The Benefits and Drawbacks of Selling Your Property in Spring
Spring in Melbourne means AFL finals, horse racing, and real estate.
It has been speculated that the real estate market is busiest during this time as the season of new beginnings has everyone thinking of their future prospects. On a more practical level, more properties are sold in Melbourne during the spring months of September, October and November than during any other season and the house prices generally tend to be higher in those months. However, data doesn’t tell the whole story and depending on your situation, spring may not be the best time to sell your property. In this article, we’ll take a look at the different factors you need to take into consideration when deciding which season is the right one to put your property on the market.
Because everyone knows that spring is the time to sell, there’s a good chance that if you decide to sell in this season, you will be competing against a larger number of houses for sale in your neighbourhood. This can be a good or bad thing depending on how your property compares with the other properties up for sale.
For example, if you have a property that is comparable or favourable to others in the area and they go to auction before yours does, it sets a price benchmark for your neighbourhood and gives buyers a sense of what’s happening in the market. Another key benefit is that if you are selling your property at the same time as other properties in your suburb, you may get larger volumes of buyers coming into the area to view other properties and stopping by yours along the way.
On the flip side, an abundance of properties for sale enables buyers to be a little pickier and spend a little longer scouting around for a property that ticks off more items on their wish list. In this situation, properties which require renovations or lack some of the big real estate drawcards (i.e. air conditioning, garage, backyard, solar panels, dishwasher) may be passed over. This lack of urgency on the part of buyers is reflected in auction clearance rates, which tend to drop in spring. According to CoreLogic, Melbourne’s clearance rate for the first full week of October was just 54.44%.
The Features of Your Home
When thinking about the best season to sell your home, it pays to ask yourself which season do you most enjoy living in your home?
Spring is ideal for properties where ‘curb appeal’ is a key selling point. In spring, everything is in bloom, so gardens and lawns look their best, whilst the clear spring light shows off a new paint job to great effect. Houses with alfresco entertaining areas, pergolas and pools also sell better in the warmer months, when buyers’ thoughts drift to outdoor living and social events.
For older properties in cooler climates, often a key selling point is creating a sense of hygge (cosiness and warmth) through highlighting elements such as fireplaces or more practical features like eco-friendly insulation. Whilst you might be able to create this atmosphere when it’s 25 degrees outside in October, it won’t have the same impact as it might during Autumn when the leaves are falling and the nights are becoming chillier. Similarly, houses which have large north facing windows that drink in the winter light would be best showcased during the cooler months, as they will likely let in the afternoon glare if shown during spring or summer.
Is it a Buyer’s Market or a Seller’s Market in Your Suburb?
Ultimately, supply and demand on a local level is the most important factor that should influence your decision on when to sell. Take the time to research what the house prices in your suburb are doing, and use those, rather than wider Melbourne selling trends to make your decision. Selling performance can differ significantly suburb to suburb depending on the season. For example, whilst the summer months of December and January are considered ‘slump’ months in the real estate market as it is school holidays, it can be a good time for properties in beachside ‘holiday house’ locations.
The best way to determine how your suburb performs season to season is to work with a local vendor who can interpret local seasonal trends and advise you on the right time to put your property on the market.
Red23 are West Melbourne’s Rambo real estate agents who know everything there is to know about selling real estate in suburbs like Point Cook, Truganina, Tarneit, Hoppers Crossing, Werribee and Williams Landing. We’re the local experts you can count on. Get in touch with us online or by calling 03 8372 2122.