Avoiding the buyer blues...

Most of the articles we have written in the past have been focused on helping people who want to sell. That’s probably no accident as real estate agents (myself included) are obsessed about helping and finding sellers.

This month I wanted to write something that focused on arguably the most mistreated and neglected creature in the real estate market – the buyer.

If you are a buyer out there in today’s market, I don’t envy you. The market is white hot, agents are back to boom time attitudes and it’s almost impossible to work out what a property is worth let alone what it looks like in real life (thanks to wide angle lenses).

Let’s face it – it’s a sellers’ market, and unfortunately if you’re a buyer, that makes life pretty tough. So where do we start?

Firstly, if you are looking to buy a home or an investment property – research is paramount. In my view, the best thing you can do is choose an area and get to know it inside out. It’s very difficult, and can be a disservice, to compare apartments in Kirribilli to houses in Killarney Heights – it will just confuse you. Find out what key attributes affect values; for example, being close to the train station in Waverton is as important as being near a ferry wharf in Neutral Bay. Researching a specific area will empower you to make a quick buying decision when you find the right property – and believe me, in this market you have to be quick.

Secondly, get ready before you start looking. Ensure your finances are in order and have a good conveyancer and/or solicitor ready to go. The best buyers get the best properties and that’s because they are ready. It’s no secret that sellers and agents won’t wait if there is a ‘bird in the hand.’

Finally, get realistic. Often people talk about sellers being unrealistic but there are a lot of buyers walking around week in and week out looking for a property at a price that doesn’t exist in the current market. Subscribe to house price reports, keep track of recent sales, and I’m sad to say this but be skeptical about what selling agents say with price guides. If it sounds too cheap to be true, then it probably is.

If you look in a specific area and a particular price range, it won’t be long before you are very familiar with that part of the market. And if you know your stuff and are ready to buy you will invariably save yourself months of heartache and hard earned savings (eg you won’t be spending money doing due diligence on properties that you can’t afford).

 A final word: be patient and be prepared to pay a good price for a good property -  if you don’t someone else will!

 

 

David Murphy owns an independent real estate agency in Sydney’s lower north shore – feel free to call ON 02 9968 2088 or email with questions david@davidmurphy.com.au