Times are difficult – sale volumes are down and the process of selling your home is taking longer than it has for years. Today we have heard that Australia may be heading toward a recession – the first in 18 years! The US Federal Reserve has cut official interest rates by 0.5%, the Japanese Government has announced a $50 Billion stimulus package, the Chinese have cut rates by 27 basis points and we in Australia have only a few days to go until our Reserve Bank announces what it will do with interest rates.
My prediction is that the Reserve Bank will cut rates by another 1% and I wouldn’t be shocked if they cut rates by an even greater amount. At this point in time the real estate market is crawling along and anything that can add confidence to the market will be welcomed. The fact is that money (for those fortunate enough to have it) must be invested somewhere. The stock market is proving volatile and difficult and as interest rates are cut on home loans, so too will be the interest rates offered on cash deposits – property starts looking better and better.
Property has been the safest investment in Australia for more than 100 years and with our currency devalued against the US dollar, Euro, British Pound and the Yen there is an enormous opportunity presenting for vendors to sell their homes to foreigners. We at Marquette Turner Luxury Homes are excited about the opportunity to attract international buyers and as members of the Who’s Who in Luxury Real Estate, are working hard to showcase Australian Luxury Homes to a worldwide audience.
The best advice for vendors – be patient (although it will be difficult), trust your agent and most importantly choose the right agency to represent your home right from the start. It’s important to have the very best representation – our worldwide recognition is something that we are very proud of.