as the market turns.
The majority of our enquiries are for add-value properties – those where the price is good to start with and then offer potential for adding value quickly, making it even better. People are wanting to be more in charge of their own destinies – I guess because the market has messed them around a little in the last few years.
So being back in control of decisions relating to their financial security and future is paramount in the minds of investors in the Perth market. Self-Managed Superannuation Fund buyers, and those people looking to escape the rat race through investment are key players at present.
They are buying now because sentiment is turning and for the good properties there is already competition, meaning prices may soon start to edge up.
Choosing the right suburb
Choosing the right suburb is critical. Areas close to the city, the ocean or river are where people most want to live. Next best is having easy access to these lifestyle attractions along with others such as shops and cafes.
Being close to work opportunities and good schools ranks highly and fly-in fly-out workers want easy access to the airport.
Areas that have good long-term prospects – not just flavour of the month and not just because next year is expected to be good – you need it to continue being good.
Also, where you can get good add value opportunities, whether they be renovation, subdivision, development, future rezoning or just that extra X-factor that sets it apart from others.
If you want more information about property investing, why not read our Property Investing Beginner’s Guide eBook.
If you’re not sure what type of strategy would best for you or you would like to learn more about different strategies, why not download our 4 Strategies to Success fact sheet.
Or, if you’re ready to talk about buying your first home, why not complete our Getting Started form to get the ball rolling.
If you’re ready to invest and you’ve got any questions about finance, call us for a free Financial Health Check: 08·9381·7450 or download our Finance Services information.
We can help you unlock the potential of the real estate market for your family through savvy property selection, negotiation on price and conditions, development expertise and the magic of robust research.
Regardless of market conditions, our research, local knowledge, and access to silent sales means we find the hidden gems that can outperform the market in capital growth and rental returns for long term wealth creation.
Importantly, we’re able to provide property investors and homebuyers with the same level of representation that property sellers have benefited from for years.
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