Australians that are looking to get their foot on the property ladder should act now, RE/MAX has warned.
According to RE/MAX Western Australia managing director Geoff Baldwin, buyers have been spoiled for choice in recent months. However, the market should rebound to a more even keel in 2011, resulting in less opportunity and more competition between consumers.
“Prices have fallen gradually now for around 3 years which is a longer down cycle than most normal and one that has been exacerbated by the prolonged boom years up to 2007, the global financial crisis and abnormal adjustments to interest rates over the past 18 months have also taken their affect however all the signs are now present for an upswing in buyer activity,” Mr Baldwin said.
“Interest rates have begun to normalise, the WA population continues to grow at a record pace, buyer inquiry is up across all price ranges, rental vacancies are again tightening, rents are increasing, we are seeing more and more under offer stickers on for sale signs around the suburbs, investors are back in the market, the holiday season is finished and people are again focusing on their real estate aspirations.”
As such, Mr Baldwin advised that anyone contemplating buying a property should take action now rather than waiting, having less to choose from and ultimately paying a higher price.
“If you are selling to upgrade, do it now as, although you may sell for less than you will achieve next year, the price gap for your next home is certain to widen if you wait.”