Patterns in the Aussie Land Cycle that will assist you to "time" the market as a buyer and seller

Accurately timing each half of the land cycle

It’s often said you make your money when you buy real estate - secure a good price and avoid overpaying so you don’t erode your short-term gains.

However, I always coach investors that you have to time the market both when you buy and when you sell.

Buying into the right market when negotiation conditions are good is one thing -  but selling into a market with only a sparse pool of buyers will soon see a percentage of those gains disappear.

You MUST sell at a time when confidence is high and when you can attract more than one interested party in order to realise your capital gains.

You can achieve this both by buying real estate that appeals to a broad range of buyer demographics - (read more about how to do that here Everything you need to know if you are NOT purchasing for development – your Land Cycle guide to“set-and-forget” properties!- ) - and by choosing the right conditions!

So how do you time the right moment to sell?

We know that even within the boom phases of the land cycle, real estate can take dips and turns depending on local policy.

What has happened in Victoria with higher land taxation and stricter rental policies is a case in point. Melbourne’s median fell below Adelaide’s in this cycle - a historical first!

Source: Macrobusiness

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