Recent reports about the market downturn have discouraged so many buyers to purchase a property. However, experts say that contrary to many beliefs right now is the best time. When you think long term, you consider many factors and as you should. Experts are saying that the market downturn is actually quite promising because it may just provide the best buying opportunities for you. Earlier this year, I have talked about why it’s a good time for investors and buyers to take advantage of the market condition in Australia right now because of the record low-interest rates. So, what are other reasons why experts think buying property right now will do you good? Here’s why.
Over the past year, Sydney and Melbourne fell 6.3% and 2.3% respectively according to reports done by UBS—an investment firm. Whereas CoreLogic reports that the annual drop in Sydney and Melbourne in terms of general dwelling reached 9.7 and 8.3 respectively. There is also a prediction that between 2017 to 2019, the biggest fall will be experienced since the 1980s. Although these figures seem worrisome to most people, experts actually point out that it’s not like that at all. In fact, the drop after a price growth for over five years actually opens doors for the kind of market a lot of buyers are actually waiting for. A lot of properties in this current market condition will become more appealing than ever before.
According to property experts, Melbourne inner north properties have like in Brunswick can be snagged at a lesser price than it used to be. A residential property that used to cost $1,000,000 can now be purchased for less. Apartments in great locations can now also be bought at a lower price, and this is also the same with some villas. Compared to opportunities 12 months ago, there is no doubt that there’s better for investors and buyers right now. There have been issues regarding first-time buyers and how most are increasingly wary of purchasing a property right now. However, many experts maintain that the demand is still strong. This bodes well for the market and it’s something that people should really consider.
Investors are also encouraged to become more creative with their strategies. Developer incentives and softer prices are highly encouraged. For example, an offer to pay stamp duty for investors. There are also those that are given a bonus for first-time buyers in addition to what the government’s grant.
I have mentioned recently about the latest exciting development right now which was the BTR or Build-to-Rent sector that refers to building and construction of residential property that is meant for rental purposes. This emerging sector has been pretty huge in the United Kingdom and slowly, Australia has been embracing it too. Because of the strong population growth, good rental units will not be suffering from an oversupply anytime soon. The worst price falls may have taken place but looks like 2019 is going to be a good year for anyone who has been waiting for buying a property of their own or just someone who wants to explore means of investment.