Choosing the Right Agent

Selling a property is not something you do every day so knowing what to look for in a selling agent isn't exactly an easy thing to do.

If you choose a selling agent purely on quoted price, you could make a huge mistake. Thousands of sellers have learned from bitter if not expensive experience that the price the selling agent says you should achieve and the price the property is really worth and ends up selling for are often quite different.
More often than not selling agents who tell you a more accurate "at market" price lose business to agents who tell prospective vendors an inflated "above market" price. This puts the more honest agents in an unfortunate situation. If they tell the truth, they run a much higher risk of not getting your business at all — and the problem is they all know this.
This is why many try to avoid the price and say, "It's hard to judge exactly. It depends on who is currently in the market. Let's not put a price on it. Let's auction and see what happens."
When you ask for a guide on your home's likely selling price, many selling agents will ask you what you think it's worth or ask you what would you like for it. They will often simply agree with whatever you say and add, "if that kind of money is out there for your home I will get it for you". Or they will simply either avoid giving you a price and talk auction or inflate the figure above what they think it's really worth in the hope to secure your business.
Interviewing selling agents is similar to a job interview. The job description you're after should be along the lines of: "A person you like, who presents well, who genuinely likes your property, who you believe will act in your best interests and be honest with you at all times and will work hard to get you the highest price possible".
 
Do your homework on the agency also paying attention to:

• The quality of its website. Was it easy to find them and navigate through to view properties? Do they add descriptions which make you want to inspect their properties? What's their area profile like?
• I suggest you become a mystery shopper with any local agencies you are considering going with. See how they really treat prospective buyers.

Picking the right person could easily make a five percent or more difference in the final sale price so do your research and pick wisely.
Ask your friends for a referral to someone they have dealt with. Have they worked with an agent who did a great job? Once you have a list of agents, make an appointment with each one to learn more about their services. Always interview at least three selling agents and if you don't like what you see pick another three.
Listen to your instincts. Show each agent around your home. Watch their level of interest by seeing if they ask questions or make notes.
 
A couple of good questions to ask each selling agent are:

• "What will you do to get the best price for my home?" and "What will you do to sell my home if the advertising you suggest doesn't work?"
• Ask them to explain the benefits of any marketing tactics that will be used to sell your house; including print, the Internet and other types of advertising (you'll already know much of this if you've done your research on them).
• What's their commission rate? How does it compare to that of other agencies that offer the same services? Keep in mind I don't suggest you pick the cheapest or the dearest … I suggest you pick the best person for the job and as long as their fee is reasonable then use them.
• Find out how long they want you to list with them, keeping in mind that three months is pretty standard. Some will say to you I would have this sold in a few weeks with the amount of buyers I have on my books so offer them a four week agreement and gauge their reaction.

It's good to know how long the (potential) listing agent been licensed to sell real estate and what else they have sold in the area as you don't want to trust the sale of such an important asset to an inexperienced person.
Remember, do not be intimidated or allow yourself to be pressured into doing anything that doesn't feel right. It is your home and you are in charge, so take your time when making such an important financial decision.
 
By Patrick Bright*
 
* To learn more about Patrick Bright visit http://www.epspropertysearch.com.au/

http://finance.ninemsn.com.au/pfproperty/sellingandmoving/8123594/sell-your-house-choose-a-selling-agent

Good News for Investors

Subdued confidence in residential real estate could deliver enhanced returns

While the previous year has seen residential real estate prices drift lower due to reduced consumer confidence and economic uncertainty, a recent study has shown that this may provide increased opportunities throughout 2012.

The Property Council of Australia has released the finding of a survey conducted with ANZ that shows the potential effects to be had on the market in the medium term.

According to their findings, the long-running commentary on the "imminent collapse" of housing markets across the nation has "weighed on market confidence".

The researchers noted a correlation between negative residential news and measurable drops in property prices, but say that they remain positive about the prospects to be found over the rest of the year.
They say that a strong demand for labour and increases in combined household incomes will help to support property prices and may eventually see them return to a strong phase of growth.

"While we expect Australian house prices to ease further in the 12 months ahead, we maintain a cautiously optimistic medium term house price view supported by a robust economic outlook, low unemployment, flat to falling mortgage rates, improved affordability and a further tightening of the housing demand-supply balance," asserted the authors.

http://www.ljhooker.com.au/property-news/employment-conditions-could-improve-residential-real-estate-prices/800473320?sid=rnb

Kylie's Tip of the Day...Music

Play gentle music to make buyers feel at home.

Choosing the Right House

There are a number of things to consider before you set out to buy a home. It will help if you know where you want to buy, and what size and type of home you want. These factors will affect the price of the home, which in turn will affect the amount of deposit you will need. It usually takes some time to find the right home so this will give you an opportunity to organise your finances and apply for a loan that you can afford in the long term, if you need one.

 

House or unit

Units are particularly suitable for individuals living alone or for couples without children. They require little maintenance compared to many houses and are available in most areas. When buying a unit, you should be aware of any strata or community title provisions that may limit alterations or prevent you keeping a pet.

Strata and community title arrangements oblige you to take shared responsibility for the maintenance of common areas, such as gardens, roofs, parking areas and so on.

The purchaser of a strata or community title unit will be given information about the strata or community corporation as part of the purchasing process.

Property searches

The Land Titles Office maintains public records that can be accessed for a fee. Various land information and property searches can be conducted including: ownership details, sales details, sales history and valuation details.

PropertyAssist is a State Government website that can provide agents and members of the public with a package of information about a particular property including, certificate of title details, property valuation details, a graphical view of the allotment boundaries, as well as property and building details. A search fee is payable for this service. Visit http://www.propertyassist.sa.gov.au/

Attend open inspections

Attend as many open inspections as you can to gain a better understanding of the layout and amenities you want in the home.

Consider:
• whether you need a unit, townhouse, apartment or a house
• how many rooms you will need including bedrooms
• how your needs may change over time
• the size garden you want or indeed whether you want a garden
• whether you want an older or newer house
• costs and time if you are planning to renovate
• council regulations on renovations or extensions, and
• council services.

If you find a suitable property, inspect it thoroughly and speak with the selling agent to check if there are any easements, caveats, covenants or other encumbrances that may prevent future alterations to the house or affect how you may use the property.

Keep an eye out for potential structural problems:

• Cracked walls or sloping floors could mean subsidence or that stumps need replacing.
• If there are large cracks, seek advice from a structural engineer.
• Damp brick walls can indicate rising damp or salt damp.
• Mouldy walls, lifting tiles, peeling paint or pools of water in wet areas could mean excessive moisture or poor drainage.
• Blisters or bubbles on paintwork could indicate termite activity.
• Fretting or cracked brickwork could indicate major structural problems.
• Sagging roof framing, or cracked or broken roof tiles may involve costly roof repairs or replacement.

A person who is selling a property, or a real estate agent acting on their behalf, is required to give all prospective purchasers an information notice or checklist to assist them in finding out whether there are features of the property that may adversely affect their enjoyment, or safety or value of the property e.g. the presence of asbestos, structural problems due to termite or salt damp, illegal building work, property close to live music venue, whether the property has a septic tank and so on. The checklist should also prompt people to think about a number of other issues including energy efficiency, alternative water connections and sources, and the possibility of illegal additions or alterations.

Researching the market

Make a list of the locations you would like to consider. Don't forget about the facilities available close-by such as shops, schools, public transport, parks, childcare or recreation centres. Nearby commercial premises may also affect your decision. Check with your local council for zoning regulations.

Check 'Real Estate For Sale' advertisements, recent sale and auction results to work out if you can afford a home in the area(s) you have chosen.

Many agents now use online marketing technology through specially designed web sites. Some sites take you on a virtual tour of properties listed for sale, and enable you to complete a very specific property search. Some may also provide information about locations, house values and how to assess the condition of a home.

In determining the value of a home, it pays to compare prices of similar homes in the immediate area. Check on:

• homes that are currently being offered and advertised for sale in the paper or at your local agent's office, and
• prices achieved for comparable homes recently sold in the area.

Always remember that a real estate agent is usually engaged and paid for by the vendor (seller) and therefore acts for the vendor - not you as a buyer.

http://www.ocba.sa.gov.au/consumeradvice/realestate/

Kylie's Tip of the Day...Storage



They WILL look, be prepared.



Buying a House

Purchasing a home is one of the biggest financial decisions you will make during your lifetime. Managed well, it can be a very rewarding investment over the long term, so it is important to understand your rights and how to exercise them. It is also important to spend time working out what you need and what you can afford before you commit to purchase.

Whether you purchase a house privately, through an agent or at auction, the thrill of finding the right house, in the right area, at the right price, is something special.

When buying a home:

• be well informed of your rights
• shop around
• be prepared to negotiate
• don't be afraid to ask questions if you are unsure
• don't rush your decision making
• read everything before you sign anything.

http://www.ocba.sa.gov.au/consumeradvice/realestate/buying/index.html

Kylie's Tip of the Day...Pets



Use a deodorising powder
and vacuum before your open inspection!



How to Sell Fast in a Slow Market

About to sell? Who do you target your property to - and how? Costa Charalambous and Your Investment Property reveal how:

When you bought your first property, you had a purpose, the property met your needs, and certainly there was a special connection.  Now as the vendor, you are on the other side of the fence. But stepping into that old hat again and being in the buyer’s mind can help you be at the top of the selling game.
To be an ace property seller, having sound knowledge of your property and your target market should be at the top of your sales strategy. Unfortunately, not all properties are made to a one-size-fits-all specification. In fact, these days, many buyers are looking for properties that they think and feel are made for them, and only them.

Know your property, know your client
So what type of property do you have to sell? Is it a 4th-floor inner-city unit? A two-storey house in an upmarket suburb? A bungalow in a peaceful cul-de-sac? Is it brand-new, updated, or in need of some TLC from its new owners?
A simple SWOT (strengths, weaknesses, opportunities and threats) analysis can help you pinpoint the unique selling points, “WOW” factors, problem areas, and standard features of your property, which would be most suitable and appealing to the discerning buyers.
Logically, a 4-level terrace would not be suitable for a 60-year-old couple but a courtyard ground-floor apartment would certainly be; while a top-floor apartment with no lift could be ideal for a young couple or a goldmine to an investor.

Insider tip!
Imagine and make a list of who (market segments) you think are likely to live in or buy your property by looking at its qualities and features. Once you have identified your market, you can start tailoring your property to them. Here’s what to consider:

1. Property staging and presentation
First impressions and presenting your property as their dream home or dream investment is the key to getting your property sold. Your target is to create the desire to buy and the emotional bond between property and buyer.
Keep the property clean, orderly, pleasant smelling or odour free. This is on every buyer’s checklist, whether they are newlyweds, a young family, empty nesters or retirees. Moreover, not all buyers are patient enough to try to look beyond a messy, dirty or smelly house - unless it has unique and special qualities that appeal to them or they are investors - as they probably have seen or will be seeing a number of properties that day. And remember, property viewing takes place only for around 15 minutes, so you have to cut through to the unique selling propositions right away.
Furnishings/decoration should appeal to your target market. Keep it modern if you’re eyeing a young market. Hire contemporary furniture and artworks through your real estate agent if required. Play modern, upbeat music at inspections. Alternatively, if targeting empty nesters, you can get away with older-style furniture & traditional paintings. To add a homey effect, you can also set the dining table, light the fireplace in winter, or put fresh flowers in spring.
De-clutter and keep the furniture at a minimum. This allows free flowing movement from one room or area of the house to another and provides bigger moving space for buyers. Another reason for this is that most buyers, especially those looking for unfurnished properties, would be decorating themselves and would like to inject their own tastes and preferences. It would be difficult for them to mentally play with the design of the interior if it is overly furnished. If possible, hide family photos and personal mementos in drawers, and shove in the garage out-of-place furniture (including broken ones) such as the worn-out green sofa you recline to at TV time.
Keep the property unoccupied at the time of viewing. If tenants/owners are at the property, it can distract potential buyers from imagining themselves living there.
Create an ambiance that says “this is for you” but make sure it also appeals to a cross section of market segments. The wider audience you appeal to, while showcasing the property’s WOW factor, the higher chances of a sale.

2. To renovate or not?
Many people have opinions about whether or not to renovate before selling. Based on our experience, buyers prefer un-renovated properties.
When you read about record prices achieved for properties in the newspaper, probably 95% of these are apartments in the right location and in complete need of a renovation or in original condition.
One of the reasons is that most buyers feel they will get the property cheaper if it’s un-renovated. They fall in love with it and want to make it their own. And the truth is, with so many people clamouring for these properties, this creates competition, driving the prices up. This is why these properties sell for a mint.
However, there are cases where you must renovate to maximise your sales price. If the apartment you are selling is too dated for anyone’s appeal, or located at the back of your building, has no aspect and is facing west, then a new renovation will add a positive to the property. This becomes a major selling point.
If your property is north-facing with water views, those qualities are strong selling points in themselves so renovating might not attract more buyers (and therefore may not drive the sales price up). In this case, you can list at your highest reasonable selling price.

When renovating pays
Planning for a property sale is a usually tricky and daunting task better left to the experts. A good real estate agent would help vendors identify the target markets for their property based on the property’s type, features, qualities and potential, then market it in the most effective and efficient way.
Most agents will want your property, and will be in a hurry to do the deal. A good agent will help you target your potential market better. Their job is to create attention, interest, desire and action. Go for the agents who will be upfront and honest with you, and not waste your time and money.

Promoting your property
The key to remember here is not to ‘tailor’ your promotional avenues. Promote your property through as many channels as you are able. You will want to market everywhere to maximise opportunities. It’s like fishing with a net compared with a fishing line. Having said that, I’ve found the internet is the biggest and most successful avenue.
It’s the photography and advertising copy that should be tailored to your market. In fact, copy and images are so important that agents will seek services of professional photographers and copywriters rather than do it themselves. A popular extra feature these days is the virtual tour.
Everyone likes seeing more realistic images and interesting viewing angles of a property which a normal photo would not be able to provide. Your marketing campaign should mention this feature in their promotions and listing. But beware of the additional software downloads that may be required to open the tour or the potential low download of the tour facility, depending on the user’s internet speed so keep the software system as simple as possible.
Talk to your agent about using a combination of marketing communication tools and media to ensure you have reached the most number of audiences financially viable. Apart from online listings at various real estate sites, consider mail outs and classified ads. PR or a newspaper article about your property can add credibility and genuine interest. This is usually ideal for unique properties.
The most effective advertising copy addresses the buyer directly (“you” and “your). Regardless of who you are targeting, potential buyers will feel the ad is directly and exclusively talking to them so they are more likely to pay attention and respond to the ad than if using impersonal terms.
Your ad should highlight enough features to get potential buyers to register for a viewing. Don’t reveal everything, so the excitement or surprise continues in the actual viewing.

Open houses or auctions?
There are reasons for choosing either open houses or auctions to show your property.
Open houses are ideal if you have the time to spare on several viewings and can wait for the most lucrative buyer. You want as many people to come to inspections as possible, but at the inspection, the agent should really be talking to the target market, engaging them in conversations about the property and answering their questions.
Auctions on the other hand are handy if vendors require quick sales or if the property is unique and hard to value such as a luxury pad offering a roof garden or pool, for which a sale can be made at top price.  Many rich buyers may want to skip numerous and tedious viewing trips.

Delivering marketing promises
Marketing does not end with having buyers at your open house or auction.  Meeting client expectations and marketing promises can be a deal maker or breaker. Make sure the unique selling propositions mentioned in your marketing communications are there for the buyers to see. If you highlighted child-friendly living spaces in your marketing, make sure there are no fixed furniture or pointed/hazardous features that contradict your claim.  Nothing is more frustrating than not getting what you expected from advertising.

by JoeyJ | 17/01/2011

Copyright Your Investment Property and Your Mortgage republished with permission.

http://experts.realestate.com.au/selling/selling-news-how-to-sell-fast-in-a-slow-market

Pre-approval Pays



Finance pre-approval will set your budget and save you time.


Before you go out looking for the property you want, you'll need to have a good idea of how much you can borrow, what your repayments are going to be and ideally have a pre-approved loan application in place.

We can help find the loan that best suits your circumstances and arrange pre-approval so you can confidently go property hunting. And when you've found the one you want we can do the rest.

We make it easy to take the next step

There are three easy ways to arrange your obligation free consultation, at a time and place that suits you. You can enquire online or find the contact details for your closest LJ Hooker mortgage broker from our extensive network throughout Australia or call us on 1300 515 200. It's that easy. We'll do the rest.

http://www.ljhookerhomeloans.com.au/

Preparing your Home for Sale

 

Inside Do a complete spring clean, buy some storage boxes and get rid of all clutter. Scrub walls, skirting boards, floors, tiles, windows, light switches and fixtures. Give the walls a fresh coat of paint, particularly if this hasn`t been done for some time. Choose light and neutral colours that have wide appeal. Repair any leaking taps or broken appliances that you wish to include in the sale. Check that all fittings and fixtures are in good working order. Check that doors, windows, awnings and blinds open and shut properly. Make sure the kitchen, bathroom and laundry areas are spotlessly clean and there are no chipped or broken tiles. Use your best linen on the beds and best towels in the bathroom. Replace outdated light fixtures. Have carpets, lounges and curtains professionally cleaned.   Outside Wash down the external walls and clear out the gutters. Sweep the driveway and paths. Keep lawns cut and reseed any bare patches. Trim back trees, especially if they are blocking light into the house. Weed the garden, add some mulch to garden beds and put some colourful pot plants in clusters around the yard. Keep garden furniture clean and tidy. Clean the windows and entrance doors. Tidy up the garage and garden shed. Repair the fence if necessary. Keep bins out of sight. Keep water features, pools or ponds clean.

http://www.renovatetosell.com.au/1046/Must-Do-Checklist

Kylie's Tip of the Day...Lighting



Use bright lightglobes for a quick and easy pick-me-up!



5 Tips To Get The Best Price When Selling Your Property

For whatever reason, if you have to sell your property as soon as possible, don't panic! It's easy to be overwhelmed but the best way forward is to set out a plan for selling and work through it step by step. Don't be deterred if the word on the street is that 'it's a bad time to sell'; just keep the following tips in mind and selling your property quickly, and for a good price, will be achievable.

There are five common mistakes that homeowners make when wanting to sell their place quickly. I am going to tell you the mistakes then give you some advice about how to overcome the error.

The five most common critical mistakes:

1. Constantly reducing the price, little by little
When prospective buyers see a price dropping regularly it spells ‘desperation.’ Before you list your property do your own research to find out its value. Check out what the prices are of similar places in the area. The most inspected places on the market are those that are the cheapest and also the newest listed. By placing your property at the top of the list in both categories you will have yours sold in no time at all.

2. Hiring the Real Estate agent charging the least commission
To get the quick results that you are after it is essential that you hire a top real estate agent. Ask your friends, family and colleagues who they would suggest and who they have used. If you can employ a professional agent who can negotiate you another $15,000 on your selling price for $3,000 more commission, you are better off than using an agent who will ‘give your place away.’ Look for an agent who you can communicate with, who is prepared to go that extra mile for you, who has drive, commitment and will guide you through the selling process at a comfortable pace.

3. Waiting for the market to improve
Waiting does not ensure a better selling price. There are hundreds of home owners who do not need to sell quickly and they will be coming on the market each and every day. You will always have competitors so if you have to sell do it now and do it with care and conviction. Who says the market is going to better in the next year or two anyway?

4. Listing your property before you have staged it
One of the absolute worst mistakes is to present your place to buyers when it has not been cleaned and spruced up for sale. It is called ‘staging your place’ and can make an enormous difference to the amount you get offered. Clean out the junk – sell it or store it. Touch up any areas in the property that are showing wear and tear and get the garden regenerated, especially in the front. Potential buyers are there to look at your place and how their family could live in it, not at your belongings, so have as few personal belongings around as you need to have to live in reasonable comfort while it is on the market. Tidy the bedrooms and get rid of any excess furniture so that all the rooms look larger.

5. Consider every offer
A common mistake for owners, especially those needing the highest possible sale price, is to turn down the first offer. In selling there is a saying that ‘the first offer is the best offer’ and if you talk to a salesperson in any job where price gets negotiated, they will tell you that the statement is true in the majority of cases. You will get a lot of lookers in the first couple of weeks and if you are still on the market after that the number will drop quite dramatically. If an offer comes in during the first week or two, sellers are tempted to turn it down thinking the inspection rate will stay the same, but of course it does not. So, seriously consider every offer, especially the first.

Every investment you make in property requires your best attention. Large sums are made and lost through selling property, so learn how to avoid the above listed common mistakes.

by JoeyJ | 11/08/2010

Article by Reece Coleman, Place Double Bay

http://experts.realestate.com.au/selling/selling-news-5-tips-to-get-the-best-price-when-selling-your-property