Is it a good time to trade up?

There seems to be an increase in the number of sale agreed signs going up around the place. We are waiting to buy, not FTB trading up, but getting a little spooked by what seems to be an increase in activity, is it the dead cat bouncing??? Instinct tells me with the gloomy forecast, imminient budget and BC's predictions that we are all going to have to accept a lower standard of living that we are still sitting relatively pretty for the moment?

Any thoughts? Haven't fallen in love with any house yet, just waiting to see if we can get a bigger bang for our buck?

Thanks for any opinions.

Bambam

Re: Is there an increase in property selling?

While most people agree that the long-term upward trend will resume at some stage, it's very difficult to predict when house prices will start increasing.

If you wait too long, you might miss the bounce.

It's nice to be a buyer now when there is a good supply.

Despite the green shoots, you should not buy a house until you have sold your own.

Brendan

Re: Is there an increase in property selling?

snip

It costs less to trade up now than it did. Downsizing is not so profitable any more. Many dreams of retiring to the country with a cash pile are now up in smoke.

The direction of the market isn't a major point when trading up, as if the direction is up, your house is worth more but so is the house your trading up too. In a current downward market, your house is worth less but so is the house you will be trading up too.

Best advice is to sell first and only put in a bid once your house is sold. EA's wont be as happy to take a low ball offer from a person in a chain as they might be from a buyer with cash.