SELLING IN THE CURRENT ENVIRONMENT
Click here to view the current Ray White Now report updated 10th August 2020
A large survey of our customers tells us that 35 per cent of them are confused by media coverage of the market, and nearly 40 per cent of those who are looking to sell are worried now is not the right time and will wait to see how the market performs. We are concerned about this. Concerned that our customers might wait, and then potentially come onto the market when there is more property on the market and when economic conditions aren’t as favourable as they are now. With strong buyer activity and less properties on the market for them to choose from than this time last year, we continue to ask the question, “Why would you wait until spring to sell?”
The key reason to list now is to remove as much risk as possible as to what might happen later in the year. There are many economists predicting property prices will decline over the next year or so. There are two basic fundamentals that drive property prices, supply and demand. Many suggest that supply will outweigh demand in the next six to 12 months and possibly longer, creating conditions less favourable for sellers. The factor that is causing us the most concern is that in September, an unprecedented amount of public and private sector stimulus measured in the hundreds of billions of dollars is due to come to an end. Regarding buyers, the withdrawing of government stimulus and the potential for a steep rise in unemployment may result in less buyers having the ability to purchase properties.
The Ray White weekly document, “Ray White Now”, provides important information on current market performance, and further insight why “now” may be better than “later”