Sell Now Or Wait Until Spring?
Spring is traditionally selling season when it comes to Sydney property.
But there are good reasons to list your home for sale this winter instead.
Are you waiting until Spring to get your home on the market? We think there are compelling reasons to list your home this winter instead.
Why Spring has been the traditional selling season
Sydney in Springtime is a great place to be. The weather is warming up (without being as hot as summer), the gardens look at their best and the days are getting longer. Little wonder then that this is generally when a lot of buyers decide to list their homes. It’s also when a lot of buyers come into the market, hoping to get themselves into a new home before the end of the year.
So, typically, there are more buyers and more stock on the market in Spring. We usually see things really start to get busy after the October long weekend and SQM research backs this up too. It shows that in Sydney, October and November are consistently the most popular months for listing a home. For instance, in November 2018, there were 50% more homes on the market than in January 2019 and close to a quarter more than in December or July of that year. Even during the pandemic last year October had the highest number of listings for 2020.
We think, however, if you’re waiting for Spring to list your home, you could be missing a trick. There has rarely been a better time to list your home than right now.
Lack of stock the defining factor in today’s market
As we always say, property values come down to the laws of supply and demand and, as things currently stand, the demand curve is much stronger than the supply curve. Across the board, there is a depth of buyers in the market that we haven’t seen for some time, which makes it a great time to sell.
For example, according to realestate.com.au data, there has been a year-on-year increase of 30% in engaged buyers searching for property in Paddington, and a 40% increase in engaged buyers searching for property in Woollahra.
Low-interest rates and generous government incentives are fuelling the entry-level market, while business confidence, a strong sharemarket and the undeniable appeal of the Eastern Suburbs as a lifestyle destination are driving the premium end.
What we’re not seeing right now is enough stock to satisfy this demand. People just aren’t bringing their properties to market in any great numbers. Listings have never really recovered from the shock of COVID-19.
But we believe that will soon change…
Likely to turn around in Springtime
A lot of potential sellers we’ve been speaking to are stuck in the mindset that Spring is always the best time to list. So they’re holding off until then, hoping not only that their property will look at its best and attract more buyers, but that the property market will continue to rise.
Unfortunately, though, there are no certainties in the property market. While many commentators are forecasting prices to go up, and we’re certainly on an upward trajectory, no one can be absolutely confident they will. Anything could happen between now and then, as the events of the past 19 months have shown.
In any case, the number of buyers around at the moment means that this winter looks a lot like spring.
The very best time to buy or sell
If you see a property that suits your needs, I’d encourage you to put an offer forward and to list your home as soon as you can. Even if you haven’t found a place that you want to move into, it could pay to list sooner rather than later.
There is a strong argument that it’s better to be a buyer in Springtime when more properties come to the market, rather than a seller. There’s an equally strong argument that it’s better to sell in winter when you have fewer competitors, rather than in spring when you’re likely to have many. You could always negotiate a longer-than-usual settlement period and give yourself the opportunity to find a home between now and then so that you time your settlements simultaneously.
Ultimately, the best time to buy or sell isn’t any season. The best time to sell is when it suits you.
If you’d like advice on buying or selling in today’s market, get in touch.