Brokers will need to re-think their approach to new business in the wake of the largely lacklustre property market performance in what would usually be the busiest property season of the year, according to a leading aggregator.
eChoice’s general manager of sales and distribution, Paul Liccione says auction clearance rates across the country have been less than impressive in what should have been the two most energy driven weekends of the year, as spring officially kicks off.
“Sydney, traditionally Australia’s hottest property marketplace, has recorded its tenth week in a row of auction clearance rates under 80%, according to a recent Corelogic report,” he said.
“Spring activity usually sustains brokers through that quieter Christmas/ New Year period, however, this year as buyer sentiment appears weaker, prices in some markets plateau and the effects of the investor-lending squeeze begin to influence buyer and seller behaviour – spring may very well become the new winter.”
Liccione says brokers will now need to adapt and re-think their approach to new business.
“Therefore, given the regular pattern of the property market this year has changed, brokers need to re-think their approach to new business. Now could turn out to be the perfect time of the year for brokers to revisit their database and actively contact their dormant enquiry lists,” he said.
“With so much air time being given to changes in lending requirements, speculation about off the plan purchases and opinion about the direction of the property prices, there is plenty to discuss with existing and potential clients – and of course new business and potential referral opportunities.”