Low interest rates and choice in the market mean it’s an excellent time for first-home buyers to make their move and for investors to add to their property portfolio.
lients eager to get the timing right and anticipate the housing market often ask me when is the best time to buy. I always reply: ‘When you find your dream house and you can afford it.’ That being said, 2020 is definitely shaping up to be a strong market, with all signs pointing to a year of high demand and increasing supply as sellers respond to a gradual lift in prices.
Coupled with some of the lowest interest rates we’ve seen in years, it’s an excellent time for first-home buyers to enter the market and for investors to add to their property portfolio.
Low interest rates and choice in the market are the kind of indicators that convince first-home buyers that now is a good time to enter the market; rather than putting their money into renting a property, they can instead increase their capital. It’s also worth remembering that the property market and interest rates are cyclical – they’ll go up and they’ll come down – so if you are waiting for the perfect time to buy, it’s likely you’ll miss out entirely.
When you do find the perfect house, it’s worth spending a bit of time in the neighbourhood before committing – drop by morning, noon and night and at the weekends to get a feel for the area. Try driving to work from the location to make sure it’s something you could do daily. Is there a good school, supermarket and other services nearby? These are all worthwhile considerations.
While 2020 is shaping up to be a fine year for buyers, we’re also achieving great results for property owners, particularly with auctions. With more properties on the market, sellers will definitely benefit from sprucing up their house so that it’s as desirable as possible.