Selling high to buy low: Is now the ‘golden’ opportunity?

“There’s going to be good buying opportunities. Why? Because there’s stock hitting the market.”

According to Mr Panos, “What’s happened is that vendors are trying to outsmart the market. They’re hearing all the news, JobKeeper, the jobs [have] started going, mortgages are going to stop being repaid again, the party’s over – and they’re thinking to themselves – ‘let’s jump in now because if we sell in October, maybe people are going to be unemployed’.”

It’s a phenomenon that the trainer is perceiving right across the eastern seaboard, but particularly in Sydney and Melbourne’s popular markets.

While quick to provide the caveat that he cannot predict whether or not that scenario around a future economic stall will actually be the case, the auctioneer said “the issue is that you’ve got a group of vendors that are factoring that in”.

They’re saying “let’s put it on the market now”.

Considering the property stock drought of the last few months, Mr Panos expressed a belief that what’s triggered the change is the turning point where people have ventured back out and about: “Footy’s back on, real estate’s back on.”

It’s a sentiment with some backing, according to REB’s Phil Tarrant, who added: “If you look at it within a window of time, there’s a lot of positivity out there right now.”

This comment was despite him also pointing out Australia’s official entrance into a recession and new OECD figures that point to an economic output contraction in 2020.

But considering Prime Minister Scott Morrison’s recent concession that job concession stimulus packages would end in September and would not be extended, Mr Tarrant said “there might be some merit to it”, with some vendors believing that “now might be the golden moment to sell your property on the basis of buying later on in the piece”.

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