An experienced Browns Plains property agent says homeowners who might be struggling to pay their mortgages should consider selling their properties.
Browns Plains Real Estate principal Neil Giles said it might become too late for some homeowners who had decided to defer their mortgages in the hope of an improved economy.
“People are taking a wait-and-see approach by putting their mortgages on hold,” Mr Giles said.
“And while this seems like common sense now, we might be facing a situation next year which sees an abundance of repossessed properties hit the market.
“That means an oversupply, which in turn means prices will drop.”
Mr Giles said some suburbs have increased in price over the past four years.
He said some people would be better off biting the bullet by putting their homes up for sale now while there were still a high number of buyers.
“The market is good at present, but if they leave it there could be an abundance of properties on the market,” Mr Giles said.
“It’s always fair for people to hope things will get better. But reality suggests that not all people will find full time employment in time to save their mortgage.
“In the worst case scenario, that means the bank may foreclose.”
Some who choose to sell now might have to return to the rental cycle, but Mr Giles said it would be better to do that with money in the bank.
“People may be better off this way,” he said. “It’s much worse to be forced into a situation of selling your home.”
