Cashed Up, but no opportunities seem to be "worth it", anyone else in this situation?

Approximately 11 months ago, just before the election, I seriously considered a few different properties and made quite a few offers (I'm usually picky). After a super slump in January and February, it seemed the deals were going to be good for a while.

To cut a long story short, the properties I bid on were all quite good opportunity buys and so were competitive/went well over reserve at auctions, despite the fact that the news everywhere was "this isn't going to get better" and all the uncertainty at the time caused negative sentiment.

I learnt my lesson: The best time to buy is not when you're getting a good price, the best time to buy is when its hard for people to get financing..! Now the sentiment is strong and it seems everyone is looking to buy..

I would rather "overpay" for those good properties back then. Now it seems to be a bull run for all properties, even ones that most people wouldn't glance at twice!

As we all know, the APRA changes allowed people to borrow more, and the Reserve Bank further reducing rates also helped significantly!

And so it seems, its better to leave some cash reserves parked in an offset at 3.8% then to buy anything.. Anyone else in this situation? Would rather keep cash reserves as high as possible to buy in when the situation returns to "difficult financing".

Would you also rather buy top tier product with less competition? Is it worth waiting for?

 

You might be waiting a while. Can't you find something and add some value?

 

Cash is always king. I haven't found your issue buying property, but if you're that picky then probably having cash on hand is the best strategy for you.

 

Im not cashed up but i do have sizeable savings, only thing that stopped me buying last year was my own access to credit.
Also i felt i had time as i didnt think things would go this crazy so fast, to be fair there was a lack of good stock in FHB range and still is.
I still think we havent seen the full effect of the virus so wondering how that will play out both in relation to the health of the nation and the economy in general.
Im still looking to buy in 6 months or so but will forgo taking out a large loan and have at least a 6 month plus buffer just incase we do see a recession/crash.

 

Is it worth waiting ?

If you see something you really want buy it even if you have to overpay
It's worth it ...there may never be one appear again
I would rather "overpay" for those good properties you want than miss out ... perhaps for ever !
Yes 100pc agree with you. I never have regretted for one second paying more to get what I want.
But I do regret not buying others as I have now been waiting way over 4yrs for similar properties.
I sometimes feeI will be dead from old age before I find another one :-(
It's like Monopoly I did not buy the property I need now to build a hotel.....and someone else has it now :-(