The trend of homeowners selling houses privately has become popular globally mainly because it is convenient and helps owners save on the agent’s commission.
However, before selling a home privately, it is imperative that the owner does sufficient groundwork. In case you have a home to sell in Melbourne, you will need to study the real estate trends in the city.
Real estate in Australia has been going through a downturn in recent times. Therefore, if you are considering private house sales Melbourne, an in-depth analysis of the real estate in Melbourne will definitely help clear the clouds and plan your sales.
Here are a few insights into the housing market of Melbourne which can help homeowners selling houses strategise their sales:
The Melbourne property market had peaked in November 2017. But they had come down by 11.1% by May 2019. The median sales price in Melbourne was $785 k, which has dipped 1.1% in the last quarter.
Besides, there were 25% lesser sales compared to 2018. This indicates that sellers are holding back their properties unless they really need to sell.
The reason for this could be the confusion that existed before the elections regarding the elected government’s stand on real estate.
However, the coming of the Coalition government has cleared some of these clouds.
The coalition government has introduced incentives to encourage first-time homebuyers to buy homes.
Besides, the falling interest rates and APRA loosening restrictions on lending is expected to further boost the real estate transactions all over Australia.
In addition to these, the Melbourne housing sector specifically has many positives to look at:
- The state of Victoria has recorded the highest growth in population which will increase the demands for homes. Melbourne, being the capital city, is bound to benefit the most from this.
- Two of the most sought-after cities in Australian for migrants are Sydney and Melbourne. The real estate in Melbourne is cheaper than in Sydney. Hence, Melbourne is expected to attract more buyers.
- Another factor that makes Melbourne attractive to residents is that it has the lowest unemployment.
- The state and federal governments are investing heavily in various projects in the state.
- The economy of Melbourne is one of the strongest in Australia.
Due to all these reasons, experts such as Domain economist Trent Wiltshire forecast a 1% rise in house prices in 2019 and 1-3% in 2020.
The Melbourne property market has already picked up in some suburbs and others are likely to follow suit.
What does this imply for the private house sales in Melbourne?
The first thing we can conclude is that the market just opening and it will take time for it to stabilise. Ideally, an owner should wait for the market to pick up before he plans the sale of his property.
Under the current circumstances, the demand is low and buyers are also waiting for the conditions to improve.
What exactly does “improved market conditions imply?”
As far as the buyers are concerned, they will have more options as more sellers come into the market. Hence, they can dictate their terms.
Besides, the cut in interest rates and better borrowing conditions will motivate the buyers to purchase homes.
As far as the sellers are concerned, they are expecting the property prices to increase and so they can sell at a higher price. There will also be an increase in the number of buyers.
If we look from the sellers’ point of view, as the property prices increase, so will the competition. The onus is now on the seller to decide when exactly it is a good time to sell his home in Melbourne.
Also, the real estate trends of the specific suburb where the home is will determine the right time to sell the property.
Once, you have decided on the right time to sell your home, the next question is, “How to sell your home in Melbourne?”
You have two options:
1.With the Help of a Real Estate Agent
This is the traditional method of selling a home where the seller outsources the entire sales process to a real estate agent.
The agent lists the property on property listing websites, promotes the property, prices it, arranges viewings, negotiates, and closes the deal.
This method saves the time and efforts of the owner. However, on the flip side, it is an expensive method. The owner needs to pay a % of the total amount of the deal as a commission to the agent.
2.Private House Sales Melbourne
Private house sales implies the homeowner selling the home without hiring an agent.
In this method, the owner lists his home on a property listing portal and promotes it. He prices it and negotiates the price himself.
This method requires the owner to dedicate his time and efforts to the process. However, it helps the owner save substantial sums and enhance his gains.
Why is private house sales Melbourne, the best option to sell a home?
If an owner is in a pressing need to sell his home under the present market conditions, it is better for him to sell it without an agent.
Private house sales Melbourne is beneficial because when the property prices are at a low, hiring an agent implies sharing the profits with him. This will further reduce your returns from the deal.
Also, under the current circumstances, the marketing approach for the property is an important factor. Since you know your property best, you are best equipped to market it. When you market your home on your own, you can add a personal touch to marketing.
You can establish a rapport with the buyer and market the home to him according to his needs. This increases your chances of a successful sale.
You can also gauge the inclination of the prospective buyer towards your home and experiment with prices.
For private house sales in Melbourne, you need to select a property portal carefully. There are specific property portals which are meant for selling homes without agents. Some leading property listing websites are owner.com.au, real estate.com.au, etc. which have a wide reach. Make sure to choose property listing websites that have a wide reach.
Data reveals that poor listing is an important factor for a property not getting sold. It is important to be aware that your potential buyers exist online. And, your listing is the impression they carry of your property. Hence, make sure that you list your property so that it catches the attention of the prospective buyers.
You can list your home on these and other property portals by uploading:
- A brief description of your house that carries all the details such as the area, number of rooms, etc. Make sure to write a catchy description which is not too long. It should be precise and should provide the relevant information.
- High-quality photographs taken from different angles to give a clear view of the home.
- You can also include a virtual tour of the home to enhance the marketability of your home.
Share your listing on multiple websites and social media sites. This will increase the exposure of your listing. You need to reach out to a global audience when you share your listing because Melbourne is a popular city for migrants and investors.
Author Bio: Jodie Kelly from Minus the Agent is the author of this article. Minus the Agent is a property listing portal which has a wide reach. It enables homeowners selling houses to sell without an agent and save on the agent’s commission. The site provides all the support to equip the owner to sell a home independently.