Generally speaking, when the market is doing well;
Auction clearance rates and property prices are higher and days on market are lower.
More finance and lending is required to fund higher demand and growing prices.
Extensions and renovation building projects get a boost – If people aren’t selling, they’re either renovating or doing nothing.
Development applications and approvals are higher and construction increases due to demand.
Now, on the flip side.
When the market is slow;
Auction clearance rates and property prices drop and days on market increase.
Finance and lending is tightened due to deflating prices and lower confidence.
Extension and renovation building projects slow down.
Development applications and approvals lower and construction decreases.
Sure, there’s always exceptions to the above, however, working with the market and not against it can benefit you in the long run, regardless of where you are in the market.
Working with what the agent suggests, what the market is saying and what you understand yourself should help to guide you in the right direction to making your own calculated decision on what you believe to be is the best option for you.
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This information is of a general nature only and does not take into account your objectives, financial situation or needs. We are not financial, legal or tax advisers. You should seek appropriate professional advice specific to you before acting on this information.
