When the Federal Government extended the first home grant in May till September 30th the pressure was taken off first home buyers. This has resulted in a wait and see philosophy for many.
This approach was adopted late last year when many buyers just didn’t commit to buying because they had “lots of time to find the perfect home”. As a result March and April saw a flurry of activity in the market place the grant was running out on June 30th. Many homes were having multiple offers and again we were seeing inflated prices due to demand. Time lines cause pressure, pressure causes demand. Demand out strips supply prices inflate. Its SIMPLE.
Last week-end I was at the cold face of real estate as normal open homes and private inspections and this wait and see mentality was expressed to me once again by several first home buyers. “We have three months to find the perfect home, we are not in a rush.”
If history is anything to go by once again we can expect to see a last minute rush and inflated market.
My advise to buyers is don’t be one of the herd, make business decisions and you may be able to buy exceptionally well prior to the last minute rush.
Sellers, herd mentality by buyers will work in your favour. If you are thinking of selling take the opportunity to meet the last minute first home owners rush.
For more information on buying and seller comment on this blog or phone Madeleine direct 0413733617.