Stock shortages. It’s a common issue and one many, if not all buyers’ agents will experience in their lifetime.
But just because there are no listings, doesn’t mean you can’t find your buyers their dream home or ideal investment.
Knowing the ways to unearth potentials sales is imperative for all buyers’ agents, in order to continue operating no matter how tricky the market.
House Search Australia’s Jacque Parker, says there are four main ways you can deal with a shortage:
- Target expired listings on RP Data or Domain’s PriceFinder. Look for listings that haven’t sold and contact the agents or owners to see if they are still interested in selling
- Canvass streets or segments of suburbs. Do letterbox drops and doorknock in an attempt to unearth any private sellers
- Approach selling agents directly and ask them to specifically canvass as well. Not every vendor is comfortable privately selling and they may want to enlist a selling agent instead. Utilizing agency databases can often flush out a vendor or two.
- Network with trusted buyer agent colleagues. If you have strong relationships with other buyers’ agents, you can refer each other to listings, that may not suit your client
The most successful method, is to stay in constant contact with selling agents, says Parker.
“Selling agents are the ones vendors are coming to first. Having a really tight network with them is essential for success.”
She also says it pays to be a good networker within your local area.
“Neighbours, friends, family, there’s always someone who is selling property. Keeping your ear to the ground and displaying a general interest in property is part and parcel of being in this industry.”
Current state of the market
Parker says an increase in buyer interest is contributing to a stock shortage in her area.
“In the areas we work in, which is on the North side of Sydney, we’re finding in certain price points there’s definitely a shortage.”
“In other areas, I wouldn’t say it is overflowing. There’s certainly less than there was a couple of years ago, but that is only because buyers are out in force in this latter half of the year.”
Parker says in these conditions, it is important to set realistic timeframes for buyers.
“When you have more competition and there is less stock, it’s always going to make the job harder.”
“We used to give clients an average of timeframe of anywhere between four to eight weeks to secure a property. At the moment that is much closer to the eight weeks and even longer, depending on buyer criteria ”
“There’s no point taking on buyers’ unless their expectations are realistic and they’re aware of the marketplace, so we try to educate them in that space.”