The twelve-minute job that now takes two
Let me tell you what changed on our side of the desk recently, because I think it says more about where this industry is going than any headline about AI ever could.
Insurance can suck the life out of your open home – who knew?
I had a first home buyer client win an auction a few weeks back, and she was the only bidder in the room.
Sit with that for a second, because it should surprise you.
Every property has a price. Great properties always have buyers.
There’s something that doesn’t get talked about enough in property circles. Most conversations about buying a house come down to one of two questions.
The window is still open. Are you going to use it?
I know what you’re thinking. The world feels a bit wobbly right now and every time you check the news there’s something new to worry about. If you’re a first home buyer sitting on the sidelines waiting for things to settle down before you make your move, I understand the instinct.
Same answer, different reasons
Let me tell you something that sounds obvious but that most people miss when it comes to their mortgage: it’s not the decision that matters most — it’s the thinking behind it.
I talk to clients all the time who’ve heard that a friend fixed for two years and figure that must be the right call for them too. Maybe it is. But probably for completely different reasons. A couple fixing for two years because one of them is going on parental leave and they need certainty in their budget?
First home buyers: Don’t fall in love
You’ve found it. The perfect first home. The kitchen’s exactly what you imagined. The garden’s just right. You can already picture yourself living there.
Stop.
I’ve seen this happen many times. Buyers fall head over heels for a property, make an offer in a rush, and within weeks discover they’ve overpaid or moved into a house with serious problems they never knew existed. Unconsented work. Insurance issues. Repair bills that dwarf their entire deposit.
Should you chase that cashback offer?
There’s a saying that I’m sure most of you are familiar with: If it sounds too good to be true, it probably is.
This saying was brought home to me the other day when one of my clients rang me in a bit of a bind. They had been in the middle of a combined three-year fixed and floating mortgage, which we had fixed up for them.
The dead cat bounce: Why interest rates are done falling
Right, let’s cut to the chase and talk about what happened to interest rates at the end of last year, because I know a lot of people are confused, and understandably so.
Here’s a recap: For about eighteen months, we watched the OCR fall and interest rates followed suit, pretty much point for point. It was predictable. Comforting, even, if you were refinancing. Then December rolled around, and something weird happened.
The perfect storm for first home buyers
People call me repetitive, and it’s not forgetfulness (really!). It’s because on this subject, I need to drive my point home more than once. So here I go again – first home buyers, now is your time to buy!
“Interest rates have been dropping for months now. So why doesn’t it feel like there’s more money in my pocket?”
Fair question. And honestly, it deserves a proper answer. Let’s start with the facts. Interest rates have fallen substantially, with the Reserve Bank cutting the OCR on multiple occasions throughout 2024 and into 2025. We’re talking about a massive reduction from the peaks we saw in 2023. That’s significant.