Market is King: A Developer’s Lesson on Timing and Patience

A note to property developers and investors.

My father was a residential property developer in Canberra and Sydney. He often counselled:

“The market is king. Never think you’re bigger than the market.

In a bad market, the agents will try to persuade you that your product is not as good as you think it is. But it’s not your product they’re commentating on, it’s the market.

The worst unit in a good market, will sell for more than your best unit in a bad market.”

Dad liked to tell the story of how he sold a south-facing unit looking onto a car park for a higher price than a north-facing unit with city views in the same development – just 2-years later, because the market had turned.

In a downturn, if you can afford it, be patient. Most likely, there’s nothing wrong with your product, it’s the market that needs to change.