Why autumn property listings are on the rise
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Why autumn property listings are on the rise

Vendors are no longer waiting for spring to list their property, but there’s still an art to get the timing right

By Kirsten Craze
Fri, Mar 31, 2023 9:21amGrey Clock 5 min

 Industries like luxury fashion and elite sport are dictated by the seasons, so why not the residential real estate market? Selling homes is considered a science by some in the business who suggest that when you list can have a direct effect on the final price.

Analysis by property portal realestate.com.au’s data group PropTrack reveals there is generally a more profitable time of year to list a home for sale, but ultimately results can vary by region.

The 2021 research isolated the impact of the sale month from other features impacting price and discovered properties which sold in November received the highest average prices. Across Australia, sales in November were almost 6 percent higher than those in January, traditionally the sleepiest month on the real estate calendar. These results also ranked October and December as additionally profitable months.

Spring saturation

The reasoning behind strong spring selling statistics comes down to a mix of human behaviour and mother nature.

Tim Lawless, head of research at property data specialist CoreLogic, says while there is logic to the popularity of spring among sellers it could also just be an established pattern of behaviour Australians have found hard to kick.

“It definitely comes back to sentiment as well as the ability to present a property well. Spring is a time when the weather warms up, people become more active, the grass is greener and flowers start to bloom. So from a property presenting perspective, it’s a logical time to prepare your property for inspections so people can see it in its best possible light,” he says.

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It’s a great theory for houses with gardens, but he admits there is no real reason why apartment listings also ramp up in spring.

“I think it’s probably so deeply ingrained culturally that people don’t necessarily think about some of the logical aspects, because selling a unit wouldn’t be much different from season to season,” he says.

While this boom in the property calendar is often referred to as “spring selling season” Lawless says it could probably be more accurately be described as the “spring listing season”.

“We actually see the number of sales is equally as strong around March as it is in November, which are sort of both seasonal peaks in sales activity” he says. “But for listings, it’s really clear that after winter there’s normally a solid ramp up in the number of newly-listed properties coming onto the market.”

Understanding the real estate calendar

While spring is an active time of year in property, the rest of the calendar is marked by milestones which can make or break the success of a sale. School breaks, long weekends and even major sporting events should be taken into account when a home’s marketing campaign is being created.

“School holidays are relevant, but probably what’s more important would be long weekends, like Easter, or grand final weekends. The most obvious one is the Christmas period when pretty much everything shuts down,” Lawless says. “If you think about the property process, a lot of people need to be around to make a transaction happen. 

“You need buyers and sellers obviously, but also you need the agent, the conveyancer, building inspectors and those individuals or professions may not be operating due to holidays.”

Avoid scheduling your auction over long weekends or major sporting events, like football grand finals when buyer interest is often lower (Photo by Dylan Burns/AFL Photos via Getty Images)

The real estate calendar had its first real shake up in a generation during the pandemic as potential buyers couldn’t leave on holiday or even view interstate homes. 

Auctions moved online, property professionals worked from home and an unprecedented number of buyers bought site unseen. 

As a result, some of those old seasonal selling tropes went out the window.

Bucking the seasonal trend for buyers

Bianca Denham, head of performance at the Ray White Group said bucking the seasonal listing trends could be a valuable move for sellers.

“Even pre pandemic we would train our agents not to fall into the trap of focussing on spring time,” Denham says. 

“Because if sellers have been institutionalised — for lack of a better word — that spring is the best time to sell, then what it creates is actually more competition among listings.”

While there are more properties for sale, that doesn’t necessarily translate into more buyers, she says. 

“Buyers don’t become buyers just because the daffodils are in bloom, they become buyers because something has happened in their life; they’ve got that promotion, finally saved the deposit, or they have a baby on the way,” she says. “Buyers become buyers for reasons that have absolutely nothing to do with the time of year.” 

Bianca Denham from Ray White says it’s worth looking beyond the traditional spring market to list properties

Alternatively, some agents are testing the water by working against old school traditions. 

“We’re seeing more agents embracing the downtime of summer as an opportunity to sell,” Denham says. “If you look back to a pre pandemic so-called ‘normal’ market then you would have seen it go to sleep over Christmas and January. 

“We’ve found that any agent who makes the concerted effort to list over Christmas is rewarded because there are inspections and they do get offers.” 

She added that vendors who tap into holiday periods could be rewarded with more buyer eyeballs on their listing.

“When people step out of their everyday and go on a break, that’s when they can start dreaming because they’ve got time on their hands. It’s one of our nation’s most-loved pastimes — browsing on real estate portals. We love it even if we’re not actively buying. 

“Not everyone goes away, and some people come from the country to the city, or vice versa, and they start looking at local real estate wherever they go.”

Lawless agrees that savvy sellers should consider just how saturated the market can get at certain periods.

“It’s definitely a factor in decision making. It’s good to know how much competition there’s going to be, or lack thereof,” he says. “So maybe going counter cyclical is a good idea by listing in winter when there’s not as many listings to come up against.”

In the end, do what works for you, he says.

“Your best option is to buy or sell when the timing is right for you rather than trying to time it with the seasons or trying to buy property at the bottom and sell at the top.”



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Savvy high net worth players from Australia and Asia are getting on board as the residential landscape shifts

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Build-to-rent (BTR) residential property has emerged as one of the key sectors of interest among institutional and private high-net-worth investors across the Asia-Pacific region, according to a new report from CBRE. In a survey of 500 investors, BTR recorded the strongest uptick in interest, particularly among investors targeting value-added strategies to achieve double-digit returns.

CBRE said the residential investment sector is set to attract more capital this year, with investors in Japan, Australia and mainland China the primary markets of focus for BTR development. BTR is different from regular apartment developments because the developer or investorowner retains the entire building for long-term rental income. Knight Frank forecasts that by 2030, about 55,000 dedicated BTR apartments will have been completed in Australia.

Knight Frank says BTR is a proven model in overseas markets and Australia is now following suit.

Investors are gravitating toward the residential sector because of the perception that it offers the ability to adjust rental income streams more quickly than other sectors in response to high inflation,” Knight Frank explained in a BTR report published in September 2023.

The report shows Melbourne has the most BTR apartments under construction, followed by Sydney. Most of them are one and two-bedroom apartments. The BTR sector is also growing in Canberra and Perth where land costs less and apartment rental yields are among the highest in the country at 5.1 percent and 6.1 percent, respectively, according to the latest CoreLogic data.

In BTR developments, there is typically a strong lifestyle emphasis to encourage renters to stay as long as possible. Developments often have proactive maintenance programs, concierges, add-on cleaning services for tenants, and amenities such as a gym, pool, yoga room, cinema, communal working spaces and outdoor barbecue and dining areas.

Some blocks allow tenants to switch apartments as their space needs change, many are pet-friendly and some even run social events for residents. However, such amenities and services can result in BTR properties being expensive to rent. Some developers and investors have been given subsidies to reserve a portion of BTR apartments as ‘affordable homes’ for local essential services workers.

Ray White chief economist Nerida Conisbee says Australian BTR is a long way behind the United States, where five percent of the country’s rental supply is owned by large companies. She says BTR is Australia’s “best betto raise rental supply amid today’s chronic shortage that has seen vacancy rates drop below 1% nationwide and rents skyrocket 40% over the past four years.

Nerida Conisbee says the BTR market is Australia’s ‘best bet’ for addressing the housing crisis.

Ms Conisbee says 84 percent of Australian rental homes are owned by private landlords, typically mum and dad investors, and nine percent are owned by governments. With Australia currently in the midst of a rental crisis, the question of who provides rental properties needs to be considered,” Ms Conisbee said. We have relied heavily on private landlords for almost all our rental properties but we may not be able to so readily in the future.” She points out that large companies can access and manage debt more easily than private landlords when interest rates are high.

The CBRE report shows that Asia-Pacific investors are also interested in other types of residential properties. These include student accommodation, particularly in high migration markets like Australia, and retirement communities in markets with ageing populations, such as Japan and Korea. Most Asia Pacific investors said they intended to increase or keep their real estate allocations the same this year, with more than 50 percent of Australian respondents intending to invest more.

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