Purchasing a property mid-festive season might seem unusual, but according to Dream Design Property, “doing so means you avoid the most congested and competitive times of the property market.” Looking at Sydney’s auction clearance rates for 2018, the busiest periods are clear to see; the rate hit a record-breaking high of 62 percent in May, whereas the rate was sitting at a low of 35.8 percent in the first week of December. Experts believe clearance rates will not fully recover until February 2019, and buyers need to take advantage of this now.
A misconception of the property industry is that like many other industries, business shuts down for the holiday period. But according to Zaki Ameer, real estate expert and Founder of Dream Design Property (DDP), “Astute buyers go against the grain and bag a bargain when no one is looking and distracted by the festive season.”
Prior to founding DDP in 2012, Zaki amassed himself a successful portfolio of 10 properties totaling $3 million in just two years. Trialing and testing numerous investment methods along the way, he has since uncovered the most effective tactics to secure the best deals possible.
The team of 25 property professionals at DDP help Australians gain financial freedom utilizing Zaki’s remarkable property investment methods, and are renowned for consistently securing below market value deals for their clients purchasing property. Recently DDP obtained properties for clients at both $80,000 and $50,000 below their bank valuations.
An alternative way to save tens of thousands on a property is to make the purchase over the holiday period. Zaki explains his expert reasons why:
1. Higher seller motivation. The end of the year is often indicative of a time when people are spending more than normal. Between presents, parties and trips both locally and overseas, there is generally more money coming out of peoples’ pockets than going in. For most people with a property on the market at this time of year, selling the property and seeing this money in their bank account is top priority. Since the property market does not peak until around May, those selling in December are willing to accept offers that they would not have previously considered. Sellers would rather accept a lower price rather than keep their property on the market.
2. A significant shift in power. For the majority of the year, sellers hold the power, yet as it creeps closer to the holiday season the control shifts into the hands of buyers. Around December there is less competition between buyers, granting them greater flexibility when negotiating deals and a better chance of securing a bargain. Buyers need to take advantage of this rare power shift and reduction in competition quickly as it does not stay this way for long.
3. The property market never stops. It’s no secret the property market slows down over the festive season. Drops of over 15 percent in auction clearance rates are clear indicators of this. However, the market does not shut up shop completely. In fact, it never comes to a halt. As the masses tend to their holiday shopping, why not go against the grain by taking advantage of the reduced competition and ensuing low property prices, even if it means packing up your tinsel and moving earlier than planned.
4. The need for closure. As the year closes it urges us to tie up loose ends that have unraveled throughout the year. Not only do you become physically inclined to sum everything up but you become mentally reflective and motivated. Sellers tend to really seek emotional closure at the end of the year and feel the pressure to sell before the New Year begins, regardless of the price.
Zaki Ameer explains that ultimately the best time to buy property in Australia was 20 years ago. However, the second best time is now: “The market waits for no man. In the long run, the greatest cost of investing is the cost of doing nothing.”
Zaki Ameer is the Founder of Dream Design Property (DDP Property), a unique wealth creation mentoring program that is designed to help Australians gain financial freedom, offering each client an ongoing personalized service catering to their changing circumstances and needs. DDP has helped its clients purchase nearly 800 properties and has recently launched Dream Design Property Property, offering clients the safest and most cost-effective way to purchase off the plan properties.