Mood Swings - Selling property in Spring

It’s no secret that real estate is influenced by the cycle of the seasons. In real estate when Spring hits the mood lifts, the signs go up and the expectation is that the hammer will go down. Sure, Spring can be a great time to sell – long days, warm temperatures and pretty gardens are enticing for buyers. Combine that with a timeframe that allows for buying, exchanging and moving in ‘before Christmas’ and the pressure builds.

But while we don’t want to put a dampener on the mood it’s important to remember that the weather is not the only ‘mood’ that can influence real estate demand and prices.  Spring won’t automatically change the mood of the uncertain economy. Interest rates on hold for August is positive but commentators remain divided over what to expect of the mood of the Reserve Bank when they meet again in September.

Also Spring will coincide with the crucial first 100 days of the new elected Federal Government.  Whichever party takes power the decisions taken in those first 100 days will impact the mood of the nation as we evaluate how their term in office is going to pan out. It all sounds a bit gloomy doesn’t it, and certainly not what you’d expect to hear from your local real estate agent in the lead up to the supposed Spring real estate bonanza.

Don’t get us wrong. Spring is the main selling season for real estate and we see potential to deliver some great returns for the listings we have scheduled for Spring.  The upshot is that it’s okay to think positive but it’s a vital element of our job to ensure sellors have realistic expectations and aren’t carried away by the Spring hype.  We prefer to set the right mood from the start to avoid a mood swing at the last minute.