Seven things first-time Canberra home buyers need to know
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Buying your first home can feel overwhelming, especially in Canberra’s evolving property market. Josh Morrissey, Director and Auctioneer at HIVE Property, shares his tips for navigating this significant milestone.
One of Canberra’s most sought-after property advisers, Josh co-founded HIVE in 2018. Under his leadership, the company has transacted over $2.5 billion in Canberra property.
Here are his top insights for first-time buyers looking to enter the market.
1. Timing isn’t everything – but preparation is
Forget waiting for the “perfect” season to buy. “Contrary to popular belief, market conditions don’t align with the seasons. There is no perfect season to buy or sell in,” Josh explains. “The best time to buy is the time that market conditions favour your situation.”
Instead of timing the market, focus on being prepared when the right opportunity presents itself. The current Canberra market is seeing stock hold for longer periods – with average days on market at 70 days, up 2.5 weeks from previous months. This gives buyers more time to consider their options, but also means you need to be ready to move quickly when competition increases.
2. The sweet spot for buyer activity is $800k-$1.5m
Understanding where market activity is strongest can help inform your search strategy. Josh notes that “stock between $800k–$1.5m seems to be the sweet spot for buyer activity and increased clearance rates,” while properties above $2 million are taking longer to sell.
If you’re shopping in this active price range, expect more competition but also more available stock to choose from.
3. Get your ‘A team’ ready before you start shopping
One of the biggest mistakes Josh sees is buyers starting their property search without the right professionals in place. “Buyers often go shopping before they have their team in place and often miss out on opportunities if they are not prepared.”
Your essential team should include: a mortgage broker (free service as they’re paid by the bank) and a solicitor (approximately $2,000) to review contracts and provide legal advice.
“Experienced brokers and solicitors can often be the difference in buyers winning or losing on properties,” Josh emphasises.
4. Pre-approval gives you serious negotiating power
Being pre-approved for finance isn’t just about knowing your budget – it’s about positioning yourself as a serious buyer.
“If you’re a serious buyer in the market and you want to add as much weight to your offer with the seller as possible, you must be in a position to unconditionally purchase the home,” says Josh.
This means having your finance sorted and being able to make offers without finance conditions, giving you a significant advantage in competitive situations.
5. Avoid these costly mistakes
Josh highlights several expensive errors that are easily avoided:
Not using professional representation
“Buyers agents are a great insurance policy in negotiations. They negotiate hundreds of deals per year and can save you a lot of money on the sale price,” he says.
Skipping the building report review
Don’t just get the inspection – thoroughly review the findings.
Failing to research
Study the area and available sales data before making decisions.
Choosing inexperienced professionals
Your broker and solicitor’s experience matters significantly.
6. Market confidence is building, so be ready
While recent clearance rates dropped to 40% (the lowest in recent years), they’ve since bounced back to 60%. With the recent interest rate drop well-received, Josh predicts increased activity.
“Buyers can expect stock to move quicker as rate confidence increases, so buyers need to be pre-approved and ready to execute as competition increases leading into December,” he says.
7. Look slow, buy quick
Josh’s golden rule for first-time buyers is simple but powerful: “Look slow – buy quick. The better the preparation, the better outcome.”
This means taking time to research, understand the market, and get your finances and team in order before you start actively bidding. But once you find the right property, be prepared to move decisively.
The bottom line
Today’s buyers have access to more market information than ever before. “Buyers are the most educated they have ever been and access to critical information is at their fingertips,” Josh notes. “The more informed you are as a buyer, the more empowered you are to obtain the best outcome for yourself.”
With proper preparation, the right team, and a clear understanding of current market conditions, first-time buyers can navigate Canberra’s property market with confidence.
