There is a phrase that says “a rising tide lifts all boats” and I think of it regularly in terms of my work. Commentary on the residential property market is predominantly very general. We are presented with numbers that show the market is rising or easing and while I recognise the validity and reality of the stats, I am always at pains to highlight to clients that exceptions always exist. The general mood doesn’t automatically determine the material outcome.
Look don’t get me wrong. The mood of the market is important. Right now, vendors do need to be cognisant that potential buyers are increasingly reticent to stretch themselves, or even show their hand by showing an interest. The declining auction clearance rate demonstrates that trend.
However, it doesn’t mean those potential buyers have disappeared. And it doesn’t automatically mean every single property is automatically going to struggle to achieve a good value outcome. There is still a quiet amount of demand and determination to find a property and do a deal.
I acknowledge those deals are not happening with the speed and saturation we have experienced in recent years. It’s why the overall statistics are showing a decline in average transactions, returns and clearance rates.
But remember, an average is just that. There are results still being achieved that are both higher and lower than the average numbers quoted. Yes, auction clearance rates have gone down but again, that doesn’t mean deals are not being done in the days and weeks that follow.
The goal of our team is never to settle for average. The consensus might be that the tide of demand is lowering and therefore impacting the value of every property in the market. Our team will always recognise the mood of the market, but we consider every property we list and manage as unique therefore offering the opportunity and possibility to achieve an above-average outcome.
Regardless of the tide at Morton, our team is ready to create our own wave of positivity, action, and outcomes on behalf of our clients.