Is 'now' the right time to hit the property ladder (again)?

There's a lot to weigh up and consider when deciding on the right time to sell, and we want to make it easier for you. Everyone has a different reason, but whatever it is for you, the desire to move on is a big deal. You want to make sure the decision you make it well informed.

Read on for ‘food for thought’ ideas, tips and checklists to help you weigh up if you’re really ready to move…or not!

Why Sell?


To make the best decision you can, start by interrogating your motivations. Make a list of the reasons for your move and then take a reality check. Will moving solve these problems?

Make sure you understand your motivations for moving, as well as what moving could be disrupted by making a move.

It's important to learn about the best time to sell, to be sure of your financial position, and to consider the emotional side of ‘upping sticks’ and moving on. You need to view your house as a product in order to be emotionally ready to move on.

When is a good time to sell?

 

The ideal time to sell is when you're under no pressure, allowing you to wait for the price you are hoping for.

Market conditions play a key role in timing, but unless you're moving to an area with different dynamics, you'll likely be both a seller and a buyer - at least temporarily. Look at the supply of properties for sale, as well as average time it takes to sell. When buyer demand rises, properties sell faster and sale prices increase, reflecting vendor confidence.

Seasonality also matters. If your home shines in warmer months with open deck doors and natural light, spring or summer may be ideal. However, if it’s not prone to damp or shade, perhaps taking advantage of the winter months when there are fewer listings (but still plenty of buyers) could allow your home to stand out and reduce competition.

Personal circumstances are equally important. If you have children, consider how a move might impact schooling or extracurricular activities. Have you recently experienced major life changes like a loss or health issues? A stable mindset can help you achieve a better outcome when the time is right.

What is your property worth?


Interest rates and market conditions are always shifting. Are you financially ready to sell? What impact will a move have on your mortgage, rates, or utility costs? Most people start by getting a rough idea of their property’s value before fully committing to the selling process, and we strongly recommend this.

One option is to get an online valuation. This is a quick and easy method to estimate your property’s worth. Valuation tools draw on data such as recent local sales, property size and age, renovations on record, and rateable values. It is important to note that results can vary considerably, depending on the data used by your chosen valuation tool. 

If you're serious about selling, we recommend speaking to a local salesperson and booking a free market appraisal. You’re under no obligation to list with the salesperson who does an appraisal for you.

An appraisal offers a more accurate, personalised valuation and accounts for factors an online tool may miss. Local salespeople are on top of current market trends and will pick up on things that can add thousands of dollars to your property's market value. Beyond the estimate itself, their marketing expertise, negotiation skills, and buyer networks can help you achieve your property’s full potential, far beyond what online tools alone can provide.

Weighing up your options


Depending on your income and ability to service your current mortgage and that of a new property, keeping your current home as a rental property may be an option. This would involve using your current equity as security for a second property while becoming a landlord. This is where a chat with your mortgage broker or bank will really help.

If you love your home and think you will struggle to find something else that ticks all the boxes then consider this as an option. Is it as simple as a fresh lick of paint and new carpeting? Or if it is a substantial renovation that’s required, be sure to work out the numbers and be careful not to overcapitalise.

If creating a rental property empire or renovating fail to tick your boxes, a complete change in property could be what’s on the cards for you. Ask yourself, is the time and money that you spent on your home in line with the amount that you may gain or lose in selling it?

Now what?


Hopefully, this has helped you to organise your thoughts and perhaps highlighted some considerations you hadn't thought about.

It may not be the right time for you, but you have a bit more information to hold in mind now, so that you will have a better idea when the right time does come along.

If you think you are ready to sell, or would like to talk to something about it to learn a bit more, contact your local Professionals office.  We can answer any questions you might have and guide you in the right direction.