02/05/2024
IF YOU WANT TO MAKE A PROPERTY CHANGE, SHOULD YOU DO IT SOONER OR WAIT FOR A BIT? 🤔
There are MANY old sayings when it comes to Real Estate. A very accurate one, is that ‘the best time to buy Real Estate was yesterday’. This saying has stood the test of time because even with some peaks and troughs along the way, over time, property always goes up in value.
So, what does this mean if you are considering a property change? Should you change now or wait?
If you need to sell, then there is no question that you will sell for an excellent price right now (if you use a good agent – me ‘hint hint’). But when you go to buy your next property, this is why sooner could be better.
If the whole market goes up, let’s say by 5%, and you are upsizing your property, the property you want to buy will normally be higher priced. This will make the changeover amount – the price difference between the two properties, higher the longer you wait. For example – your current property is valued at $600,000 and you want to buy a property that is valued at $900,000. If you do it now, the changeover is theoretically $300,000. If you wait 1 year at 5% growth, the changeover becomes the difference between $630,000 and $945,000 - $315,000. Each month you wait will end up costing an extra $1,250 - $15,000 more for that year.
You would think that the inverse of the above scenario would appl if you are downsizing, however other market forces are at play. As more and more people look to downsize, along with the push to get more first home buyers into the market, this actually also makes downsizing harder the longer you wait. These things, along with the fact that when many people downsize, they tend to want to move to ‘lifestyle’ type properties, which are normally tightly held and sold at a premium price can make it tricky.
So, in reality, if your considering doing any Real Estate in the near future – sooner will always work out better.
The truth is, the BEST time to buy Real Estate, is and always will be, YESTERDAY!
Stone Real Estate Golden Beach, formerly Seaside Real Estate, has been trusted advisors to, and serving the greater Caloundra Community for over 25. We truly care that every client has the best Real Estate experience of their life when they work with us.
At Stone Real Estate Golden Beach, YOU are our WHY! 🫶