Should I Sell Now? Or Sell Later?

Making the decision to sell an asset is a major financial decision with long-term implications. While some investors may find it easy to come to a conclusion on when they should sell, others may struggle as they weigh their options between selling now or later.

In this article, we will explore the key considerations you should make before deciding whether you should sell now or later. We will discuss the potential benefits and drawbacks of both scenarios so that you can make the most informed decision possible.

Spring Is Generally A Time For Growth

Spring is the season when market optimism is enjoyed. There's traditionally an uptick in real estate sales due to an influx of sellers as well as improving seal prices. But we haven't seen a real estate play like the one we've been witnessing in this market for some time. There is new data released by Reserve Bank of Australia and CoreLogic that suggests we may be in for some interesting times ahead.

CoreLogic anticipated in this year that higher interest rates and poorer buyer sentiment would hit consumer society differently. Because of the September 4 to September 28 period, there were 35,213 new listings advertised in Australia, up from that period in 2021, 2020 and 2019. The latest CoreLogic data indicates that listings starting to flow more actively in October typically correspond to how slowly it starts to become spring, but nonetheless, the data reveals, once again, that the upcoming 5 years have been in the same general range for spring starts.

Aside from regional South Australia, every community and local region in capital cities and the entire country also experienced a decline in property prices in October. The latest pace has lessened since that time in Sydney and Melbourne. House prices in Brisbane are dropping quicker than they are in any capital.

Markets in several parts of the country have been undergoing different aspects of change in the property market, but those specific trends were viewed to have the most significant potential throughout the upcoming season. Here are some things to watch out for in 2023:

1. New listings and auctions would rise - A sudden surge in demand can bolster prices creating an opportunity risk for those looking to enter the market.

2. The local increase in new listings would differ across regions - Since before the pandemic, campaigns for adding live listings nationally have risen an average of 19.6% between winter and spring. The weather affects peaks and valleys in different cities quite differently, with colder cities like Canberra and Hobart seeing a larger seasonal fluctuation than more temperate cities.

3. The spring bumper-to-bumper sales like in the previous season would not be typical. - Real estate markets are much different in the spring months of 2023. Pressure to buy a house is dropping with rising interest rates, deals are taking longer to sell, and sellers must decrease their prices considerably in order to get deals done.

4. Long-term owners are more likely to sell because they have a tendency toward making small profits if selling in a downturn, and those who have held their property for some time probably made small profits even if it fell in value.

5. Serious sellers will need to be realistic about their price expectations and ensure they have a quality marketing strategy behind the home, probably in a more competitive market throughout spring and early summer.

Home sales for homes in Capital City were down -16.57% over the past year and 3.81% more than the previous five-year baseline for this time of year. Talk over the years about interest rates and prices has been very unlikely for the foreseeable future. It's a matter of not making inflated comparisons. Housing prices throughout the country are well above pre-COVID levels, so the market is still in better shape than before purchasing a home.

So should you take the plunge, or hold off selling?

This can be rather difficult, based on who you are, tastes, and the requirements of your community. Speaking with a real estate professional is a good idea because they will be knowledgeable in the things that are going on in your community and will be able to provide you with the best advice about what you may need.