‘Things can change quickly’: How sellers are winning in a buyer’s market

Buyers have more homes to choose from and more time to make a decision, so how can homeowners best position their property to secure a successful sale?

The property market has shifted this year as homebuyers grapple with higher interest rates and property tax changes, while being spoiled for choice in many markets.

There were about 10% more homes on the market in July across the capitals than the same time last year, despite fewer homes being listed for sale, according to the latest realestate.com.au Market Snapshot.

Total listings for sale were higher in July across all the capitals except Darwin and Hobart, with big increases in Brisbane, Adelaide, Perth and Canberra as existing listings take longer to sell.

So in an environment where buyers have more homes to choose from, and less urgency to make a decision, how can homeowners position their properties to get the best result?

Price it appropriately

Sydney real estate and Ray White Upper North Shore director David Walker said pricing a home appropriately was one of the most effective strategies for appealing to active buyers. 

“Be realistic about where the market is and price it in-line with what’s on the market and really recent sales, not prices from 12 months ago,” he said.

How home prices changed around Australia in July

Median home prices in Sydney and Melbourne are about 4% lower than the all-time high reached late last year, while prices in the other capitals are still within about 2% of the peaks reached earlier this year, according to the latest PropTrack Home Price Index.

While it can be hard to come to terms with selling for a price that’s a little lower than was once possible, for vendors who are also buying a property, such as upgrading families, Mr Walker said a dip in prices could be viewed as an opportunity.

Buyers have gravitated towards new or renovated homes that are move-in ready, while homes requiring work haven’t attracted as many bidders, agents say. Picture: realestate.com.au

---

“If you’re buying and selling in the same market, yes you might not get as much as what you hoped, but what you’re buying has come off a bit as well,” he said.

“In Australian real estate, especially Sydney, things can change quickly. It’s a buyer’s market now, but it’s going to move back to a seller’s market quickly.” 

“You don’t want to miss the opportunity to get into a good buyer’s market. A lot of buyers wait and sit on their hands until the market starts picking up and they have the confidence to buy again, but by then the opportunities are more limited.”

Spread the word

It’s often said that you can’t sell a secret, meaning marketing a property far and wide is the key to finding a buyer, especially one who might not be actively looking at new listings coming on the market every day.

Mr Walker said exposing a property to as many potential buyers as possible was crucial in the current market.

Get your realEstimate™

Track your property’s value and unlock insights and data tailored for property owners.

Search an address now

“In a good market, a lot of people try selling off market, or not putting it out in all the different avenues,” he said.

“In the current climate you need to get it to the biggest database possible to find a passive buyer rather than just active buyers.”

Melbourne real estate agent and Marshall White Stonnington director Nicholas Brooks said video was a powerful format that could help properties reach more buyers organically. 

“We see how many times videos get shared or passed to friends and family they know are out looking,” he said. “That’s really helpful.” 

Prioritise presentation

Simple pre-sale preparation can freshen the feel of a property and increase its value in buyers’ eyes.

This could include a coat of paint, fresh carpets and warm lighting to uplift an interior, or neat and tidy lawns and gardens to boost curb appeal.

Adelaide real estate agent and Noakes Nicholas director Simon Noakes said homes that are presented as a finished product were achieving better results than properties needing work.

“Buyers are less excited about doing work, so if you can do that for them, whether it means painting, additional gardening or general maintenance of the property, it’s going to be better received than a buyer having a long list of things to do to get it towards what they wanted,” he said.

Simple enhancements like paint can improve the kerb appeal of a property. Picture: realestate.com.au/sold

---

Mr Brooks going the extra mile to present a home in its best light was crucial in the current market.

“If you’re not competing on presentation then you’ve got to start competing on price,” he said.

Professionally styling a property to highlight its best attributes can pay off, Mr Brooks said.

“We say to owners if you’re going to move furniture anyway, you might as well do it at a time that financially rewards you for doing so.”

Styling a home doesn’t have to mean going completely neutral, with buyers often attracted to homes with personality. Picture: realestate.com.au/sold

---

However, pre-sale preparation doesn’t have to mean muting a home’s personality entirely, Mr Brooks said.

“You want to avoid being in a sea of sameness where everything looks identical,” he said. “Buyers value warmth and authenticity in a home.”

It’s also wise to remove any barriers to a sale. Arranging a building and pest inspection and providing interested buyers with reports can help put minds at ease, and if an inspection uncovers any red flags, these can be remedied prior to listing.

Be flexible

Meeting buyers in the middle can help get a sale across the line, but there are ways to be flexible without lowering the price.

Offering terms such as an extended settlement or being open to offers subject to the sale of the buyer’s own property could help seal the deal, Mr Noakes said.

“Most of the buyers have a house to sell, and they’re dealing with the same challenges any seller is dealing with,” he said. “There’s far more flexibility with conditions and settlement than there has ever been.”

Deciding whether to accept an early offer or wait for a higher price could come down to the individual property, Mr Noakes said.

“For different clients we’re recommending different strategies,” he said. “Sometimes it’s taking a good offer early on, but sometimes we’re getting the best price by patience. Sometimes we just need to wait for the right buyer to come along.”