Infographic: First home sellers
There comes a time in nearly everyone’s life when their current residence will no longer be suitable, and moving home becomes necessary.
This is especially true in Australia, as our nation continually had one of the highest levels of home ownership in the world in the 40 years to 2006, according to the Australian Bureau of Statistics (ABS). What’s more, this achievement is unlikely to be any different today.
There are a plethora of reasons behind moving house, more often than not it’s because of a change of circumstances.
Whether you’re bursting at the seams because of a new addition to your family, your home is empty because the kids have flown the coop or you just want a change of scene, developments in our lives can result in the desire, sometimes even the need to find a new dwelling.
There is an abundance of information about being a first time buyer, but what about selling a house for the first time?
The situation certainly doesn’t appear to be any less stressful when you include factors like sprucing up your home for sale, negotiating with potential buyers and agents and moving out all your life possessions.
How much are homes selling for?
A June 2015 report from the Real Estate Institute of Australia found that the median price of houses in our country had just exceeded $650,000. This figure is even more remarkable when compared to the same time last year, as it rose 8.9 per cent.
To put this into perspective, if you had bought a house in June 2014 for the median price and then sold it just a year later, you could have made up to $60,000 in capital gains.
Even so, the scale differs greatly between states in Australia. In Sydney for example, CoreLogic RP Data asserted that in the year to July 31 2015, dwelling values rose over 18 per cent. That’s certainly a great pay-day!
How many homes sell in Australia each year?
According to the RBA June Quarter 2010 Bulletin, around about 6 per cent of Australia’s real estate is exchanged each year, which accounts to over 500,000. This number and percentage have likely increased with the rise in population and favourable property market conditions.
For example, a June 25 2015 report from CoreLogic RP Data found that not only are there more capital city auctions than at the same time last year, but the clearance rate is nearly 12 percent higher.
Sellers will appreciate this, as it can be a disappointing experience being unable to sell your property at auction.
How often are people moving home?
For many people in Australia, changing residences is affiliated with buying a second home as they require bigger, better or more fitting dwellings.
The Survey of Income and Housing, based off census data from the ABS found that nearly half of Australian’s aged over 15 had moved homes in the five years before the survey. They’d certainly be good sources for moving tips.
What’s more, there was a clear correlation between age, life situation and moving status. The majority of people who had recently moved were parents with dependent children, illustrating how our changing lives can dictate our needs in a home.
How long does it take to sell a home?
The time it takes to sell a house can vary depending on some outside elements such as the time of year, the health of the property market and whether your home has been properly valued.
A July 20 2015 report from CoreLogic RP Data has revealed that homes have only been on the market for an exceptionally short amount of time before being snapped up. This is good news if you’re selling a house or unit, as every day that goes by just adds to the stress!
In parts of the country, houses were on the market for as little as 16 days before being sold, while units were only lasting nine days in some cases. This seems to suggest a market that is favouring vendors over buyers, which means you will be able to wield more power when selling your home.
Nevertheless, it is still important to study the market in your area, as conditions could vary greatly depending on your suburb.
Real estate in Australia
While selling your house can often be a nerve-wracking process, you can use a real estate agent from Ray White to help make the process simple and as stress-free as possible.
With over 1000 offices peppered across Australasia, we have a global brand but still retain our local community focus, offering the most listings of any real estate brand in Australia.
If you would like to know more about the selling process, talk to one of the experts at Ray White. Our agents have the knowledge and experience to offer you insights and selling house tips to help ensure you maximise the value of your home.