Just like nature, the property market experiences its own seasons and cycles, influenced by things like interest rates, economic policies, and how confident people feel about spending.

Finding the 'right' time to buy or sell a property might seem tough. But, by getting to know your market signals, and paying attention to local trends and expert advice, you can improve your chances of making a well-timed decision.

Usually, the market goes through four stages: boom, slowdown, slump, and recovery. Each stage brings different chances and challenges for both buyers and sellers. For example, selling during a boom when demand outstrips supply can maximise your return, while buying during a slump may offer more value for your investment as prices bottom out.

If you're thinking of buying or selling this year, or even just interested to know where your property value is currently sitting, we will help you figure out the market signals you should keep an eye out for.

RELATED: What's the best time of year to sell a property?

1. What is happening in the suburbs around you?

Local market conditions can significantly deviate from national trends, emphasising the importance of localised knowledge. Factors such as new infrastructure projects, changes in zoning laws, and shifts in demographic trends can dramatically impact the attractiveness and value of properties in specific suburbs. Tools such as property data services and local real estate reports can offer a wealth of information on median prices, sales volumes, and time on market, painting a detailed picture of your local market's health and trajectory.

A good way to get an understanding of the trends in your area, or what could be on the horizon for your property's value is to keep track of what is happening in the suburbs around you. Buyer's dilemma stemming from housing affordability in a neighbouring suburb could mean that attention flows on to your local area.

Track recent listings and sales in your area for comparable properties as well as those in surrounding suburbs, and look at what they sold for and how long they were on the market for a good overview of how property prices could trend.

The property market moves quickly and it can be difficult to stay on top of it. That's why Little Real Estate sends a fortnightly market report that helps our property owners keep up to date with the latest market activity in areas that they are interested in.

2. Keep an eye on property prices

Property prices are driven by supply and demand, and knowing the market conditions of your local area as well as where your property value sits against comparable properties sold in your area can give you a good indication of how prices are currently doing.

When demand for property is high, but supply is sitting at low levels, competition between buyers drives property prices upwards.

An oversupply in stock on the market can conversely result in a buyer's market, wherein sellers will find themselves needing to lower price expectations.

Keeping track of your property value, as well as how the property prices in your local area are performing will allow you to stay informed on your local market to understand the ebbs and flows of supply and demand. You can get a free property report from Little Real Estate here, or find out more information about suburbs you're interested in here.

Staying in contact with your local agent in a quickly changing market can also help you understand the current value of your property. Regularly updated property appraisals can set expectations and help you figure out the right time to sell.

3. What are the latest auction clearance rates?

While it's crucial to have a finger on the pulse of current local market conditions, incorporating expert forecasts into your decision-making process can provide a forward-looking perspective. Economists, real estate analysts, and financial institutions frequently publish market forecasts, offering predictions on price movements, interest rate changes, and economic factors that could influence the property market. However, it's important to approach these forecasts with a critical mind, recognising that they are predictions subject to uncertainties.

Clearance rates are usually used as a key property market indicator, showing the number of properties in your city sold over a certain timeframe, and can help you understand the type of market that is taking place.

4. Days on Market

A good indication of the market is to observe the days on market, which is the average time it takes to sell a property. A decrease in days on market is reflective of a high demand market, while an increase generally suggests a higher chance of vendor discounting.

Here, it is important to take into consideration the availability of buyers in the area - as is the case for some regional and more expensive suburbs.

Your local real estate agent will have the most up-to-date know-how on these figures, and can help you understand the latest market figures in comparison to the conditions in the past.

5. What is the current economic environment?

Although it can be hard to separate the facts from fiction, it is still a good idea to keep an eye on what economic analysts are predicting for the near future. An uncertain economy leading to a potential decline in house values could mean that if you were thinking of selling, now is the best time to start the conversation with your local agent before a drop in prices.

Naturally, you’ll want to make sure that the direction you take with your property is the right one, whether you’re selling or buying a home in Australia.

The best thing you can do to ensure that is to get in touch with an experienced real estate agent. In these unprecedented times, a seasoned property agent will have assessed the situation better than anyone else and will be able to provide you with invaluable advice for how to buy or sell your property.

The Perfect Timing

Is there a perfect time to sell? The truth is, timing the market with absolute precision is challenging. Market conditions can change rapidly due to unforeseen events or shifts in broader economic indicators.

However, by staying informed and agile, you can identify more favourable windows of opportunity. Consider not just the current state of the market but also your personal circumstances, financial goals, and long-term plans. Sometimes, the best time to act is when it aligns with your individual needs and objectives, rather than trying to outguess the market.

Get in touch with your local Little agent today today to guide you towards the best move for your property.