How house price forecasts can instil anxiety
The Covid-19 pandemic created an opportunity for some Australians to reconsider where they want to live. Many wanted a tree change, seeking fresh air and a renewed sense of freedom, and others saw greener pastures interstate. .. This situation resulted in a large number of people wanting or needing to buy and sell a house at the same time.
There is also a higher demand for bigger houses with more rooms in part driven by the work-from-home movement. Some buyers will do anything they can to secure a property, leaving others under even more pressure to find what they are looking for, and in some instances, settling for less than the ideal.
What can this mean for you – buying your first home?
Purchasing a first home is both an exciting time but also daunting because it may be the first time you have engaged with a financial institution or a mortgage broker to borrow a very large sum of money. It is important to ensure that you are receiving the best assistance and advice.
Rising interest rates are a major consideration and you need to be very sure that you can budget to maintain the repayment schedules and adjust to changing circumstances as they arise i.e. moving interest rates.
What is the “truth” in the current market?
Is everyone really an expert in the property market? Should you believe everything that you hear on social media or in the news?
Factual inforamtion when taken out of context can create panic (remember the toilet paper sagas!!).
The reality is that financial forecasts require complex modelling and data analysis. The market predictions are based on the best available information at the time but it is not possible to always get it 100% correct. It’s like forecasting the weather, there will always be a level of uncertainty and unpredictability. After all, we are trying to predict the future when there are so many interacting and changing variables.
So, what can you do from here?
As a mortgage broker, Annette Tothill will help you find the loan that is most suitable to your unique set of circumstances. When discussing house prices and interest rates with clients, you can rest assured that:
- Annette stays in the know about what is happening in the market, particularly what is happening around South Australia.
- Annette’s experience means that she has a clear perspective on monthly changes in property prices and interest rates.
- Annette can guide you through the misinformation out there, replacing it with factual information that you need to know.
Get in touch today to open the conversation.
Need some Advice about loans?
A mortgage broker can help you find the right loan and secure the finance that’s most suitable for you. It will also ensure you avoid making mistakes.
Any questions about this blog or questions regarding loans, contact Annette Tothill on 0420 973 551.