My top 3 predictions of change for a Post-COVID 19 residential market

My top 3 predictions of change for a Post-COVID 19 residential market
My top 3 predictions of change for a Post-COVID 19 residential market

Compassion:

My office has been inundated with requests for rental discounts from tenants who may (and some who may not) be in financial strife. “I’ve lost my job”. “I can’t pay my rent”, is the general theme here.

Yes, it is an issue that we are all facing and dealing with in the best way we all can as property managers, but the one of the things that has surprised me out of the whirlwind 2nd half of the financial year is the compassion our Landlord clients are showing those in need, and even sometimes extending it to those, that are not in need.

During the post Covid hangover, compassion will continue to play a vital part, in what history has shown can be a very greedy game. A welcome refreshing change in a tenant / landlord relationship.

Innovation:

At the time of writing this, agents literally have no way of conducting public property auctions other than utilising online digital solutions. Digital property auctions are now a mishmash of utilising the oldest selling technique known to property, paired to the new age of digital communication.

Yes we have had the tools there to do it for years. We’ve even had various start-ups hounding our sales guys & Corporate offices to come to the next office meeting to do a spiel on their ‘game changer’ auction delivery system. But no one has properly adapted it as there was no real need to, if it ain't broke, don’t fix it right?

Well now it's broke. And all of those start ups are enjoying their moment in the sun, albeit potentially short lived but still they are prospering, lets just hope that digital live streamed auctions are here to stay as it is a terrific way of doing business. Traders have been transacting everything from art to automobiles, and everything in between utilising this method.

Mal James, a popular Buyer advocate from the leafy suburbs of Melbourne (my market place) quite rightly mentioned in his blog yesterday, that a more uniform industry wide platform should be implemented. Not sure if that will ever happen, but all industry eyes on this space right now- that’s for sure.

Market Rebound:

Everyone knows it is coming, there were a few days back in late March and early April this year where the uncertainty and anxiety was almost out of control. Far higher than it is now.

Some of the streets were like a scene out of The Walking Dead.

The question now is: When will it happen?

If the GFC rebound curve is anything to go by; it will be short, sharp and quick. As one of my colleagues always says, “They don’t ring a bell at the bottom of the market”.

Some questions that are running through my head:

• Will Australia’s (quite admirable) handling and control of the pandemic lead to greater international interest in our property market? 
• Is the sudden drastic change to our economy here to stay, or will it be back to normal in a few month’s time? 
• First the fires, then the pandemic – does that mean there is a huge backlog of transactions waiting to occur from both buyers and sellers that are waiting for more stability? 

As we enter the early stages of recovery, one thing is for sure: I have a new appreciation for the government and our healthcare workers.

Greg Bowring

Greg Bowring

Greg Bowring is a Licensed Estate Agent at Noel Jones Camberwell, and has practiced his trade throughout the inner eastern suburbs of Melbourne for many years. Greg is often sought for comment by major media outlets relating to real estate matters, and has appeared on Channel 9’s ‘The Block’.

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