Property prices dropped 1.6% in August, the largest national monthly decline since the 1980s. And ANZ economists are predicting a 15-20% drop next year.

But once those prices bottom out, you’re likely to face stiff competition – with plenty of other would-be home owners flocking to take advantage of relatively low prices.

And as we know in the property world, what goes down must come up, with prices expected to recover in 2024.

So if you’re ready to buy and want to take advantage of falling prices, sooner may work better than later.

It feels like another month, another rate rise. The RBA recently hiked interest rates for the fifth month in a row. And the RBA governor has indicated more rate rises to come. It may seem odd, but buying now could be of benefit.

You see, lenders assess your borrowing capacity at an interest rate of 3% more than the loan you’ve applied for. That means as rates go up, the hurdle you need to clear for loan approval increases.

In other words: your borrowing capacity falls.

So getting ahead of rate rises now may make for a smoother loan approval process and higher borrowing power.

There’s no denying that picking the market can be tricky.

But finding the right home can be trickier, and you just never know when it’s going to pop onto the market.

So if you see a home you like and it’s in your buying range, get in touch today to find out your finance options and borrowing capacity.

We can help take care of the finance side of things, while you concentrate on the house hunting and negotiations!