Why speed isn’t the answer when looking to buy property, especially now

As a seasoned Buyer’s Agent, I have seen firsthand the pitfalls of rushing into a property purchase. The market is constantly changing, and what might seem like a golden opportunity today could turn sour tomorrow.

No one wants buyers remorse when it comes to property!

Unfortunately, navigating today’s competitive property market can create pressing urgencies that many buyers experience fuelled by the “fear of missing out” (FOMO), driven by sensational news reports, market speculation and the relentless rise in property prices.

That’s why I advocate for a patient, strategic approach — especially in today’s complex market.

Market Noise vs. Reality

The Australian property market continues to show mixed signals. While some housing markets experienced a downturn in the September quarter, Darwin led the decline with a 1.3% drop in dwelling values. Canberra, Hobart, and Melbourne also recorded declines over the quarter, while other capitals experienced varying degrees of growth.

Nationally, housing values rose by 0.3% to $809,849 in October 2024, marking the 21st consecutive month of growth. While impulse rush may seem beneficial, I highly suggest a more careful and deliberate approach to yield better long-term results.

A knowledgeable buyer’s agent serves as an essential filter, helping clients navigate these complexities without leaning into hasty decisions that may lead to regret.

The Cost of Impatience: Financial and Emotional Loss

Impatience in the property market can lead to significant financial losses if you buy the wrong property.

On the other hand, buyers who repeatedly redo pre-approvals may find themselves priced out as property values continue to rise during their wait.

CoreLogic data shows that while some markets are cooling, the mid-sized capitals like Brisbane, Perth and Adelaide have shown strong price growth, which could further complicate a buyer’s position.

A skilled agent can quickly identify properties that do not meet client needs, ensuring that only carefully considered options are presented.

Buyer’s Remorse and Why Quality Over Speed Matters

Buyer’s remorse often stems from impulsive decisions made under pressure.

A compelling example of this is the case of a doctor who had a significant income but lacked a clear strategy for his property investments. His goal was to amass 10 properties, thinking that larger numbers would automatically equate to better returns. This belief, combined with a sense of urgency and the pressure of seeing property prices climb, led him to make several rushed decisions.

He didn’t focus on the quality or the specific potential for capital growth and rental yield that each property could offer. Instead, he was more focused on the quantity.

The right property is not always the first available or the quickest to secure; it must meet specific needs and objectives.

Case Study Example: The Dangers of Settling for Convenience

The Situation:

A high-net-worth client based in Sydney approached me to explore a new property purchase in New South Wales.

Based on our previous collaborations, I knew his investment strategy and long-term goals, so I took the time to analyse them thoroughly to match his needs. My initial assessment revealed several red flags like:

• A high price point compared to the potential Return on Investment (ROI)
• The area has limited growth prospects
• The property’s potential for ongoing maintenance seems substantial.

Despite my recommendations, the client went ahead with another buyer’s agent. This agent, promising a wealth of market intelligence, sent numerous “fancy” reports presenting seemingly sound investment opportunities. The client, feeling pressured and unsure, ultimately decided to give in to one of the options.

The Aftermath:

The property he ended up with was far from the ideal investment. It turned out to be high maintenance, with poor returns and substantial costs for repairs and upgrades.

After experiencing buyer’s remorse, the client reached out to me again – this time with the intent to purchase another property. The client wanted to explore new opportunities, but this time, he wanted to be certain the investment would align with his financial goals.

Time in the Market, Not Timing the Market

Success in real estate lies in spending time understanding the market rather than rushing to secure any available property.

Potential buyers should consider how a buyer’s agent can protect them from impulsive decisions and guide them toward thoughtful purchases backed by research.

Are you considering buying or investing in the property market of the Sunshine Coast, Hervey Bay or Southeast Queensland?

If so, I’m here to help you navigate this exciting opportunity.

At Worth Property Investing, my team and I are genuinely passionate about guiding you toward making the right investment choices that align with your financial goals and lifestyle aspirations.

If you’re ready to take the next step in your property journey, I invite you to contact me for a consultation. Together, we can discuss how a buyer’s agent can support you in making a patient, quality-driven property purchase that meets your needs and aspirations.

Reach out today!

Please note: This article is not to be considered financial advice and is not intended as financial advice as it does not take into account your specific circumstances. For specific financial advice, speak to your financial advisor.