How to navigate the weak property market and secure a better deal

Busy auctions have become a thing of the past in most places. With prices in Sydney and Melbourne falling and auction clearance rates low across the country, the auction market seems like a promising place for buyers at the moment. According to PRD Real Estate chief economist Dr. Diaswati (Asti) Mardiasmo, while there has been a slight uptick in buyers making offers before auction, there has been an even greater increase in deals being done after auction following the property passing in. “In this current property economic cycle, we’re definitely still seeing transactions go through with a higher preference for non-auction type sales,” she said. As auction clearance rates fall, there has been an increase in non-auction sales as buyers stand back and wait to see what the opening bid and reserve are. “We’ve seen a higher number of properties that didn’t clear at auction then being sold by negotiation in the next week or two because whoever it was that was attending the auction now has a much better idea of what the demand is for this property and what the pricing is,” she said. A lot of bidders are just standing back and waiting to see what happens. Picture: Annette Dew LOWBALLING IT...