December is a month heavy with expectations of holidays, presents and parties and even in the new COVID world, I think most have high hopes for what the next few weeks will deliver. So, whilst I don’t want to sound like Scrooge, I do caution that we should be careful what we wish for.
To be very honest my caution is one that I repeat regularly throughout the year, not just at Christmas. And my caution is valid for both buyers and vendors. They should be mindful of expecting too much.
It’s relevant to issue the caution now not only in the context of the rising excitement and bustle of the festive season but also because the unexpected buoyancy of the market has, in turn, lead to expectations rising.
My caution stems from the reality that across Sydney our team are finding it is the expectations of both buyers and vendors that are rising. That makes delivering the property wish-list rather more complicated.
Interest rates at record lows and an economy still finding a new equilibrium at the end of a horrific year have driven the belief that buyers are in the box seat when it comes to negotiating a deal and they come expecting a property without compromise.
But vendors too are feeling positive with high expectations on the back of strong reporting and a noticeable gap between supply and demand.
That is not a bad thing. I am all for clients having a clear idea of what they want to achieve and right now it is an exciting, albeit somewhat surprising, market to be navigating.
The role of our team is to support both parties and work to identify the magic meeting point of those, often conflicting, expectations. It is not about lowering expectations as much as it is potentially prioritising them. Our team recognise that communication and information are crucial to ensure buyers and vendors know, understand, and appreciate where they might be prepared to compromise and where is the line beyond which they are not prepared to move.
To maintain the festive theme, I encourage people to think of it along the lines of the reality that Santa doesn’t necessarily bring everything on the Christmas list but what he does deliver is always pretty amazing.