Good Time to Buy Real Estate | Accrue Real Estate
Only a few years ago, asking when is the right time to buy real estate might seem like the dumbest question ever. For one, real estate is one of the best unwavering assets that can stand whatever life throws at it. It is an investment that makes financial sense for the long term and one that is highly loved by many investors.
However, the pandemic has only but pinpoint how no investment is immune to risks. The covid 19 crisis affected all industries, brought every operation to a halt, and put everyone on lockdown. The real estate is not left out and 2020 has not been a smiling one for the industry as well.
Could this be the best time to invest in real estate or buy as a first home buyer? Here, Accrue Real Estate experts, a renowned real estate company provides expert tips on the right time to invest in real estate.
Is it the Right Time to Invest in Real Estate?
With the economy just bouncing back from the pandemic-related crisis, this has been the question on the top of the mind of most investors looking to make financial gains. Real estate investment and rentals have been on the decline over the past months.
However, life is already returning to normalcy and the long-awaited vaccines are here. This might be the right time to take the plunge.
There is expected to be a surge in demand which will drive attractive home prices forward. Moreover, the economy is already on the verge of recovery and this year promises to be a better one for every industry. Investors can make use of this time to put in funds for investment in real estate stocks.
The good thing is the real estate market has proven time and time again that nothing lasts forever and it will surely bounce back on its feet. For those still on the fence on whether to invest or buy a home, this is a good time to become a homeowner or invest from a long-term perspective.
Accrue Real Estate also believes rentals will also not remain like this forever. Life will soon be back in full swing and the workforce and students will be seen flooding the cities. This will spur the demand for rents and purchases of homes.
What to Expect During and Post-Pandemic?
Before the pandemic hit the industry, the Australian real estate market experienced a boom. The low-interest rates coupled with the stable property prices attracted many to the world of property.
Amidst the pandemic as well, the falling prices of properties and prevailing low-interest rate might entice first-time buyers or anyone looking to upgrade to a bigger house. However, whether it is from the stock market perspective or home buying, there are things to put into consideration. Especially at a time where the market is still not stable and many are experiencing income decline.
As the economy is just rearing its head up, anyone looking to step into the door of property must thread with caution. This is not the time for short-term speculative investors looking to make massive gains within the short-term. Investors should approach the market with more realistic investment goals. The rise in demand will surely lead to a surge in prices. The stage is set for investors to become active again-this time, with long-term investment in view.
If you are up for higher risk and want to invest in a commercial real state, Grade A assets should be on the top of your priority list. This asset class is best in class, commands the highest possible rents has a significant price and is always in demand. Even amid the pandemic, Grade A remains resilient. With the economy picking up pace, real estate is expected to experience growth with rent being stabilized this new year.