Five factors that influence homebuyers

Real estate markets are dynamic and ever-changing. And buying a home is influenced by a gamut of issues from emotion to presentation, finances, gut-instinct and value for money.

But what are the top issues that buyers consider when searching for their next home?

Windrose Property Sales Agent Graham Bush, a well-respected veteran of real estate, shares his insights about the top five factors that influence homebuyers.

Location
It’s a catchcry that is regarded as the first rule of real estate: ‘location, location, location!’

Graham says most buyers don’t usually stray far from their existing neighbourhoods, which they know and love, unless of course they need to move further afield for work or other lifestyle reasons.

Land size
Bigger landholdings give you options, both now and potentially in the future, according to Graham.
“People like a little bit of land,” he said. “Selling in Murrumbateman and Yass, I think the best thing that’s happened out there is COVID. It’s increased prices and the desirability of the area because people can work from home and don’t have to jostle with the idea of a commute every day.

“It’s taken people from Canberra who aren’t even looking at Yass and shown them that you can get an extra bedroom, bathroom, a block twice as big and a garage for the same price as you would pay in the city. So, it makes sense as an option when they don’t have be in Canberra every day.”

Price
Appropriately pricing a property means the difference between a quick sale and heightened competition, or time on market blowing out.

“A good agent will know your area like the back of their hand – and they should be in a position to assess the right price for your home,” Graham said.

“We are noticing in Yass particularly if a property has been priced and it’s too much, it will sit there. It’s very important now to get the price right and if you don’t it will be sitting there unsold for ages. At Windrose, we know our market and provide sound advice about price expectations.”

Interest rates
There’s no getting around the elephant in the room – interest rates.

High interest rates that bite into a buyer’s borrowing capacity and ability to manage a loan will be a factor that influence the decisions. Couple that with current cost-of-living pressures and purchasers are cautious about their budgets.

“In my opinion when we get our first interest rate drop, there will be buyers everywhere,” Graham said. “After what they’ve already been through, most buyers can’t afford any more interest rate rises.”

“People have also worked that out and are trying to jump the gun a bit. They know that when that first interest rate drop happens, there will be more buyer competition so they’re looking to buy now so they have more options available to them.”

The neighbours
Television told us years ago that ‘everybody needs good neighbours’ and it’s one of the most asked questions by buyers, Graham said.

“Everyone asks us the same question: ‘Do you know the neighbours?’” he said.

Buyers can, understandably, air caution about who they might move in next door to and nobody wants a troublesome neighbour.

If the real estate agent does not know the neighbours of the property that you’re considering purchasing, or can’t offer any feedback from the vendors, trust your instincts and observations when you turn up to an open inspection.