Why the Best Time to Buy Property Is When Everyone Else Is Nervous

Why the Best Time to Buy Property Is When Everyone Else Is Nervous

When retail stores announce a sale, people rush through the doors. But imagine if prices increased by 20% overnight – would people still line up? Probably not. Interestingly, property markets often work in the exact opposite way.

When prices soften or interest rates rise, many buyers become nervous and sit on the sidelines. Yet when prices surge and auctions become crowded, buyers feel urgency and competition drives prices even higher. Some of the best buying opportunities occur when the market is quietest.

What History Actually Shows

In 2011, Brisbane’s property market was described as being “at rock bottom.” Analysts cited post-GFC caution, major flooding, and falling migration. The median house price sat around $447,500. Those who bought anyway were quietly rewarded – by early 2023, PropTrack put average Brisbane values at $716,000, a near-60% gain from that point of maximum pessimism.

In 2018, tighter lending restrictions from APRA and the Banking Royal Commission contributed to a softening market. Sydney and Melbourne led the downturn, with prices falling roughly 5-8% over the year. The pandemic-era boom that followed drove house prices in both cities to roughly double over the decade. Buyers who entered during the downturn captured the early stages of that entire upswing – at prices their peers considered risky.

Perth offers perhaps the starkest example. The end of the mining construction phase caused job losses, oversupply, and a 15-20% peak-to-trough correction. Those who held quality assets in established suburbs were vindicated – by end of 2024, Perth’s median had reached $745,000, some 36.7% above the previous 2014 record, with gains since 2020 exceeding 80%.