If you’ve been looking to buy a property recently, you’d know just how tight the market is at the moment.
One of the reasons as a buyers agency we’ve been seeing house prices increasing in the last few months is simply that there is a lack of quality stock on the market and many buyers that are prepared to fight over those that are listed for sale.
With the property market already hot and not looking like it is going to slow down, you’re going to need to be very proactive to find high-quality properties. The role of a buyers agent is to be the person who is able to both source and identify the very best opportunities for their clients.
If you’re looking to buy a property in the current environment, that there are a few different things you can do to improve your odds.
Know your Budget
When the property market starts to favour the sellers, the onus goes onto the buyer to be organised and ready to buy.
The first thing you’re going to need to do in this market is to know your budget. Understand how much you’re going to be able to spend based on your borrowing capacity or financial position. Having finance pre-approved is a must because you’re going to need to be able to act fast and put in a strong offer.
If you’re working with us in our capacity as buyers agents, this is even more important as we will be able to source opportunities that aren’t widely available. However, you need to make sure you’re going to be able to act quickly and get the deal done.
Look to the Rental Market
As buyers agents, we specialise in being able to bring off-market opportunities to our clients.
One of the most effective ways to do this is by looking at what is coming up on the rental market.
Generally speaking, people who own investment properties and rent them out are commercially minded and understand the business of property. When a property is coming out of lease, the owner of the property might be willing to sell the property. If you don’t ask you don’t know.
Most property managers operate large rent rolls and have new properties coming out of lease on a daily basis. Compare this to properties that are listed for sale and an agency might only have a couple of new properties every week.
An important consideration here is that you don’t want to approach the property manager of the rental property. Property managers won’t want to lose a property from their rent roll and they will also not likely benefit if it sells.
By talking directly to the principal, you stand the best chance of being able to buy the property with far fewer hassles and without the added competition you would get if it was publicly listed for sale.
By expanding your thinking and looking for opportunities where others aren’t, you will maximise your chances of finding a great property. The stock shortages we’re seeing are not likely to improve in the short-term, so you’re going to need to be proactive to find the best opportunities.
As the premier Melbourne-based buyers agency, we specialise in helping our clients find off-market opportunities using these types of strategies and many others.