A recent Real Estate Sentiment Report from LocalAgentFinder showed that three quarters of property owners who are planning to sell their property are expected to do so over the next two years. In addition, it was also revealed that Australians are attentive to the different issues that surround the property sector.
LocalAgentFinder CEO Matt McCann said that those who were polled prefer to put their properties on sale as soon as possible, due to the weakening market condition and rising rates.
“The survey results suggest that Australians that are looking to sell are looking to do so as soon as possible, so they are likely well aware of the downturn in the market of late,” he noted.
“The prospect of rising interest rates may also be contributing to this view, with over half of respondents saying that they were ‘stressed’ by the prospect of rates increasing.”
When asked if they would opt for a private sale over an auction. Respondents over 55 years old were 400% more likely to choose a private sale.
It was also found that sellers have more confidence in real estate agents more than their family, friends, and property listing websites when it comes to seeking advice regarding property advertising.
Worth highlighting was the idea that around half of respondents believe that agents should shoulder the advertising. Two out of three sellers, meanwhile, were unaware that they could ask the agent to pay for advertising costs. This can translate to a behaviour shift in the market, given that vendors typically cover their own advertising costs.
When selecting an agent, sellers consider the agent’s track record as the most important factor, followed by the strength of the relationship with the agent, the agent’s commission rate, and finally, customer testimonials.
Australians are also extremely sympathetic to the dilemma of first home buyers as 71% of the respondents believed the government is not doing enough to help this group of buyers.
Over half of those who were surveyed even wanted to know the buyer of their property, with two out of three willing to offer a discount to first buyers. Nearly one in four people from this pool were comfortable to cut their property’s price by 5 to 10%.
Mccan associated the thoughtfulness towards first home buyers with the capital gains these sellers had achieved in recent years.
“The same group seems extremely aware of the effect the property boom has had on first home buyers and wants action to keep the Australian dream alive,” he said.
In terms of other issues, 78% of the people felt the government should do more to aid retirees downsize, while 84% believed that the government isn’t doing enough to regulate foreign investment into the country’s property market.
Finally, it appeared that Australians’ opinions on negative gearing are varied. 28% of respondents wanted to keep the negative gearing system unchanged, while 19% want negative gearing to be removed completely. 8% of those surveyed want negative gearing to be scaled back to new properties, while 14% want the tax benefits scaled back.
