GENERAL
The truth is there are pros and cons for both options and ultimately, it’s up to you to work out whether renting or buying a home suit your personal and financial situation best.
The most obvious advantage to renting is flexibility; as a tenant you can freely relocate from home to home and area to area once your lease expires. But because of the costs associated with buying and selling property, as a homeowner you have less flexibility when it comes to moving house. It costs around 2.3 to 3% of the sale price of your home to sell (agents fees, advertising, etc.) and about 6% of the purchase cost to buy (stamp duty) government fees, loan establishment fees, etc.).
Secondly, renting can often be a cheaper alternative to buying…
Particularly if like many young professionals you prefer the lifestyle and career opportunities that inner and near city locations provide. Many young people can’t afford to buy in these locations but can afford to rent there. Even though rents are rising, more often than not your monthly rental payments will be less than what your mortgage repayments would be if you were to buy a comparable property.
One of the big bonuses to renting is that you avoid costly maintenance, repair, rates and insurance bills that go hand in hand with home ownership. As a tenant, it’s your landlord who is responsible for taking care of such ongoing expenses.
On the other hand, renting has many disadvantages:
The most obvious being uncertainty as to whether you will be able to remain in a home you have grown fond of. Tenants have very little say in how long they occupy a rental property. Ultimately this is up to the landlord, who can ask you to move once your lease expires and can also terminate your lease early for a number of reasons.
The final thought:
Even though renting may currently be the cheaper option, rents will always continue to rise in line with the increasing values of properties. Further, you never stop paying rent, whereas most people will pay off their mortgage within 25 to 30 years. When you buy a home however, you have a certain sense of stability. You choose how long you wish to live there (as long as you make your repayments!) and can make improvements to your living space and potentially add value while doing so; creating a wonderful thing called equity (the value of your home minus the amount you owe the banks = your equity).
Remember now is the time to take advantage of the opportunities in the current property markets & and the interest although some will say high there is still opportunity out there. that are being offered. Always think long term.
As an award-winning Real Estate Agency, we understand that marketing plays a pivotal role in selling your property. An effective marketing strategy can significantly contribute to your success. We take pride in our proven results and efficient spending rates that set us apart in the industry. To gain a comprehensive understanding of our marketing approach, let's explore the various aspects that make it exceptional.
Targeted Advertising: A fundamental component of successful marketing is reaching the right audience. Our commitment to broadening our reach is exemplified by our advertising efforts spanning across every state, including Tasmania and New Zealand. This strategic approach enables us to access diverse markets and enhance brand awareness among a wide range of potential customers.
Customized Budgeting: At our agency, we understand that each property is unique, and we place a strong emphasis on tailoring budgets to meet individual needs. This personalized approach ensures that resources are allocated with precision, optimizing the impact of your marketing endeavors. By taking into account factors like location, target audience, and property type, we help you make the most of your budget allocation for each specific property.
Proven Results: When we claim to have achieved proven results, we're referring to our history of successful marketing strategies. We can offer specific examples and case studies that highlight these favorable outcomes. Our clients have not only been impressed by what we do but also how we do it. What sets us apart is that our overall costs are significantly lower than those of our competitors. While these statements are powerful, it's our track record that truly demonstrates the effectiveness of our approach.
Expert Team: Our team comprises a group of knowledgeable professionals with extensive experience in the marketing field. These experts are equipped with the skills and expertise necessary to develop and execute effective marketing campaigns. Elaborating on their qualifications, areas of expertise, and track record would add credibility to our claim. Our principal, Robert Cox, holds a full degree in marketing, ensuring that we consistently deliver the best results to facilitate the successful sale of your property.
In summary, our marketing strategy stands out thanks to its targeted advertising, customized budgeting for each property, proven results, and a team of experts driving the process. These key elements make our marketing services a proven and effective choice for homeowners, ensuring that we don't waste time but instead deliver results for our valued clients.
When it’s time to sell your property, we all desire to achieve the highest possible price. However, when selecting an agent, focusing solely on the highest valuation isn’t necessarily the most important factor in making your decision. Instead, you should carefully weigh the pros and cons of each agent and determine which one truly has your best interests at heart.
Here’s why choosing an agent involves much more than just considering the property valuation: Valuation Methodology A competent agent will determine the value of your property based on various factors, including market data, recent sales of similar properties, current market demand, time on market in your area, and general market conditions such as auction clearance rates, interest rates, and property volumes. However, it’s crucial that you understand their specific methodology. Some agents may provide an inflated price to win your listing, knowing it’s what you want to hear. While a high price point should be taken into consideration, it should be evaluated alongside other factors.
Track Record As the saying goes, a quality agent’s worth is measured by their proven track record. This includes the sales they’ve achieved and the relationships they’ve built with involved parties. A reputable agent’s reputation will precede them, and you can rely on testimonials from satisfied clients who highlight their professionalism and the value they bring to transactions.
Knowledge The property market undergoes rapid changes, influenced by numerous factors. The agent you choose should be well-informed about these market conditions and capable of explaining how they may impact your situation.
Marketing While it’s essential for an agent to state the value of your property, it’s equally important to consider how they will effectively communicate this value to the market. Will they proactively reach out to potential buyers in their preferred platforms, such as Facebook, print marketing, or targeted email campaigns? Do they possess a database of buyers looking for properties like yours? What resources and strategies will they employ? Will the marketing campaign be customized to showcase your property’s unique features, or will it be generic?
Compatibility Above all, it’s crucial that you have confidence in the agent sitting before you. Do they share your values and have a similar perspective on your property? Have they taken the time to understand your goals and demonstrated their expertise in achieving them? The best agents will collaborate with you, offering honest advice. Sometimes, this may mean suggesting a slightly lower price than you expected. However, if you have faith in their judgment, it’s worth considering their opinion.
The Truth About Price Price is just one aspect of a property sale. Other factors to consider include the duration your home will be on the market, the commission structure, the advertising budget, and the potential costs of unrealistically pricing your property from the beginning. Setting an unrealistic price that doesn’t align with the market can deter potential buyers, increase advertising expenses, and ultimately jeopardise a successful sale.
Do the prices being achieved in the current market support the theory that Australia’s house prices double in value every 10 years? According to Cameron Kusher, Prop Track’s director of economic research, the answer is somewhat complicated. But ultimately, while some markets have hit that market over the past 10 years, many others have not, so from a national standpoint, the rule proves to be untrue — even though it was generally accurate for a number of decades prior.
As Mr. Kusher explained, going off of figures from May 2023, the median house price nationally sits at $730,000 and the median unit price is $560,000. Median house prices, therefore, have taken substantially longer than 10 years to double in value — 15.4 years or 185 months, in fact. Unit prices, meanwhile, doubled over the course of 17.8 years, or 213 months. That being said, zooming in, some markets and sub-sectors did achieve a much more rapid climb in prices. The difference between houses and units, for example, varies based on location.
“Median house prices across the capital cities doubled quicker (14.3 years) than they did across regional markets (16 years). For units, it was a different story with regional prices doubling quicker (17.5 years) than those in capital cities (18.1 years),” Mr Kusher explained. Regional Tasmania was the market where house prices doubled in the shortest amount of time — values saw a 100 per cent increase in just 5.8 years. The state’s capital, Hobart, followed closely behind at 6.8 years. Regional NSW (9.4 years), Regional Victoria (9.6 years) and Sydney (9.6 years) were the only other Australian markets to double in median value in less than a decade. Meanwhile, median house prices have taken the longest to double in Perth (17.8 years), regional Queensland (17.8 years), and regional Western Australia (17.5 years). On average, unit prices take longer to double than houses, according to Prop Track’s analysis. Hobart was the only unit market to follow the 10-year rule, while values rose relatively quickly in regional NSW, climbing 100 percent in 13.1 years, and regional Victoria, which took 13.8 years to double unit prices.
The adage was farthest from the truth in Perth, where units doubled in value over 19.2 years. Brisbane was close behind (18.9 years), followed by Canberra (18.9 years). By and large, median house prices in the more expensive cities of Sydney, Melbourne, and Canberra doubled more quickly than those in cities with cheaper median prices such as Brisbane, Adelaide, Perth, and Darwin.
What will the next 10 years hold?
While some of the irregularity in price increases over the past 10 years can be attributed to the substantial trickle-down effects of the COVID-19 pandemic, Mr. Kusher said those expecting properties to fall back to the 10-year rule will be disappointed.
“The key drivers of strong price growth over recent decades were primarily falling interest rates, which increase borrowing capacity; increasing household incomes as more women joined the workforce; easier and greater access to finance; and migration creating strong demand for housing,” he explained. Many of those factors will not have as substantial an impact in the coming years as they have in recent memory. “While there is little sign of strong migration of the past decade abating, interest rates are unlikely to fall as they have over recent decades, employment participation is unlikely to increase as much, and accessing a mortgage is more difficult than it has been in the past,” he said.
Ultimately, the economist opined, “It looks like the days of property prices doubling every seven to 10 years may be well and truly in the past”.
When preparing to sell your home, it’s essential to stay informed about the current market conditions well before listing your property. But what specific factors should you consider and where can you access the necessary information?
Here are five key real estate metrics that every seller should be aware of, including their significance and where to find them.
1. Median property price
The median sale price reveals the average selling price of properties in a particular suburb. You can find this data on real estate portals like realestate.com.au and Domain when searching for properties in your desired area. Market insights website Prop Track also provides this information. These platforms often break down the median sale price for different property types, such as units, three-bedroom homes, four-bedroom homes, and more. They may also indicate the percentage increase or decrease in values over the past 12 months. This data serves as a valuable starting point for assessing the current value of similar properties in your suburb.
2. Supply and demand
The aforementioned data also encompasses the current volume of listings on the market and the number of buyers searching for properties in the area. This information helps determine the balance of supply and demand in the market and provides insight into whether there is likely to be competition for your property. Understanding the supply and demand dynamics can give you an idea of how favorable the market conditions are for selling your home. You can find this data on the same real estate portals and market insights websites mentioned earlier.
3. Days on market
The average number of days that properties remain on the market before being sold is another critical metric to consider. This figure indicates the level of buyer interest and the speed at which properties are being purchased in a given area. Real estate portals often display the average days on market for properties in different suburbs. By comparing this information, you can gauge the general selling timeframe and adjust your expectations accordingly.
4. Comparable sales
Reviewing recent sales of comparable properties in your suburb is crucial for determining a realistic selling price. By examining the sale prices of similar properties with similar features, you can gain a better understanding of the market value and set an appropriate asking price for your own home. Real estate portals, property databases, and local real estate agents can provide information on recent comparable sales. This data enables you to make informed decisions regarding pricing strategies and helps ensure that your property is competitively priced.
5. The auction clearance rate
Auction clearance rates provide insight into the success of property auctions in a specific area. These rates indicate the percentage of properties that are successfully sold at auction, reflecting market sentiment and buyer demand. You can find auction clearance rates on real estate portals, auction result websites, and through local real estate agents. Monitoring these rates can help you understand the competitiveness of the auction market and evaluate the suitability of this selling method for your property.
By familiarizing yourself with these key real estate metrics and utilizing the available resources, you can gather valuable insights about the market conditions and make informed decisions when selling your home.
When it comes to purchasing a property, open homes play a crucial role in the buying process.
These designated times allow potential buyers to explore the property, assess its size and ambiance, and determine if it suits their requirements as a home or investment. However, what specific aspects should you focus on during your visit? Here’s a brief guide highlighting key factors to consider at an open home. Understanding the purpose of open home Open homes provide an initial opportunity to physically visit a property you’re interested in. They allow you to walk through the premises, evaluate its size, grasp its layout, and envision yourself living there. Moreover, open homes enable you to gauge the property’s condition, identify any necessary repairs or modifications, and assess its suitability based on your needs If you’re interested, you can revisit the property during subsequent open homes or schedule a private inspection. This allows for additional assessment and the arrangement of essential inspections like pest and building checks.
In the meantime, here’s a concise checklist of what to look for at an open home:
Property direction
The direction a property faces has a huge bearing on what it’s like to live in. For example, properties that face east generally enjoy the morning sun, while those that face west will have afternoon light. Depending on where they’re located, they might also catch a welcome breeze at certain times of the year.
Natural light
Abundant natural light can be a huge drawcard, so take the time to consider how much natural light the property has and when the property is likely to enjoy this light. Is it morning, afternoon, or all day long?
Cupboards and storage
Ample storage allows you to maintain a home that’s neat and tidy, and this is particularly important if you have a family or like to indulge in hobbies which might require extra storage space for materials or equipment. As you wander through the property, assess the available storage, paying particular attention to cupboards and their location.
Interior condition
An open home is the perfect opportunity to really assess a property’s condition, including whether there are any structural issues or persistent problems such as Mould. During the open home, cast your eye over walls, windows, the ceiling and floors, looking for acks, signs of damp or wood rot. Although small, these may be an indication of bigger issues that lie beneath.
Exterior condition
On a similar note, do take the time to assess the property’s exterior condition, including external areas such as balconies, patios, decking and pools. While you’re at it, look up and cast your eye over the roofing and gutters, factoring in any work that might need to be done immediately or in the near future.
Water and hot water
This one’s often overlooked, but it pays to assess the water pressure at the property and check the hot water system during an open home. Lack of water pressure could indicate a plumbing issue which requires fixing, while an aging hot water system might be something you need to replace in the near future. Meanwhile, in semi-rural properties, take the time to check whether the property has access to town water or is reliant on rainwater tanks. If the property turns out to be reliant on tank water, have a look at the condition of those tanks and the water pump.
Parking
The property might be perfect, its condition impeccable, but what about the parking situation? Does it suit your needs? In busy city suburbs, off-street parking is a huge asset, and if you have a car collection, secure undercover parking is a must.
Noise considerations
While you’re at the property, don’t forget to listen to the noises around you, with your ears pricked for sounds of road noise, overhead planes, nearby trains or other ambient sounds that you might not expect.
Neighbours
Finally, what’s the neighbourhood like? And how close are you to those Neighbours? Also, what parts of their property overlook the one you’re interested in and vice versa? While it might seem like a small thing to consider now, Neighbours play a major role in any suburb or property you live in.
Whether you’re searching for an investment property that meets all your criteria or envisioning your dream forever home, negotiation often plays a role in the property purchasing process.
Negotiation typically revolves around the terms and conditions of the sale or the price you’re aiming to pay. Here’s an overview of what’s involved.
Mastering the art of negotiation
Effective negotiation entails achieving a win-win outcome for all parties involved. It’s about demonstrating your seriousness as a buyer while proposing conditions that need to be met. These conditions may involve price adjustments, additional time for settlement, or specific remedial actions before the final agreement. Truth be told, negotiation is a common aspect of property purchases. To succeed, it’s crucial to understand that it’s a give and take process where preparation is key.
Get your finances in order.
If you intend to make an offer or negotiate on the price, it’s vital to have your finances sorted in advance. Having pre-approved finance shows your commitment and gives you a clear budget for the property purchase. Essentially, it sets the benchmark for your affordability.
Do you research
To negotiate effectively, you should have comprehensive knowledge of the property market, including recent sales of similar properties in the specific area you’re targeting. This helps you gauge if your offer is reasonable and fair. Additionally, research the specific property you’re interested in, including its duration on the market and the reason for the sale. Don’t forget to conduct all necessary inspections, such as pest and building checks.
Be clear it’s a serious offer
Once you’ve determined your offer and the associated conditions, document it in writing and provide it to the agent. This conveys your seriousness and ensures that your offer will be presented to the seller for consideration.
Embrace a give and take approach
Negotiation is not a one-sided process. It’s about finding the best outcome for all parties involved. For instance, if you’re proposing a lower price or making an offer before the auction, provide compelling reasons for the seller to accept, such as a short settlement time, a substantial deposit, or a longer settlement period if that suits their needs. There’s also a possibility that the seller will counter-offer, so be prepared to consider their terms for the sale.
Know your limit
Negotiation often occurs in stages, with you putting forward one offer, and then the seller indicating their terms and conditions. Throughout the ‘to and fro’ process, be very clear on your limit and resist the urge to go beyond it.
Keep emotions in check
While purchasing a property can be an emotional experience, the negotiation phase requires a business mindset. Negotiating is about finding a mutual agreement that benefits all parties. It’s not personal, so set aside your feelings and focus on achieving an outcome that works for both you and the seller. Additionally, keep in mind that the market conditions and the seller’s circumstances will influence your ability to negotiate. When demand for properties is high, there may be limited room for negotiation due to intense competition. In other phases of the property cycle, there may be more flexibility.
Once your house is tidied and all odd jobs are complete, and your home is ready to go on the market, the question arises: should you consider getting a pest and building inspection before marketing your property for sale?
While not obligatory for sellers, arranging a pest and building inspection before listing your property can provide numerous benefits.
Here are a few reasons why you might want to consider conducting a pest and building inspection in advance:
Increased Confidence: Pest and building inspections can uncover various aspects of a property, including hidden problems like termites, concealed issues like mold, and structural issues that may have gone unnoticed while you were living in your home. These inspections are crucial for serious buyers as part of their due diligence before purchasing a property. However, for sellers who choose to conduct a pest and building inspection before listing their home, it offers a sense of peace of mind. It allows you to be confident that there are no hidden problems likely to impact the value of your property or hinder a future sales transaction.
Opportunity to Address Problems: If a pest and building inspection reveals any issues with the property before it goes on the market, sellers have the chance to address those problems before they become deal breakers for potential buyers. This can be essential during negotiations as even minor issues that can be easily fixed can deter buyers and potentially reduce the sale price and overall appeal of your property.
Increased Property Appeal: Having a third-party assessment of your home prior to sale can make it more appealing to potential buyers. When buyers are searching for a property, they often look for something unique and a seamless experience. Having a completed pest and building inspection report readily available fulfills this criterion. It allows buyers to feel more confident about emotionally investing in your property and indicates that you have nothing to hide.
Streamline the Sales Process: If a buyer is genuinely interested in your home, they would prefer to make an offer and complete the purchase as quickly as possible. Having a pest and building inspection report readily available can facilitate this process. It saves buyers valuable time, boosts their confidence in proceeding with the deal, and removes a hurdle in the purchasing process. Furthermore, it eliminates the possibility of unpleasant surprises. Keep in mind that even minor issues discovered later in the process can significantly impact a buyer’s enthusiasm for a property.
In summary, obtaining a pest and building inspection before marketing your property for sale, although not mandatory, can provide you with greater confidence, the opportunity to address any problems, increased property appeal, and a streamlined sales process.
COVID-19 changed the Australian property market, with many people leaving densely populated centres in search of sea or tree changes with more space and freedom to ride out travel bans and lockdowns. This trend of internal migration led to a prolonged period of apartment vacancies and lower rents in our cities across 2021.
Now, as life returns to ‘normal’, business as usual and overseas arrivals are back, causing the rental market to tighten up again – but this time, both in our cities and in the regions, as remote working prevails for many. This new normal is putting a lot of stress on renters looking to find the right property. To help you navigate this tricky time, we’ve outlined our top 10 tips to find and secure a rental in a competitive market.
1. Attend inspections as soon as possible Make sure you attend the first advertised inspection for a rental property. If you miss it, somebody might get accepted for the property before you even get a chance to view it. Where a property doesn’t have inspection times listed, be proactive and contact the property manager to arrange a viewing as soon as possible.
2. Put your best foot forward Be friendly, polite and presentable. Even if you miss out, a property manager will keep you in mind for any future rentals. Remember how you treat someone will leave an impression and a great impression is more likely to lead to a great result.
3. Consider what the landlord is looking for When viewing the property, take some time to talk to the property manager/leasing agent and let them know how your situation would suit the property. If the property is a small cozy home, let them know how that type of home suits your lifestyle. Show interest in what the landlord may be looking for in a tenant and highlight your suitability.
4. Account for your rental history Tenant checks provide property managers with all the necessary information to determine your tenancy viability. If you have past breaches, it’s important to be aware of these so that you can be transparent when you submit your application.
5. Be upfront about any past issues If something has gone wrong in the past with a rental, such as an eviction or bond return issue, this may be listed on a tenancy database. Property managers and landlords may check these databases when assessing applications, so it’s always best to be up front and let the property manager know about any prior issues and explain how you resolved them, or intend to do so.
6. Prepare your paperwork Property managers get inundated with applications for rentals in a competitive market, therefore, the first viable applications may be presented to the landlord quickly. With this in mind, it pays to prepare so you are ready to move swiftly. Application forms can usually be found online, allowing you to fill them out before the inspection and hand in on the same day. As well as the completed application form, make sure you have copies of your identification, proof of income, previous utility accounts, and references on hand.
7. Write a cover letter A cover letter isn’t standard practice for a rental application; however, it could be helpful when trying to distinguish yourself from the competition. A cover letter is an excellent opportunity to give a fuller picture of yourself and your situation, reiterating your viability and explaining any gaps or breaches in your rental history
.8. Prepare your references The final step property managers take in the tenant decision process is to check references. As a courtesy, it’s good practice to inform your referees ahead of time. A landlord is unlikely to ring a reference more than twice if they don’t answer, so consider providing a few extra references as a contingency.
9. Prepare your finances Make sure you have your bond and the required number of weeks’ rent ready in advance. You may tick all the boxes during the rental application and reference process, but you will miss out on securing the property if you don’t have the funds ready. Paying the bond and deposit, or initial rent, will be the final step in securing the property, along with signing the tenancy agreement.
10. Be responsive Once you’ve applied for a property, be on standby ready to respond to calls or emails from the property manager or get back to them as soon as you can, and make sure you have got everything ready if you are approved. If you are approved for a property and have other applications pending, make sure you withdraw any other applications quickly so as not to waste anyone’s time or have other prospective tenants thinking they have missed out on the property
This is a very common question when people are looking to purchase a new home. It doesn’t matter whether it’s your first home or your 10th, the question However, it is important to note that you don’t need to limit yourself to a bank, there are are numerous other financial institutions that can help with the house buying process. There are several reasons why this is a good idea.
Establish Your Credit
The first reason is to establish how much you can borrow. This will depend on your current financial commitments, your credit rating and your earnings. If you have a house your current level of equity should also be considered although this is effectively your deposit on your new home.
Know Your Options
By talking with different lenders you’ll be aware of the different options that are available to you depending on the value of the property you want. This can help you to stretch your budget or get the best possible deal on your next mortgage.
Be Taken Seriously
If you’ve taken the time to become pre-approved then any seller will be more interested in your offer. The seller will see you as serious, prepared and likely to give them a hassle free sell. This will help in any market, but will be especially useful if you’re tackling a ‘hot’ market.
Establish Costs
When you’ve found a property you’ll need to pay the deposit. There will also be lender fees insurance and a few other costs that need to be covered. If you know how much you can borrow then you know how much you can spend; and what it will cost you upfront. There is a surprising amount of paperwork needed to complete a house purchase By applying early you’ll have got the ball rolling making the process much simpler when you find the right house and need to complete the sale.
These are a just a few helpful hints to help you along the way, remember preparation is everything when you start this journey.
Everyone who’s in the market to sell a house has one goal: to make the most profit out of it. This goal leads some sellers to decide to sell their property themselves, rather than hire a real estate agent. You can see the logic: real estate agents can charge large commissions and fees that could leave you a few thousand dollars short. Considering Australia’s average home price, the usual 2.2 percent standard real estate commission for an estate agent could cost you up to $20,000 of the total price – and that’s before taking out your solicitor’s fees, stamp duty, and conveyancing fees.
Why choose a real estate agent?
The majority of people choose real estate agents because they provide expertise, knowledge, and skills that are vital in property sales and negotiations. They know how to work the market, what buyers are looking for in your area, and how to improve your chances of a greater profit. They know how to maximise your sale in a way that you might not be able to if you sell yourself. The upside is happy customers are out biggest asset. Our agents are dedicated to getting you the best possible price. Get in touch today to find out how we can maximise your sale price.
Experience and expertise
To become a top-selling real estate agent you must have knowledge of the market, understand the psychology behind buyers’ decisions, and be educated in the field. Agents know how to value a property and set the right price to compete in the ever-changing real estate market. If you want to be able to market your property to its best advantage – and to the right people – this is crucial. Selling without a real estate agent can save you the commission fee, but it often can result in the undervaluing of your house. That, alongside the costs involved in selling a property, can mean you end up losing a lot of money. A good agent must also have sharp negotiation skills and confidence. The market can be a tough place to compete, so you will need someone with the determination and ability to fight for your property.
Access to potential buyer databases and marketing resources
How many people to do you know who are in the market for a house? What marketing channels are the most efficient to get to potential buyers? How do you know who is serious and who is just browsing? Real estate agents know the answer to these questions. They have access to a greater pool of potential buyers, and already have the marketing resources to get your property out there and sell it in a faster time frame at a higher price. Working with a real estate agent is the best option for many, but the agents’ commission can be a deterrent. So, how do you get the best of both worlds?
Simple: a real estate agent that works with flat fees rather than commissions. A flat fee includes all the perks of working with a real estate agent no matter how much you sell for. Options can vary according to sale approach, but a flat fee guarantees that you will make the most out of your sale and won’t have to worry about hidden fees or extra expenses. No more worrying about taking on the role of a real estate agent, just sit back while they work their magic. Find out about how you can save with Upside's flat fee model today. As a homeowner we all want the best and when it comes to selling we want the most profit so therefore the answer to this question is very simple, you need a Real Estate agent to sell your house you are paying for their experience and knowledge.
The Brisbane 2032 Summer Olympics could fuel the biggest real estate renaissance in the city’s history, with industry experts predicting a gilded decade of property price growth that will push the median house price past the million-dollar mark and see key infrastructure suburbs soar. Houses and units in a 10-kilometre radius of the CBD – including Hamilton (where the Olympic village will be built), Tennyson (which will house the tennis), Chandler (which will host the gymnastics) and Woolloongabba (home to The Gabba Stadium) have all been tipped to bring home the gold, with buyer appetite already rising.
Many consultants in real estate believe one of the most under looked markets is Brisbane city itself and it’s a market that’s had an oversupply of vertical living … but with its proximity to universities and with the new bridge that joins Kangaroo Point and Woolloongabba that market will explode. Kangaroo Point is another market of vertical living, so I think investors and first-home buyers will see it as a possibility … so I’m betting on that vertical market being slammed (in the lead up to the Olympics). Most believe suburbs that are related to the Games, such as Woolloongabba, are going to accelerate … and they will get greater benefits than anywhere else.
“This is definitely going to give our city something to look forward to and it’s a reminder that we’ve got a 10-year plan now and I think that gives people so much more confidence.
“There are so many powerful forces working for the Brisbane market and the Olympics are just one, so we are naturally going to close the gap between us and southern states, and then with the addition of major infrastructure – such as the Cross River Rail, Queens Wharf and the Eagle Street development, Brisbane liveability has never been better.
Anywhere in Brisbane within five to 10 kilometres of the CBD will prove to be a good investment … and some are already at the start of their run, like Woolloongabba. It’s still undervalued to a degree … and it’s only going to improve. COVID has really shone a light on Brisbane … and now everyone is excited about the Olympics … so I think what is going to happen is the Brisbane market will continue to grow (at a stronger rate) in comparison to Sydney and Melbourne and Hobart.
“The inner rings (will flourish) as you’ve got a lot of infrastructure coming there … and then places like Mount Gravatt, Wishart and Indooroopilly (could see major growth). While they are not directly impacted by the Olympics, everyone knows the best schools are there and that’s their attraction.
Despite being one of Australia’s fastest-growing suburbs for the past few years, this Gold Coast pocket has largely flown under the radar with investors and recent arrivals from southern states – until now.
Compared to better-known pockets on the Goldie, such as neighbouring Coomera to the south, Pimpama still has a fairly affordable entry price point.
But a surge in demand recently for properties in proximity to the beach has sparked extraordinary growth.
Local agent from the Gold Coast all said despite being on the northern fringe of the Gold Coast, the area is in a strategically desirable location, where buyers are seeking city, surf, or natural serenity. “It provides a central point between Brisbane, the Gold Coast and the Scenic Rim. Early construction works began in late 2021 on a local train station that will make commuting either north or south much more convenient.
“There’s a massive amount of money being invested into local infrastructure such as the Pimpama Sports Hub, the Home Focus [lifestyle and homemaker centre] and the upcoming train station,” There’s a good selection of schools, public and private, as well as an ever-expanding range of local amenities, from retail to dining. The median house price has surged by 20.4% to $560,000 over the 12 months to January, while the median unit price is up 3.6% to $420,000.
Although generously sized family-style detached dwellings are the dominant housing type and most sought-after by buyers. There is still some very good buys in this area and I encourage you to contact Robert Cox a Principal and a fully Licence agent who know the Gold Coast very well.
Cheers
Robert Cox
Tyme Real Estate@realty
Office - 07 3281 2325
Mobile - 0400363876
With Australia’s owner occupiers taking out bigger home loans, and signs pointing to national housing values potentially approaching a peak, what risk could home owners face if they were to come face to face with a downturn in the future?
According to recently released figures from the Australian Bureau of Statistics (ABS) the national average mortgage size for owner-occupiers reached a record high of $595,568 in November 2021.
The value of new housing loan commitments also rose 6.3 per cent to $31.4 billion in November 2021 (seasonally adjusted) following three months of falls. Around one third of this activity came from investors, whose new loan commitments rose in value by 3.8 per cent to reach a new all-time high of $10.1 billion.
However, this rebound may not herald a sustained upward trend. According to Core Logic research director, Tim Lawless, while housing markets around Australia have not yet reached their peak (defined as “a consistent trend in negative monthly movements”), many may have already moved through a peak rate of growth around March 2021.
In other words, average property values may still be increasing, but are growing more slowly than they were in the past.
According to Mr Lawless, the three biggest factors to affect market movements are:
Policy-related factors such as interest rates and credit availability
Market factors like the trend in advertised stock levels and housing affordability
Economic factors such as labour market conditions and wages growth
Additionally, other signs to watch for include:
rising advertised stock levels
affordability constraints
weakening auction clearance rates
softening vendor metrics such as longer days on market and larger levels of discounting
That said, a peak may not be immediately around the corner. Even though an increase to the national cash rate (which could push up home loan interest rates) is on the cards for the future, potentially as soon as 2023, Mr Lawless added that the Reserve Bank of Australia (RBA) is unlikely to tighten its policy settings with so much uncertainty associated with the latest Omicron case numbers.
Rate City research director, Sally Tindall, said that while growth in property prices is starting to slow on the back of fixed rate rises and a crackdown by the regulator, the opening up of borders this year will likely increase demand, keeping prices moving north. This could potentially price many young first home buyers out of the hottest property market in decades.
But if Australia’s property values were to reach a peak, what could home owners expect to experience if this led to a downturn?
If property values were to fall sharply in your area (like they did following the end of the mining boom in areas like Perth and Darwin), home owners could discover that they no longer have enough equity available in their properties to easily refinance their mortgages. It’s even possible to end up in negative equity, where you owe more money on the mortgage than the new value of the property. Of course, with many Australian households already being ahead of their home loans, their risk of ending up in negative equity may be lower.
Because it’s not possible to accurately predict the future of Australia’s property and mortgage markets, it’s important to consider your own financial situation, compare home loan options and make the best choices to suit your needs. You can also consider contacting a mortgage broker for more specific advice.
With low stock levels driving prices upwards in many states including Queensland, New South Wales and Victoria, we reveal the top five questions all buyers should ask before jumping in.
The questions every buyer should ask a real estate agent are the questions that the average buyer wouldn’t readily know the answers to. Practical considerations can impact greatly on the selling price and its potential resale value should be considered prior to purchase. The important thing to remember in a competitive market is not to let emotion take over and overvalue the property.
You don’t want to be left with a property that is not going to be suitable for your needs long-term and you certainly don’t want to inherit other people’s problems.
How did you price this house?
Typically, houses are much harder to value than units where buyers can easily compare like for like. By asking an agent how they put a value on the house, they are then obliged to provide a list of comparable properties in the area and present their justification for the asking price. As a buyer, your number one priority is to make sure you are not overpaying and that you are getting good value for money.. The only way to do this is to research comparable houses and selling prices in the area.
How long has this property been on the market?
The length of time a property has been up on the market is a good indication of how ‘stale’ the property may be. A long time on the market means buyers have not viewed it favourably and this could impact on the sale price. Buyers should also ask whether the property has been listed with any other agents prior and whether it has been on the market previously in the past year. This is a good indicator as to whether the property may be overpriced and whether the vendor may be more motivated to sell.
When was the last time the property was sold?
The selling history of a house can tell a buyer many things. If it has exchanged owners several times in a short period, this could tell the buyer that there may be problems associated with the house that are not immediately obvious. Some examples of this could be potential flooding, plumbing issues or even bad neighbours. In addition, understanding what is was last traded for, along with the expectation on price, will provide you with an insight as to how the house has performed.
What are the reasons for selling?
It is always important to know the reason the owners are moving on. Often knowing the reasons for selling can help with the negotiation. If the owners are deemed ‘motivated’ to move on e.g. they have bought elsewhere or they are in the middle of a property dispute, then the balance of power could swing favourably towards the buyer.
What improvements have been made to the house and have they been approved by council?
The sales price history of the house may not reflect a recent renovation or extension and therefore this will need to be factored in to your offer price. Likewise, any extension will need to have the appropriate certifications from council. Your solicitor or legal representation should be vigilant on this point and check.
You can remodel the kitchen, add on a bedroom, knock down a wall and change almost anything about a house with some tools and a paint brush everything, that is, but the location. Which is why veteran real estate professionals constantly remind folks of the basic rule of real estate — location, location, location.
It is the real estate agents’ mantra: Location, location, location. You’ve certainly heard the phrase enough and may wonder what inspires agents to say the word three times. In a nutshell, location, location, location means identical homes can increase or decrease in value due to location. The saying is repeated three times for emphasis, and it is the number one rule in real estate, though it is often the most overlooked. Location is number one, two and three on the list, according to many real estate experts. It’s what drives the price. Are you on the beach or are you just off the beach? Even the word “waterfront” can mean different things depending on the location of the neighbourhood. Waterfront might be affordable in some places but it comes down to where is the waterfront located, Remember, you can fix up the mediocre house but you can’t pick up and move the nice one.
Location not only affects the price but also the desirability of a home. Where the home is located is the key factor in affecting a home’s value — both now and in the future. Buyers are often more interested in the house or the floor plan, but from an investment standpoint, finding the best location should be a top priority. Therefore, we strongly recommend you invest your hard-earned money only in the property with the best location. Because it will always be: Location, Location and Location.
A closing thought “Real estate cannot be lost or stolen, nor can it be carried away. Purchased with common sense, paid for in full, and managed with reasonable care, it is about the safest investment in the world.” – Franklin D. Roosevelt
It goes against everything your risk-averse inner voice is telling you, but buying a new home before you sell your existing one has its advantages. You might be a growing family looking for more space but keen to keep your moving down to a minimum. Or you might want to spend time renovating your new pad and avoid having to rent somewhere until it’s finished. And in a “hot” market, it can make sense to secure your new house before prices rise even further.
However, there are also plenty of dangers. Most advisers say that despite banks making positive changes to bridging finance, buying first still tends to be regarded as a riskier proposition. “If you sell first, you know what you’ve got. It’s old-school thinking that you always sell first but the real benefit of that is even if agents are telling you you’re going to get $2.5 million, imagine if you got $3 million? It changes what you can look at to buy. By the same token, if your existing property falls a little flat on auction day and you get less than you were expecting, at least you haven’t committed to something too expensive. Just make sure your property is always ready for market and that you have a realistic understanding of what your property is worth, that you know what your borrowing capacity is, what your cash flow is like, so you know what you can afford to spend on a property.” It pays to have a Plan B in place, in case there’s a hiccup with your sale.
Tyme Real Estate Managing Director, Robert Cox, believes at the end of the day, you inner voice is probably right, but knowing your numbers and being realistic about what you can afford is timeless advice.