Over the past few years, FOMO (fear of missing out) drove prices in Sydney and Melbourne up, with investors scrambling to out-bid one another and a sense of urgency drove split-second decision-making.
However, as are markets have slowed down, the opposite is happening.
Clearance rates are slipping, price growth has stalled, and these conditions have property buyers exercising caution.
Instead of entering the market with confidence, many would-be property investors are sitting on the sidelines – missing out on what could be a golden opportunity to take advantage of a cooling market.
Everyone is an expert
In times like these, every Tom, Dick and Harry becomes a “property expert” and water cooler conversation is dominated by the baseless predictions of these self-appointed gurus.
It’s no wonder potential investors are feeling spooked!
The property market peaks and troughs are driven by two things – greed and fear.
While everyone else is nervously holding themselves back thanks to the current market conditions, this could be your perfect opportunity to pounce.
If only you could overcome the procrastinating and actual make it happen…
Here are my top five tips to help you overcome this “analysis paralysis” and jump into your investment decisions without fear:
1. Be decisive
Agonising over simple decisions is a real first-world problem.
The luxury of seemingly endless choice has made making quick decisions almost impossible in modern life, and sometimes our tendency to over-analyse is to our detriment.
Of course, you want to source reliable data, and think critically and clearly before you make investment decisions.
But never second-guess yourself – commit to your decisions and trust your instincts.
2. Set clear deadlines – and stick to them
Whether it’s for saving, securing a property, or renovating, set a goal and work backwards, planning how you will achieve it in the required timeframe.
Sometimes doing this makes you realise your goals are more achievable than you thought, other times it could be the shock treatment you need to really pull your finger out and stop procrastinating.
Use visual cues, like flow charts, colour-coded calendars or even an inspiring mantra stuck on the fridge door, to remind yourself of these goals and build your motivation.
3. Don’t pursue perfection
Instead, accept that your first home or investment property may not be all you had dreamed, and that’s OK – as long as it has potential.
For now, your focus is getting your foot onto the ladder and growing your wealth, long-term.
Waiting for the perfect property to present itself could mean missing out on the benefits of investing right now, so opting for “near enough is good enough” could serve you well.
The same goes for setbacks you encounter along the way.
Treat them as a learning opportunity, not the final nail in the coffin.
4. Keep it simple
Don’t over-complicate the process by giving yourself too many options.
Instead, narrow your focus to include just a few choices, making it easier to weigh up the risks and benefits and make decisions.
When it comes to planning, break your bigger, long-term goals into smaller, manageable chunks with measurable outcomes to help you stay on track and foster a sense of achievement along the way.
5. Keep focused
Momentum isn’t just a concept in physics!
As soon as you drift off-topic and allow your mojo to slide, you’re at risk of entering a downward spiral to nowhere.
Build momentum by focusing on your step-by-step plans and celebrating small achievements.
If need be, break your goals down even further so you don’t become disheartened.
Like a pendulum, once you’re away and swinging there will be nothing that can stop you – you just have to give yourself a good push first.