With the last minute dash towards the end of the year now in full swing, every year I ask myself why does everyone leave their property buying and selling till nearly the stroke of midnight.

Scheduled Auctions
1261

Reported Auctions
651

Total Sold
493

Total Passed In
158

Clearance Rate
76%

There are a few reasons why property buyers might wait until the end of the year to start their search:
End-of-year bonuses: Some people receive bonuses at the end of the year, which can boost their buying power.
Market trends: Some people believe that the property market might slow down towards the end of the year, making it a good time to negotiate better deals.
New year, new start: Some people might prefer to start their homeownership journey with a fresh start in the new year.

However, it’s important to note that waiting until the end of the year can also be risky. There might be less stock available, and competition could be higher as more people start their search at the same time. It’s always best to start your search early and be prepared to act quickly when you find the right property.

One thing that is not discussed often is the other side of the coin and that is agent panic, agents want to sell as much as possible prior to the holiday break so they can have a clean start to the new year.

The questions is always though do agents under sell properties to clear their books.

While it’s possible that an agent might be motivated to sell a property quickly, especially towards the end of the year to meet targets, it’s generally not in their best interest to undersell a property significantly. Here’s why:
Reputation: Agents rely on their reputation for honesty and integrity to attract clients. Underselling a property could damage their reputation and lead to fewer future clients.
Commission: Agents typically earn a commission based on the sale price of the property. Underselling would result in a lower commission for them.
Seller’s interests: Agents have a fiduciary duty to their clients, the sellers. Underselling would not be in the best interests of the seller.

However, there might be situations where an agent might be willing to negotiate a slightly lower price to facilitate a quick sale, especially if there are specific circumstances like:
A slow market: If the market is slow, an agent might be more willing to negotiate a lower price to attract buyers.
Motivated seller: If the seller is eager to sell, they might be willing to accept a lower offer.
End-of-year targets: As mentioned earlier, agents might be motivated to meet end-of-year targets, but this would not justify underselling the property significantly.

Ultimately, it’s important to do your own research and get multiple appraisals to get a fair market value for your property.

You should also choose a reputable agent who has your best interests in mind, better yet speaking to an independent expert like Rodney Samuels Consulting will ensure you always get the best advice.