Economic Downturns – Opportunity for Buyers
Property goes up with time, but sometimes there is a downturn and the news is littered with doom and gloom articles how house prices are flat or falling in once sought after suburbs. During a downturn it’s a great time to pick up some bargains. It’s a buyer’s market.
Not a Sprint But A Marathon
Take a long term approach to investing, in times of uncertainty people may feel fearful or even panic and they stop investing altogether. This could be wasting valuable time you can never get back. Try to remove emotions from your buying decisions and focus on the numbers. These depressions are short term and if you hold on to your property for a long term strategy you will see some growth once the cycle starts anew.
What Goes Up Must Come Down
Booms can not last forever, if you invest in a quality property you can ride all economic situations relatively unscathed. Be prepared for any future downturns to recession proof your assets as much as possible. When there is a downturn this is part of a cycle and it will eventually go up again.
Invest in Areas On the Up and Up
You want to be investing in areas that have growth potential to take advantage of future profits. Some areas that were ‘HOT’ a few years ago have inflated prices due to the postcode and all the growth to be enjoyed has already peaked. Look for the up and coming areas.
Buy Now When There is a Fire Sale
When there is an economic downturn banks tighten up their purse strings and people are fearful to invest. But this is the best time to ask for a discount, you might be able to secure a property for a bit less during times when there is less demand. Contact us to discuss if any of our developer partners have any ‘bargains’ they are not advertising to the general public.