By Paul Reed
PRD Nationwide Hobart
THERE is a great misconception that the winter months are not the best time to sell a property and that you should aim to enter the market in spring.
It is true that spring months do tend to see property transactions increase compared to the previous winter months.
However, increased activity in the market means that you as a homeowner wanting to sell could be subject to competition from other properties in your area.
As an owner, would you not prefer to have the least amount of competition on the market against your own home?
Hobart and surrounds has been getting some great publicity about its affordability for mainland purchasers and the higher rental yields compared to other areas of Australia.
This increased publicity for Hobart has seen more buyers entering the local market looking to acquire properties.
Naturally, with more buyers entering local property markets, we see property demand increase and in some cases, the demand can outweigh supply.
In the situation where a desirable property hits the market, you can have what is called “competitive tension”, where multiple buyers are all competing to purchase the same property.
Competitive tension in a local property market is an ideal situation for a property owner.
In a competitive tension market, you can sometimes have the added benefit where the sale price exceeds the market expectation and, in some circumstances, an abundance of competing offers on one property could see a property set a new price record for the suburb.
Throughout the winter months, we will see buyers still out looking for property with a mix of local and interstate purchasers.
If there are less homeowners willing to put their property on the market before the warmer months, wouldn’t it be within your best interests to take full advantage?
With less competition and a bigger buyer pool, you could take full advantage of trying to achieve the best possible price for your property.
So depending on the market conditions, winter could be a perfect time for you to take advantage of being on the market.
Suburb market update
This month we focus on the suburbs of Lindisfarne, Cambridge and Bellerive.
For a 12-month rolling average to March, the median house price is $455,000 for Lindisfarne, $340,000 for Cambridge and $452,250 for Bellerive.