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Turning of the Tide

By Dan Sowden

The change of tide or change in market is synonymous with one thing- something is about to happen! In surfing terms it can mean the difference between the swell hitting a point and pitching well, or missing it completely; leaving you aimlessly on your board bobbing around.

In the last week we have noticed a new and definitive trend emerging with 4 of our auction properties selling prior. We know that properties sell prior to auction for two simple reasons.

a) The buyer believes they need to act quickly to secure the property and a delay will only increase the likelihood of them missing out or needing to pay more.
b) The seller moves quickly to secure an offer from a light footed buyer not prepared to wait around.

Given the current market, it’s our opinion that this new trend of auctions selling prior is a result of the former, with buyers understanding there is less choice available and therefore run the risk by delaying their decision until auction day, where both buyer competition and clearance rates are rising.

Either way, this emerging trend suggests that the market is beginning to turn, the only question remaining is how fast the water will come in?

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