Spring buying guide: What home buyers need to do to secure a property this year

Spring has long been a peak time for real estate – gardens are blooming with fresh buds, sellers are out prettying up their homes, fixing the wobbly back steps and adding a fresh coat of paint to interiors, and prospective house buyers are on the hunt for that perfect property.  

But the coronavirus pandemic changed the game for many industries, none more so than real estate. International and state border closures, travel restrictions and a ban on in-person open homes and auctions meant the industry had to embrace technology to move forward.

Virtual auctions and house inspections over FaceTime or Zoom have become the new norm and will likely work alongside traditional methods once restrictions ease further around the country, meaning property transactions still can and will occur.

Here’s what buyers need to do to ensure they nab that sale this season:

Do extensive online research

Gone are the days when there was an endless stream of potential buyers filing in and out of open homes, battling for a peek at the wardrobes in the main bedroom or testing the water pressure in the bathroom. 

Now, numbers are restricted according to coronavirus regulations in each state, and agents and house hunters need to be conscious of this during the pandemic.

Jon Snead, property partner at The Agency Lower North Shore, recommends buyers do extensive online research and speak to agents before physically going to inspect a property.  

“We as agents have got to be very aware and very thorough in our implementation of social distancing – having people coming around browsing and touching things when they’re not ready to buy is not good for anybody. It’s not a time to just be going out and about looking at nice properties,” Snead says.

“Speak to more agents on the phone, ask questions of local agents in the market you’re looking in. There are plenty of sales in each individual price bracket that will give you an idea of the type of thing that you can expect to buy for your particular budget.”

Victorian-based agent and auctioneer Tim Heavyside from Fletchers believes physically inspecting a home is still very important.

Although that’s not possible in Victoria right now, he says digital tours are enough for in-tune buyers. He recently sold a property in Box Hill with the help of a successful video inspection.

“The buyers bought the property based on the listing photos and floor plan, and I did an extensive video tour on my phone – it was enough for them to engage and move forward with the buying decision and purchase the property,” Heavyside says.

Current travel restrictions certainly makes things a little more difficult for those looking to purchase interstate and Buyers Buyers co-founder Peter Wargent says it’s important to use someone local who understands that market when considering such a high-value purchase.

“There’s always a question mark around whether buying sight unseen is a smart way to go and I would say there’s an extra level of risk there,” Wargents says.

“There will always be something you haven’t thought of – power lines, traffic noise, the intangible things like the feel of the neighbourhood, you can’t get all of that stuff on Google maps.”

Be ahead of the game

Often prospective buyers get caught up in looking for the perfect property in the right location and while this is certainly important, a crucial step is to have your finances in order first so you know your budget and your limits.

“If buyers want to put themselves in a strong position this spring, they can only do that when they’re armed with pre-approval and they know what their budget is,” says Snead.

“There’s no point in talking to agents about price, about what the owner would accept, about what’s going to happen at auction – there’s no point getting involved in those conversations because finance takes too long to get.”

Principal of Belle Property Lane Cove James Bennett agrees, adding potential buyers may be doing themselves a disservice if they jump the gun on making an offer.

“A buyer that isn’t finance-approved who makes an offer may induce other buyers who are ready to make offers,” Bennett says.

“Don’t make an offer thinking you’ll be ready to go in three days’ time. An agent may be able to pull another buyer out of the woodwork and if they’re ready to go and you’re not, you’ll lose it – and you’ll be the reason negotiations started in the first place.

“Buyers should be ready to exchange first before they make offers and they should exchange quickly once they’ve got an offer accepted.”

Act decisively

It’s been an uncertain time in the market since the start of the coronavirus pandemic, but agents say while this will likely be a tighter selling season, they are seeing buyer confidence return.

“People are still buying property during the stage four lockdown [in Victoria], so you don’t have to wait. Other buyers could potentially be getting in front of you by making that buying decision now,” Heavyside says. 

“There are two questions to ask yourself as a buyer: am I buying a property for the market or buying a property for my life? If you’re buying a property for your life, and you see a property that’s a seven or eight out of 10, move forward on it.”

Bennett believes there may be fewer sellers on the market due to the uncertainty around what’s going to happen in the new year. 

“There will be a little more stock to look at compared to the rest of the year, but buyers need to know that things will remain tight, and if they see a good property they need to go for it,” he says.

Know your strategy

There is no right or wrong way when it comes to securing a property but it’s crucial to know what you’re up against.

When it comes to auctions, you don’t want to work out what you’re going to do in the moment. Heavyside says, “Generally you’ll freeze.”

Online auctions are very different to the theatre of a street auction and different strategies can be used virtually – with some preferring to bid with a paddle with audio, others simply raising their hand up, and some typing in their bid.

“In iso-one we were seeing a lot of pass in and negotiations, but this time we’re seeing more homes sell under the hammer and I think it’s because buyers are feeling more confident about the process,” Heavyside says.

Bennett adds: “Auctions are good because they’re transparent and for most buyers would be the better strategy, but it really depends on the type of property.

“For most buyers, a tip would be, if you think it’s got all the things that you like, the chances are it’s got all the things that somebody else likes and the likelihood is you’ll have company on auction day. 

“If you think the property is a little outside the box and you might be able to get it for a better price, I think making offers is a stronger strategy.”