12 August 2022
Buying property isn’t something to do on a whim, but you also don’t want to get stuck sitting on the fence forever. If you’re wondering how to tell when it’s the right time to get into the market, these could be the signs you’re looking for…
Your home isn’t your happy place?
Is your neighbour’s new dog also your new alarm clock? Maybe you’re just sick of having to pack padkos to survive the drive to work. Either way, the moment your home stops being your happy place, it’s a good time to think about making a move.
“A home should be a sanctuary,” says Tony Clarke, MD of the Rawson Property Group. “That means
different things at different times in your life – don’t be afraid to move on when your needs have changed. New jobs, expanding families, more travel, less office time – all these things and more can make a very real difference to what you need from your home.”
You can’t resist a bargain
There are opportunities in every market, but some are easier to spot than others. Right now, low prices, plenty of stock, and lots of motivated sellers means buyers have a good chance of snapping up a bargain.
“Interest rates are rising,” warns Clarke, “so don’t buy at the peak of your affordability. That said, finance is still very reasonable in the grand scheme of things, and banks are giving pretty good rates to buyers with strong applications.”
Find out how much of a good thing you can afford and boost your chances of bagging the bargain – get prequalified today.
You’re ready for commitment
Needing a fresh start is one thing. Sticking that fresh start out for several years is another. Buying a property isn’t a short-term commitment, so you need to think your move all the way through.
“For property to pay off as an investment, you usually need to hold onto it for five to ten years,” says Clarke. “That makes it important to know where you’re likely to be in the future, and choose a property that supports those life goals.”
In other words, if the love of your life has seven kids and an eye on making you their step-mom, that one-bedroomed apartment may not be the best long-term choice.
Your finances are stable
Property isn’t just an emotional and lifestyle commitment. It’s also a pretty big financial deal. Unless you’ve got millions stashed away somewhere, you’re going to be signing up for a 20- or 30-year loan term. That’s a lot of monthly repayments to plan for.
“A stable source of income is really important, not only for your own peace of mind, but also to get the best possible interest rates from your lender,” says Clarke. “You’re also going to want to get a handle on any bad spending habits. If you can safely ditch the credit card and still handle a few unexpected expenses, you’re probably ready for a property purchase.”
Not sure you’ve got what it takes? Get expert help prepping and polishing your financial profile.
You want a low-risk investment
Whether you’ve been burned by Bitcoin or you’re just tired of watching your savings curl up and die in your bank account, property is a great option for protecting and growing financial freedom.
“Historically, property is one of the safest long term investment options,” says Clarke. “It’s far less volatile than other asset types, retaining its value more reliably in the face of economic pressures and inflation. It typically achieves excellent and consistent capital growth over time, making it a great alternative to traditional savings vehicles as a firm foundation for the creation of future wealth.”
Seen the signs? Time to move? Find your dream home, today.
