Spring motivates undecided buyers to get off the fence

What's in store for the property market this spring?

It all depends on which geographical and price segment you're in and it depends on what happens to consumer sentiment as that seems to be driving people as to whether they buy or not. For those investors buying in the median-priced inner-city areas, nothing has really changed financially since late 2010/early 2011, but all that demand has been whittled away with general negative thoughts on the economy and has led to most investors sitting on the fence.

They all seem to be sitting on the fence waiting for something to happen one way or the other, and it's always easy to make no decision rather than a decision. As a buyers agency we struggled to buy property in Januar and February, as prices paid were way over the top. July was very quiet but August brought in a lot more cashed-up buyers and September seems the same. Nothing has changed in the buyers' minds, they just seemed more ready, and some of these buyers have saved $700,000 in cash or have been pre-approved to $1.5 million and are looking at buying a couple, so it's not that they're struggling financially.

Spring is often a good time for real estate, sellers are keen to put their properties on the market as the warm weather hits and buyers shrug off the winter blues. We all know the property market moves in cycles and after sitting on a cold fence for the winter I think we'll see more buyers think it's time to jump down and make the most of the reduced demand. No matter how you look at it, if you're a long-term investor this reduced demand has got to mean better buying opportunities. 

How to prepare a house for sale

 The best house doesn't necessarily get the top price, it's the best prepared house and the best selling campaign with the best agent that gets it. There's a reason why the TV shows and the best real estate agencies spend time and money renovating and styling homes - it's because it works. Simply restyling a home can make a 5% to 10% difference to the sale price and you don't necessarily have to spend that much money or have exceptional renovation skills to make those changes.

It's often the simplest and cheapest things that give it the biggest wow factor. If you want to sell your property for the highest possible price you need to identify and understand the demographic that's most likely to purchase it. You then need to highlight your properties most appealing features and fix any features that detracts from that image. 

The simplest and cheapest things to work on first are: paint, carpet, re-polish floors, change light fittings and power points, kitchen cupboard doors (if the carcass is solid), re-enamel/re-paint bath and tiles, replace taps, mow the lawn, put in some plants, paint the front door and garden fence. Be wary of replacing kitchens and bathrooms with a family home as it may not be to the taste of the buyer and they won't want to pay to replace it if they think they've already paid for a new one in the purchase price. If you're selling an investment property it's a great thing to do as long as you stick to neutral palettes. 

Simple styling tips start from a major de-clutter as most people have too much 'stuff'. Depersonalise it by removing 99% of the family pictures and ornaments. Buyers need to see that it could be their home but you still need to show that it is a home rather than a bland project home. Unless you're a part-time interior designer, you may as well leave it to the professionals and bring in their professional items - it often only costs a few thousand dollars. Consider moving before the campaign and defintely don't be around for open inspections. Buyers spot you a mile off, it puts them off, makes them feel uncomfortable and they will move on to the next house. 

Picking the right agent is just as important as styling and renovating your property. The lowest commission might well get the lowest price so choose your agent on skills and personality, not on price.

You can't sell a secret, so spend some money on letting people know you property is for sale and what benefit it may offer. When it comes to the day of auction, the auctioneer is the one that will make you smile or make you cry and so as much due diligence needs to be put into them as choosing the agent. A good auctioneer can get the auction off to a competitive start and a few extra bids at the end can add tens of thousands to your sale price.