Debunking the Under market Property Myth in Today's Market Dynamics
Josh Deckart
Managing Director Proposition Advisory |Property Strategist | Suburb Selection & Negotiation Expert | Real Estate Entrepreneur | "Teaching strategy, not selling property—helping buyers and brokers win."
?In a market that's swelling with demand and facing property stock shortages on a national scale, the popular notion that buying "under market" is the best way forward is increasingly questionable.?
The real crux of property acquisition in such conditions isn't about just buying below the market value. Instead, it's about securing the property itself, beating out intense competition, and aligning with sellers who see value in partnering with you. So, if you're genuinely committed to making a purchase, it's crucial to be proactive, strategic, and engage in genuine conversations with potential sellers.?
?To clarify, I'm not suggesting that under market properties are a mirage; they do exist. But pinning all your hopes on finding this elusive unicorn in a market that's rapidly changing can be counterproductive. While waiting to stumble upon that golden opportunity, the market may move so swiftly that it leaves you behind.?
领英推荐
?It's concerning to see some buyer's agents leveraging the under market purchase as a primary selling point. They pitch it as a way to assure clients they're clinching the best deals possible. But let's break this down: if you manage to secure a property $20k under its market value, that sounds like a win. However, if this pursuit means you're waiting another three months to find this gem, the question arises: is it worth the wait? If the market grows at a consistent rate, the return on capital isn't vastly different.?
More importantly, every delay might mean missing out on quality properties, especially if they're off-market opportunities. In a scenario where stock is limited, a good opportunity shouldn't be squandered.?
So, what's the takeaway? In a rapidly changing market, adaptability and quick decision-making are paramount. While hunting for under market deals can be rewarding, it shouldn't blind you to other worthwhile opportunities that come your way. It's all about balance and understanding the broader market dynamics at play.