As the countdown to the festive season begins, many home buyers should be cautious about feeling pressured to buy before Christmas or risk making a costly mistake they may later regret, warns Australia’s largest professional body of independent buyer’s agents.
Ral Estate Buyers Agents Association (REBAA) president Cate Bakos said the fear of missing out or (FOMO) was infecting many house hunters this December with many anxious buyers missing out as booming auction conditions run hot in major capital city markets.
“There is no doubt FOMO is affecting many people who feel they might be priced out of the market in 2020,” said Ms Bakos.
“In a moving market like this, buyers need to make sure they are buying the right property and not making a costly mistake they will later regret.
“Don’t be afraid of paying a small conservative percentage above what your research shows the property is worth if the property is perfect for your needs, especially if it’s an infrequent kind of listing.
“Waiting it out for another property like it could cost you six months in a moving market.”
Here are REBAA’s tips to overcome FOMO:
Familiarise yourself with the sales agent
Be friendly to the selling agent and tell them what you are looking for. A prepped and realistic buyer is an easier assignment to genuinely assist with.
Have an itinerary
Make sure you have an itinerary for Saturday open for inspections. This is the time you need to maximise your spread of properties and available listings.
Be clear on your brief
Clearly determine where you want to buy and what you want to buy. Cross-check that your budget matches your wish list and separate your essential ‘must-haves’ from your ‘nice to haves’.
Don’t compromise on your ‘must-have’s
Do not buy something that doesn’t have every “must-have”. It will lead to regret, a likely sale, and lost opportunity. FOMO is dangerous if you start compromising on things you shouldn’t.
Analyse comparable sales data
Analyse value from recent comparable sales so that you know the right price to pay to build confidence around negotiations.
Hire a professional
If you aren’t feeling up to the task, hire a professional who buys property for a living. A REBAA accredited buyer’s agent can help save you time and money in the property search. They are experts in searching, evaluating and negotiating property and work on behalf of property buyers independent of commission. Visit www.rebaa.com.au for a full list of national members.