Common Garden Mistakes When Selling a Home

There are five common mistakes that prevent houses from making maximum impact with potential buyers.

1. Not having a clear front entrance is the number one problem as it instantly puts potential buyers into a state of confusion not knowing where to look or how to appraise the property. You really need to create a welcoming entrance with an obvious front door. Painting the door in a fresh shade can help it to stand out but also try potting something colourful or architecturally shaped to draw the eye to the door. If the door is at the side of the property make sure there is a clear pathway showing the direction to the door.

2. It's a common misconception that by not having any plants or life in the garden it will feel bigger. It simply doesn't. By softening the visual lines that outline the boundaries of the garden the eye no longer can make out the perimeter of the space so it looks further afield - making it feel larger.

3. Fixing obvious safety hazards such as rotting timbers in pergolas and re laying lifting paving stones may seem like an expensive exercise especially when you are trying to sell the house but I think it better to invest some money in making the property more saleable so it moves quicker rather than dragging out the selling process accumulating additional marketing fees and risking the possibility that the property won't sell.

4. Garden maintenance is an on going job and just because you did a big tidy up at the beginning of your sales campaign doesn't mean you can forget about it all together. Remember to keep weeds away from the key focal areas, keep pathways swept and windows clean.

5. A flaking paint job can make a whole house look uncared for and it's so easy to fix. If you haven't looked after the paintwork of your house, potential buyers will read into that and think that you also haven't cared for the rest of your home. Paint is an affordable and instant way to update your house and by scraping off the old paint and applying a fresh coat or two, a house can be instantly modernised.

By Charlie Albone is a landscape designer and presenter on The Lifestyle Channel's Selling Houses Australia.

Read more: http://www.news.com.au

Can I Have a Pool With That?

AUSTRALIA'S house hunters have a hankering for swimsuit-friendly homes, new research show.

The latest data from realestate.com.au has put "pool" at the top of the list for refined search terms being applied by buyers.

The national number one is no surprise to Catherine Cashmore, a buyers advocate with National Property Buyers, who said that while it might seem alien to buyers in Australia's cooler cities - home hunters in Brisbane often won't consider a home without a pool.

"In Queensland that is one of the top things, you just wouldn't consider buying without one," Ms Cashmore said.

"But pools in Melbourne and colder cities, never."

Sadhaka Smiles, a CEO with real estate agency Harcourts, said agents typically saw the same response - with interest in pools rising in warmer climates.

Jellis Craig Doncaster director Andrew Keleher said pools are getting a bit more love in Melbourne as summer weather has seemed to extend in recent years.

"Most new homes in the eastern, bay side and inner suburbs seem to be built with amazing pools and there are still many homes from the 70s and 80s that have a pool," Mr Keleher said.

"Generally we find that gen X are buyers looking for pools as they have young families and will get many years enjoyment out of one."

And while pools may not always be at the top of mind in places like Adelaide, Melbourne, Hobart and Canberra - realestate.com.au has also noted a trend that elevates the word 'beach' into the top-ten most searched terms nationwide from November to April.

TOP TEN MOST SEARCHED TERMS ON REALESTATE.COM.AU

1. pool
2. waterfront
3. living + areas
4. granny flat
5. bedrooms
6. views
7. investment
8. duplex
9. swimming pool
10. shed

Among the reasons behind other popular searches, experts have a few further thoughts.

Ms Cashmore believe the term 'living areas' reflects that Australian families are staying together longer and need multiple living spaces instead of one large living space.

"Now they do recognise that they need more than one living area and space for growing teenagers going into adulthood," she said.

And the same can be said of granny flats, according to Ms Smiles.

"We have more and more kids staying at home longer than they used to, and on top of that there are elderly parents being looked after by people - or they might be searching for a granny flat for a place to put their kids in as well!" she said.

Ms Cashmore also noted that the term would be popular among investors, who could potentially derive two income streams from one property with a second building on the site.

Both were surprised to see waterfront in the mix, which is usually synonymous with wealth and status - an area of the market that has not been engaged with the market lately.

Ms Smiles, however, believes the popularity of the term could be a signal buyers have become more savvy and are doing more comparable research.

"It could be caused by owners doing their own research," Ms Smiles said.

"Or there might be a lot more people doing comparable searches seeing what things cost in different areas."

Both noted that with investors a heavy influence in the market at the moment the terms 'investment' and 'duplex' were unsurprising, and were common queries from buyers approaching them or at open for inspections.

But the jury is out when it comes to the popularity of 'sheds'.

"I don't understand why that's there," Ms Smiles said.

"I can only think there are more blokes out there wanting to get in touch with their male side."

Despite the list of popular terms, Ms Smiles and Ms Cashmore agree that the main thing in buyers' minds is always lifestyle and amenity - with public transport, schools, cafes and shops marking their top tips for what buyers are looking for.

Read more: http://www.news.com.au

Is the ‘Worst House on the Best Street’ Always the Road to Success?

It’s long been thought that buying the worst house in the best street is a wise plan for investment. After all it’s location that’s the most important aspect of any real estate acquisition right?

Well not necessarily so – many ‘would be’ property developers enter into an acquisition only to find themselves with a plethora of problems they hadn’t expected to encounter. Whether it’s purchasing a renovation project that puts you on the fast track to bankruptcy, or simply mismatching the suburb’s buyer profile, it’s important to get the equation right if you really want to win the game. Here are a few tips to get you started:

• Firstly, don’t imagine that purchasing and renovating for a profit is an easy exercise. It’ll more than likely involve significant holding costs and a number of years growth before you reap a harvest. The oft marketed ‘flipping’ technique made to look easy by numerous renovation television shows, is not for the inexperienced and can result in costly mistakes. Before you start see a financial advisor and be realistic about what you’re hoping to achieve.

• Learn the area profile and understand the type of buyer that purchases in your suburb of choice. If you’re purchasing in a family orientated suburb, concentrate on larger blocks of land with the potential to build a family sized home. If purchasing in a street full of single fronted period terraces, don’t buy the townhouse that sticks out like a sore thumb on the horizon. Chances are the reason buyers migrate to the area is due to the attraction of the architectural landscape.

• Subdivision is a marvellous idea, however again it’s important to pick your area of choice carefully. If you’re in a school zone, purchasing land that once subdivided only has the ability to fit two small two-bedroom units is not going to attract punters when it’s time to rent or sell. Make sure the land size is large enough to accommodate any future plans. The local council website can be a fountain of knowledge when it comes to gathering essential information of what is and isn’t allowed when developing. Also make use of your local government land data website to assess other important criteria such as zoning, heritage overlays or areas in threat of flood inundation.

• Watch out for outstanding issues such as large trees or sites with steep gradients that will blow the budget. Moving trees not only requires council approval, it can also be a very costly exercise. If they’re on the block’s periphery it may not affect your plans, however all due diligence must be assessed prior to signing the contract. Don’t consider embarking on a purchase until a solicitor has thoroughly checked the paperwork for items such as easements and covenants.

• Underestimating the cost of renovation is a classic error many would-be developers make. Even if you’re planning on demolition your plans may require the property to be liveable for a period of time (one or two years) before you begin your project. Get a building inspector to assess the property and inform whether there are any issues that will render the house dangerous for immediate occupation. If the roof is going to cave in as soon as there’s a storm, you need to take this into account before you make any long-term plans.

• Overpaying for property is the most common error investors make.
  
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  It’s not unknown for an unrenovated property to get a higher price than its renovated neighbour simply because people rock up to the auction thinking they’re going to ‘bag a bargain’. Old houses are often advertised as ‘executors’ auctions, quoted low, and therefore generate lots of interest and activity. If you don’t do your homework, or have doubts about a property’s value, it pays to invest in good independent advice. Sales campaigns are designed to create the impression that you’re purchasing a ‘one-off’ opportunity. However employing a buyer advocate not only opens you up to off market listings, you’re prevented from overpaying and have someone with strong negotiation skills to secure the ‘bargain’ you’re looking for.

By Catherine Cashmore, senior property adviser and buyer advocate for JPP Buyer Advocates http://www.jpp.com.au

Read More: http://www.apimagazine.com.au

The Worst is Officially OVER!

You know how they say nobody rings the bell to tell you that the market has hit the bottom? Well I’m ringing the bell! I’m about a year late but property prices have definitely already hit the bottom of this cycle and they’re on their way up.

The most recent official Australian Bureau of Statistics data tells a very interesting story. This is the price index of established houses. 

The areas highlighted show when property prices hit their lowest point after the initial impact of the GFC.

According to the information above, the bottom of the property market was in:

• December 2011 – Sydney
• September 2012 – Melbourne
• June 2012 – Brisbane
• September 2012 – Adelaide
• September 2011 – Perth
• December 2012 – Hobart
• June 2011 – Darwin
• September 2011 – Canberra

For the overall Australian market, the bottom was between the end of 2011 and the beginning 2012. Before you all jump for joy, look a little bit closer!

Even though all capital city prices are on the way up, not all property prices are above their previous high. Sydney, Perth and Darwin have record high property prices but all the other capital cities still have a little way to go before they pass their previous peak.

What does this all mean? It doesn’t mean that we are completely out of the woods yet. Yes, the worst is over but in my opinion we still have a little way to go before we can all breathe a sigh of relief.

Historically low interest rates will ensure that we won’t have to wait too long before property in all capital cities regains all previous losses. I forecast that all capital cities, with the possible exception of Hobart, should have new record high property prices sometime during 2014.

Then we can all jump for joy!

By Peter Koulizos, property lecturer and author of The Property Professor’s Top Australian Suburbs www.thepropertyprofessor.com.au

Read More: http://www.apimagazine.com.au

Buy First or Sell First?

Buy first or sell first; one of the most critical considerations in answering this question is of course your financial situation. There are a number of factors that you need to carefully assess before you decide which way to jump as the uncertainties here may well just push you over the edge. If not financially, then mentality!

If you decide to buy a property first before selling your existing home you will need to give careful consideration to your financial position and ensure that you can comfortably service the loan repayments on both the new property and your existing property. This number crunching can be easily determined but the unknown factor is time. How long will you have to sustain these extra payments? This will be determined by the time it may take to sell your existing home.

Many factors will affect the length of time it takes to sell your home like…your asking price, competition from similar properties for sale in the area, the number of available buyers in your price bracket and the state of the market in general. And most importantly, the skill of the agent you hire.

If you get it wrong here, it gets very very costly!

If you decide to sell your property first, a buyer is found first so you now know exactly how much you are getting which then allows you to calculate exactly how much you can spend on your new home. You’ve avoided the financial stress, the mental stress and disappointments.

So now you’re thinking…. well what if I can’t find something I want to buy? Surely it would be better to find something first then sell? In the majority of cases you will always find something.

The least costly way to go about this process is:

1. See what you can do financially. This won’t cost you anything.
2. Just to give you an idea, inspect a couple of homes that seem to fit your budget so you can see what you can expect to get for your money. You are not looking for the perfect home here! If you like what you see and feel that it is worthwhile making the move…
3. Find the best agent in your area to sell with.
4. Place your property on the market for sale.
5. Find a buyer for your property. Agree on the price.
6. Find the home you want to buy. Agree on the price.
7. Arrange the contract of sale with your buyer and the contract to buy your new home simultaneously.

Now you are straight out of the old home and into the new, in most cases on the same day! No stress, no bridging finance, no dead money wasted on rent and no extra moving expenses!

Read More: http://www.arec.net.au

Activity vs Productivity

Any Tom, Dick and Harry can be shown through your home and as a result you’ll probably think….I’m having lots of inspections therefore lots of interest, that’s understandable, a normal conclusion. But what if Harry is the only one in a position to buy? The only one who has an approved loan, or cash in the bank, or has already sold his current home and now needs to buy. That basically means that all the Tom’s and Dick’s were a waste of time!

Imagine getting a call from your agent saying he’s got buyers to bring around; you’ve had a late night the night before and thought… I’ll tidy up in the morning or, the kids have been kids and the place is really not in the state that you would like it to be, so you rush around madly tidying up, just as you finish there’s a knock on the door, the agents arrived. As the agent is showing the ‘buyers’ around you overhear…….we really love it, but we do need to get our place sold first, or, we like it, but really need that extra bedroom and 2nd bathroom like we said…are you happy/not happy? Is that activity or productivity?

The two main reasons this happens is:

1. Incompetence
2. Just plain deception

In the case of incompetence; it simply means that someone has not correctly qualified the buyer’s needs or wants, or capabilities. As a result you get people looking through your home that either cannot afford it, or it does not meet their needs, or they are just simply out for a sticky beak and so on. Is this activity or productivity?

In the case of deception; the agent already knows that the ‘buyer’ should not be inspecting your home but takes them through anyway! Why? Because he/she needs to be seen to be active to get the desired result they are after. This is where the sting comes in, you see after having ten or twenty ‘buyers’ march through your home, no nibbles, no offers, you start to hear little voices in your head saying….what’s wrong with my home, why is it not selling?

Now one thing you can be sure of and that is that the agent will almost certainly have started those little voices, the odd casual comment such as “gee we’re getting lots of buyers through Mr Seller, I am surprised we haven’t had any offers yet, I think we might be a bit dear”.
Whether it’s the fault of incompetency or dishonesty, the end result is the same you drop your price based on fiction not cold hard facts. You’ve resigned yourself to the logic that it must be too dear and drop your price; the agent has now successfully used the activity trap on you to get you to reduce your price.

The better agents will bring the best genuine buyers to your home. They will continue to keep you updated on those buyers and if they end up buying another property over yours, at least you know the feedback is genuine and a possible adjustment to your price is warranted, it will be based on fact, not fiction.

With preparation and research, you will quickly and easily identify the agent you want to look after your money.

Read More: http://www.arec.net.au

Playing with the Price

One of the roles of a real estate agent is to advise their vendors of a pricing strategy. Sellers quite often, against the agent's advice, instruct the agent to “bump it up a little” and the agent is on the spot to “do it or loose it”. Home sellers who demand to inflate the asking price of their property need to be aware of how their higher asking price can affect their final selling price.

Now there is nothing wrong with starting a little higher than comparable sales indicate a sale may occur, in fact, most good agents will recommend this approach especially if the market conditions are in your favour. However, most problems occur when the sellers feel that they need to add an extra buffer on top of the agents suggested asking price. This is where sellers price themselves out of the market and do the most damage to themselves.

Here's your typical scenario.... a real estate agent gives the seller a probable sale price of say $440,000 maybe as high as $450,000 and suggests a starting asking price of say $469,950 ($470,000) . The seller is happy with this but then instructs the agent to market the property for say $490,000 to $500,000. Just to be safe, just to allow a little for negotiation, just so we can come down a little. Now let's put our buyers cap on and see what the effect is!

You're looking at buying, looking in agent's windows; you know you have finance approval for up to $450,000ish. You like the look and sound of a particular property and notice that it has just come on the market but is asking $499,950 ($500,000). That's $50,000 above your budget. Now most buyers know that prices are negotiable, but generally speaking, most feel that you cannot negotiate $50,000 from the asking price and consequently will more than likely move on and not even make an enquiry.

The seller is oblivious to this situation, and as time passes starts to suffer frustration from apparent lack of interest, although buyers are inspecting the property, there are no offers forthcoming. The property gets stale as the buyer pool knows it's been for sale for a while and think that there must be something wrong with it because it's not selling.

Ok, so as a seller, motivation is starting to kick in, you now need to attract some attention. Even if you drop your price back to the agents initial suggested asking price it may not have the desired effect, mainly because it's been on the market for a while, and buyers have formed their opinions. Unfortunately a drastic price reduction may be necessary to attract some attention. As a result you may end up selling below the probable range suggested from day one.

When a property first comes on the market, it gets the most attention. It's new, it's fresh. Buyers looking in your area will notice it as being new to the market and will be keen to check it out. It is critical to have your property priced correctly when you first hit the market. It can of course be a little high, but the key is not to go over the top. Done correctly you are almost certainly assured of a healthy level of inspections and perhaps some offers to consider.

It is your property and it's always your choice whether to accept an offer or not, so don't price yourself out of the market, generate some interest, get an offer and work with it until you are happy.

Read More: http://www.arec.net.au

Get The Agent's Price Estimate First

How much do you want?
What price did you have in mind?
What sort of money are you looking for?

Why would a real estate agent ask you, the home seller, for this information?

One of the reasons, probably the main one, you ask an agent to come and see you when you are looking at selling your property is to determine your property’s realistic achievable sale price in today’s market. To advise you what asking price will be attractive enough to bring genuine buyers in and high enough to still achieve the best market price for YOU the seller!

So why would the perceived expert ask you for this information, the answer is quite simple really… The agents want to win your business, and they see that their opinion on price as being a major hurdle in doing this. See if they don’t tell you what you want to hear the chances are they more than likely won’t win the business. So it is easier to ask what you want, agree to it, and then deal with the wrong price once you are on the market, once they’ve won your business, once you’ve signed the selling agreement and are locked in with them for a period of time and can’t get out!

There are plenty of sellers on the market at the moment where the agents have never actually committed to an estimated sale price. All they have committed to is agreeing with the seller! They’ve managed to get a figure out of the seller first and gone along with that price, so the seller now thinks that their estimation must have been correct.

Worse still there are so many agents not committing to a price and pushing the ‘let’s auction it and the market will tell us’ scenario or ‘let’s market it without a price’ scenario and the properties are just not selling. The biggest loser in all this is the seller. If the property is auctioned it’s the seller who looses the money spent on the auction campaign. If the property is not auctioned but has an expensive advertising/marketing campaign it’s the seller who loses money again on a campaign for a property that is not competitively priced and it’s the seller that gets frustrated and almost goes broke and still no sale! What’s it cost the agent so far…

A good agent will sit with you and take the time to talk through the comparative market sales in your area. Armed with this information they will indicate a range where they can foresee a sale. They will also suggest an appropriate asking price to start at.

The price is the price and at the end of the day it is better to get an offer and reject it than have nothing to consider at all.

In a tough market it is even more important that you take the time to ensure that you are employing the best agent possible. It is critical that you ask the right questions in order to have the right agent working for you!

Read More: http://www.arec.net.au

The Silent Victims

Spring is almost upon us and it’s a time when home sellers frantically begin the preparation phase of getting their property ship shape to present it for sale to prospective buyers. It is important that your property presents well and is in the best shape it can possibly be in without spending a gazillion dollars.

But really, while presentation is very important to the final price you receive, there is one far more critical factor, which unfortunately, is overlooked by almost every seller and in most cases costs them a lot of money. These sellers are the silent victims… they never know that they could have achieved a better price.

All the preparation in the world will be wasted if the agent you choose to hand your keys to is not a skilled negotiator. Skilled negotiators know how to use all your hard work as leverage to make sure the buyer is paying the maximum price they can afford, and are prepared to pay. They push the buyer to pay more even after you have said… ok we are happy with that… and they are the one you want on your side.

Imagine handing a formula one race car to any driver, Joe Blogs off the street, the car is capable of winning the race, but the driver crashes as the required skill is not there.

Poor negotiators are exactly the same, they undersell property every sale they make.

There is an old saying Proper Prior Preparation Prevents Persistently Poor Performance, you have gone and spent the time, the effort, and the money to prepare your property for sale, why not spend a little time and effort in choosing an agent that will maximise your return? A point of presentation can easily be changed at any given moment, the agent can’t be.

When you sign up with an agent it is for a fixed period of time, most agents shine the brightest whilst they are trying to win your business, once you have appointed them and are on the market then they start to show their true colours. Most sellers do not find out what their agent is really like until after a week or two on the market and if you are not satisfied you cannot change agents, you are stuck with them.
You’ve done the Proper Prior Preparation on your property now do it with the agent! There are things that you can do when choosing an agent, don’t forget you are interviewing them for a very important job, you are in control. Do the market research into agent performance levels, ask questions to identify the skilled negotiators from the unskilled and be knowledgable on what information you should never tell an agent.

Remember the 7P’s and don’t be a silent victim. A little time spent now on agent selection will save a lot of time wasted later… not to mention your money! 

Read More: http://www.arec.net.au

Presentation or Desperation?

When selling property one thinks of presentation in the physical sense… everything in its place, neat and tidy, smelling of roses, you make sure it is presented perfectly to ensure you get the highest possible price, you are in control of this.

There is another form of presentation which will cost you dearly if it is done TO you! You are not in control of this….or are you?

How your real estate agent portrays your property in their advertising will directly affect the type of buyer attracted. The type of buyer attracted will directly affect the sale price you get. You can present your property perfectly, your agent can market it ‘effectively’ and all your hard work will be for nothing. A quick look through one or two of Australia’s major real estate portals will provide plenty of examples for analysis so let me explain with some real life advertisement headings…

“OWNERS HAVE MOVED INTERSTATE & NEED A SALE”

This maybe a true statement of your circumstance but take your sellers hat off and put your buyer’s hat on for a moment. As a buyer, the first question you ask yourself is… I wonder how badly they need that sale. This could be a bargain. I wonder what I could get that for?

What type of buyer are we attracting here? Is it going to be someone who will pay you a fair price or someone who will not?

“VENDOR COMMITTED ELSEWHERE”

Again this maybe a true statement of your circumstance but from a buyers perspective… they probably have bridging finance, I might bag a bargain here.

Is this going to be a buyer who will pay you a fair price, a good price, a great price, an exceptional price?

“OWNER WANTS IT SOLD THIS WEEKEND”

“ABSOLUTE BARGAIN! MAKE AN OFFER”

“MOTIVATED VENDOR”

“MUST BE SOLD”

“HAVE YOU EVER MISSED A BARGAIN?”

And of course this one which most recently featured on the prime time current affairs show Today Tonight, “DECEASED ESTATE… Vendor Dying To Sell”.

Perhaps the agent in this case thought he was being funny, that’s up to you to decide but when you are paying an agent many thousands of dollars to represent YOU in the sale of your home, no, let me put that into perspective… when you are paying an agent to get YOU the best and highest possible price for your home is this style of advertising good for YOU. Is it going to work effectively for YOU?

Yes you want to attract buyers, without a buyer you can’t sell but what picture do these advertisements really paint?

These headings are some of the more obvious ones and they all smell of desperation which will all attract the “bargain hunter” style buyer and give all buyers in general the idea that they can get a good deal. This in turn means that any offer you get will most likely be a bad offer and you are almost certainly destined to undersell your property.

Agents who use these tactics do so in an attempt to get some offers on the table, even if they are low ball offers. When the seller hears these low offers being repeated from buyer after buyer they become what’s known in the real estate world as “conditioned” and now they believe that this is what the “market” is telling them and they end up accepting one and the agent makes a sale.

Your reason for selling should in no way affect the value of your property, but if you allow it to be presented in a manner similar to one of those mentioned above, it most certainly will!

Believe it or not, you are in control of how your property is being presented don’t let this be done TO you.

Read More: http://www.arec.net.au

Mum and Dad Investors Push Auction Clearance Rates to Record Highs

Buyers line up for an auction in Paddington. Photo: Fiona Morris

Sydney's property market is breaking records with auction clearance rates approaching all-time highs.

Australian Property Monitors data shows a 75.9 per cent auction clearance rate for July.

''That's the highest July ever recorded - and the second-highest ever recorded for any month, apart from April 2002 which was 78.3 per cent,'' APM senior economist Dr Andrew Wilson said.

The reason is the lowest interest rates since the 1950's. That's encouraging a record number of investors to flood an under-supplied market.

Agents have noted a surge in mum-and-dad investors using their self-managed super funds to buy investment properties. As well, banks are promoting the idea.

''People are not happy with the stock market; the returns are low and it is still very volatile,'' Dr Wilson said.

Fifty-two per cent of all loans in NSW are now to investors, who - in May, for example - spent more than $3.9 billion speculating on property. Another record.

''We have straight-up investors, people using their self-managed super funds and young people all jumping in at auction and that is sending prices north,'' said lower north shore agent Simon Nakhla, whose McGrath Neutral Bay office had a 100 per cent clearance rate on Saturday.

The lower north shore has emerged as the best-performing region during the month with a clearance rate of 84.6 per cent.

This time last year it was 59.8 per cent.

But the traditional auction powerhouse - the inner west - had the most auctions.

One of the strongest results was a four-bedroom dilapidated terrace at 348 Abercrombie Street, Darlington, which sold for more than $200,000 above its initial price guide of ''about $800,000''.

Due to the level of interest the agent set an ambitious reserve of $925,000. It sold under the hammer for $1,007,000. Another property at 27 Newman Street, Newtown, sold $80,000 over reserve.

Selling agent Shaun Stoker, from Ray White Surry Hills, said the sale price of $1.47 million made it ''one of highest-priced properties in Newtown per square metre''.

Many properties don't even make it to auction.

Last week, a four-bedroom brick bungalow at 18 Victoria Square, Ashfield, was put on the market for $1.3 million plus. Less than a day later a buyer emerged who paid $1.55 million - $250,000 above expectations.

Latest figures (for June) from SQM Research show there were 23 per cent fewer properties for sale than a year ago. And uncertainty about the election date means that low stock levels will persist until spring. ''There is a perception that if the Liberals get in power the economy might improve,'' SQM managing director Louis Christopher said. He expects a surge of property to come on after the election.

By Toby Johnstone, Property Reporter for The Sydney Morning Herald

July 31, 2013

Read More: http://smh.domain.com.au

How to Transform your Porch or Patio from Ordinary to Extraordinary

Patios, porches, decks, pergolas, terraces and verandahs are lovely things. Too often we just toss out a few chairs, and perhaps a table and call it a day. These beautiful spaces are often neglected and not utilised to their fullest potential. When the weather starts to get warmer, we absolutely should take advantage and turn this outdoor space into an additional, usable living space. I will walk you through not only on how to maximise the use of your space, but also how you can make it a spectacular one.

Outdoor living at its best!

There’s a growing trend to bringing the indoors outside, and people want their outdoor space to be just as comfortable and as functional as their indoor living space. With careful planning and consideration this can be so easily done. Most of us have to factor in the weather. Even if the temperatures permit sitting outside, a sudden downpour will make this impossible, unless you have a covered or screened in porch or other means of protection.

Warm weather often brings with it humidity, so you must carefully choose what will be placed outside. Certain wickers, resins and metals can withstand rain and dampness. There are weatherproof fabrics that will not mildew or fade. When placing furniture outdoors, you must be certain that it has been treated and can tolerate the elements. With all that is available on the marketplace now, there is no reason to sacrifice comfort or style.

Decorate for your lifestyle.

How do you plan on using your outdoor space? Will it be mostly for relaxation or will you be entertaining a good deal? If possible plan for separate dining and sitting areas. This will create a flow for when guests gather outside. If you’re entertaining a small group of people you can use the sitting and dining areas separately or together. You want your sitting area to be as relaxing as possible. You want your guests to enjoy some wine and hors d’oeuvres before moving over to the dining area to be seated for dinner, then afterwards, everyone may wander over to the sitting area again.

Or, if you plan on having a larger group of people you can utilise both spaces at once. The eating area should be closer to the door so that when you are bringing trays of food in and out you will be less inconvenienced. A gardening bench makes for a great prep area – consider placing near both the grill as well as the dining area – as well as a convenient place to place food and can be used for a buffet meal. A tea cart on wheels that can be rolled in and out of the house can serve as additional storage or service space.

Get comfortable, make yourself at home.

A comfortable space is an inviting space, and an inviting space is a well used space. Decorate for your lifestyle but decorate for comfort. Think about the space as it will be used when you are not entertaining. Your outdoor area can and should be multi-functional. It should suit a quiet afternoon with a book just as well as an intimate dinner party. Make sure your seating is comfortable. You needn't spend a lot of money and buy expensive outdoor furniture. Sometimes, all it takes is the addition of a few throw pillows that can be purchased at a discount home furnishings store or online. Consignment stores and Goodwill are great places to find furniture for your outdoor space. Give your newly acquired furniture a new, fresh and updated look with a new coat of paint. Do be sure to use an outdoor paint, though.

Consider your lighting source. You should be able to use your space at night. If there are outlets nearby consider the placement of lamps or electric lanterns. Of course candles in great glass hurricanes offer a soft reading light and set a tranquil tone. Outlets can also be used for fans, music and even large outdoor television screens. Make room for plants and flowers. Bring out plants in large planters and plant some flowering bushes all around you. Plantings soften a space naturally, add colour and ambiance as well as a sense of privacy which you may well want if you happen to have neighbours all around you.

Add your own personal touches.

As you read about creating the perfect outdoor oasis and gather ideas about seating and dining and comfort and flow, don’t forget to add your own personal touches. What makes your own living or sitting room so special? Bring some of that outside. Add mirrors and even artwork (though nothing light, heat and water sensitive) to hang up, if possible. Create a theme and be sure to incorporate your favorite colours and patterns.

Plants, candles and assorted collectibles, such as a large bowl of river rocks, shells and pine cones, can really personalise a space. (Do watch yourself so as not to over clutter!) Add some throw blankets and an indoor/outdoor rug is a great piece to tie your furniture together and add some softness underfoot. While most of us love nothing more than to be able to go out and curl up with a great book, I would not advise leaving paper goods out for any period of time if you live in an area where humidity is an issue.

Offer shelter from the storm.

Screened-in porches or enclosed pergolas are, in my opinion, the best invention since the wheel. They’re a true extension of the home, however, not all outdoor spaces have a roof and sides to protect from the sun’s burning rays as well as from the elements. If you do not have a roof over your space you must provide a source of shelter. You can add a retractable awning or place large umbrellas in one or more locations. Consider building a trellis or a permanent awning. If your porch or deck does have a roof overhead, try adding some long weather-proof curtains around the perimeter to keep out both the heat and the rain. If you don’t have one already, outdoor ceiling fans are fabulous!

Read More: http://freshome.com

Everything You've Always Wanted to Know About Strata

What is a strata scheme?

A strata scheme is a system of multiple ownership of a building or collection of buildings. Each owner owns a portion (called a 'lot'), which is usually an apartment or townhouse, but every owner shares ownership of any common property (e.g. foyers, driveways, gardens) if it is indicated on the title.

The multiple ownerships are combined in a legal entity called the owners corporation — or body corporate, strata company or community association, depending on your state or territory of residence. Although the term for an owners corporation varies across Australia, the role of an owners corporation is essentially the same in every state and territory.

The owners corporation is responsible for the good management of the strata scheme. All owners can vote on management decisions at an Annual General Meeting (AGM), but decisions are usually made on behalf of the owners corporation by a committee of owners who are elected at the AGM.

Some strata schemes also manage the day-to-day financial, maintenance, and other administrative duties themselves, but given these are complex, most choose to use the services of a professional strata manager.

What should I be aware of when buying into a strata scheme? 

1. Do Some Sleuthing 

Have a professional search of the books and records of the owners corporation to view the finances and any issues the owners corporation is facing. 

2. Don’t Forget the Levies 

Remember that you’ll have to budget for levies to fund the annual running expenses of the owners’ corporation and its long term maintenance. Ultimately, this protects the value of your financial investment. 

3. Know What You’re Buying Into 

Check that the car space or garage you were shown is correctly allocated to the apartment – the strata plan will usually detail this. Your lawyer should also take you through the contract to ensure you understand each step of the purchase process. 

4. Know Your Rights 

Acquire a full copy of the by-laws that are specific to your owners corporation, so that you understand the rules that you will be required to live by. 

5. Show Me the Money 

Have a good look at the condition of the building and make sure that the funds in the sinking fund match long term maintenance planned for the next few years. 

6. Love Me, Love My Pet 

Before you buy, check whether the owners corporation will welcome both you and Fluffy into the building. Don’t necessarily take the word of the selling agent when he tells you the block is pet friendly. 

7. Be Informed 

Educate yourself about your rights and responsibilities when living in a strata title property. Some of the state SCA organisations offer free consumer seminars. In NSW you can also do some free online training. Check out the website for your state.

8. Know Who To Call 

Find out what emergency arrangements are in place or who to contact on your executive committee if something goes wrong in the building. 

9. Be Active 

Take an active interest in what goes on in your building. Attend the annual general meeting so that your voice is heard and consider becoming a member of your building’s executive committee. 

10. Love Thy Neighbour 

Remember that in an apartment building, your neighbour is usually just on the other side of the wall. Live next to them as you would have them live next to you. 

Does every high-rise/multi-dwelling building have a strata scheme?

Generally speaking where there is multiple ownership within a single structure or plan there will be a strata scheme. That said, there are still a smattering of company titles – the main multi-owner legal form before strata – where residents and investors hold shares in a company that owns the whole building. Strata is usually preferred because company titles require the approval of the whole company to buy or sell an individual holding.

If I buy into a strata scheme building do I automatically become part of the owners corporation?

You cannot buy into a strata scheme without buying into the owners corporation. The two elements of your property rights are separate but not separable.

What exactly do I own in a strata scheme?

Generally speaking all you own in a unit is the air space and its contents, including internal walls and fixtures. Everything else – outside walls and the roof, hallways, stairs, foyers, lifts, gardens, carparks etc etc — is collectively owned by all of the owners in equal shares as tenants in common.

How much say do I have in a strata scheme?

Your interest and voting rights (at general meetings of the owners corporation), which are known as lot entitlements, will be spelled out either in the original strata plan for the building or, in some states, by a formula based on market value. These should be spelled out in your purchase documentation and you should take the time to understand them.

What costs are involved in owning a strata apartment and how are the costs set? Does everybody pay the same amount?

Strata owners are levied by the owners corporation to cover many of the expenses faced by all home owners, such as council charges, insurance, cleaning, general maintenance and utilities such as power and water. It should also include an amount to be saved for long-term expenses as the building ages, such as painting, tiling, plumbing, carpet, plant and equipment, etc for the Sinking Fund. The amount is usually calculated in proportion to an owners lot entitlement as it relates to the total number of lot entitlements in the strata scheme.

If I buy into a strata scheme building what are my obligations, apart from costs? What are my rights?

You must pay your levies and comply with the scheme’s by-laws, which can cover everything from renovations to pets. You have the right to contribute to your community's decision making, to stand for a position on your committee and generally be heard. As an owner, you also have a share of an unlimited liability for anything that goes wrong, which is why strata insurance is compulsory in every state and territory.

Will I need to attend regular meetings? What happens if I do not live in the property, or live close by, or live in another state?

It's in everyone's interests to be actively involved in your strata scheme. If you can't attend a general meeting of the owners corporation in person, you can appoint a proxy to vote in your place.

How do I join the management committee?

By attending the Annual General Meeting where you can be voted in. All owners corporation committees must hold an annual meeting which is open to all lot owners.

If there is something I want addressed, can I call for a meeting, regardless of whether the strata scheme is due for one?

First talk to your strata manager or committee members. The scheme’s governing legislation will include specific provisions on calling meetings but it’s not something to be done lightly as it can inconvenience your neighbours. If it’s not urgent, wait for the next general meeting.

In what sort of instances will I need to seek permission or approval from the owners corporation?

This depends upon your relevant state or territory legislation. Generally speaking, you will need the approval of the owners corporation when you intend to make significant structural alterations to your lot, or any alterations to any part of the common property. You will also need the approval of the owners corporation if you plan on engaging activity that contravenes your scheme’s by-laws — for example, the keeping of a pet may be prohibited. You should consult your by-laws to determine whether approval is necessary.

Does majority rule or does each and every member of the strata scheme need to agree to any proposals?

It depends on the type of decision and the legislation in your state or territory – routine matters are usually delegated to committees and/or a professional strata manager. Levies and annual budgets are usually approved by general meetings and spending outside those budgets may also require a general meeting. Major decisions such as changing by-laws can require a three-quarters majority of owners, depending on state/territory legislation.

What happens if I have a disagreement with the owners corporation? What can I do?

If you are unhappy with the way the rules are being applied you can talk to a committee member, raise it at a general meeting or contact for advice the government authority responsible for regulating strata issues in your state or territory.

How do strata regulations and laws differ across the states?

All states and territories have enacted essentially the same types of laws but with a wide variety of terminology, definitions and detailed rules.

What is a strata report and how important is it to organise one before committing to a purchase? 

In a nutshell, strata reports provide details of the collective aspects of your prospective purchase. This should include information on levies, by-laws and lot entitlements, details of funds held for short and long term maintenance and minutes of meetings which might point to future costs. It is vital that you familiarise yourself with these before committing to any purchase to avoid nasty surprises later on.

Glossary of Terms

AGM
An Annual General meeting held by the Owners Corporation.

Body Corporate
Another term for Owners Corporation.

Body corporate managers
Another term for strata managers.

By-laws
A set of 'rules' that the proprietors and occupants in a strata scheme must follow. These can be changed at a general meeting of the strata company. All by-laws are not the same so you should obtain a copy of the current by-laws for your strata scheme. Also called Articles or Rules.

Committee
Responsible for the administration of an owners corporation. They are a group of owners elected at each Annual General Meeting who represent all the lot owners of the strata scheme, and carry out the duties required. These include the control, maintenance and repair of the common property. The committee also has the responsibility of enforcing the bylaws. Also called an executive committee, managing committee, management committee, committee of management, or just the committee.

Council of Owners / Council of Management
Other terms for an owners committee.

Common Property
Common property refers to the areas of a strata building or community which every occupier or owner shares, including foyers, driveways, fences, visitors parking and gardens. The common property is the responsibility of the strata company whose obligations include maintaining and repairing the common areas.

Executive Committee
Another term for Owners Committee.

Levy
Levies are contributions paid by owners to the strata company to cover the proposed expenditure of the strata company. Levies are usually paid quarterly and are based on lot entitlement.

Lot
A portion of a property that can be separately owned and sold. In a strata scheme, a lot is generally an apartment or townhouse.

Lot liability
The proportion of the owners corporation expenses that a lot owner is required to pay.

Managing Committee/Management Committee/Committee of Management
Other terms for Owners Committee.

Owner
An owner is a person(s) or company that purchases a strata lot and is registered on the Certificate of Title.

Proprietor
Another name for a strata owner.

Reserve Fund
Another name for a Sinking Fund.

Sinking Fund
Also called a Reserve Fund. Levies paid into this fund cover the costs of future capital expenses, such as painting the building, and replacing common property items like stairwell carpeting and roofing.

Strata Manager
Professionals who administer owners corporations, and are responsible for maintaining their buildings and common areas. Also called body corporate managers, strata managing agents, managers, and agents, depending on the state or territory. They report to the owners committee.

Strata Scheme
A strata scheme is a parcel of land with a building(s), where individuals each own a portion referred to as a lot. These buildings have common property but are not limited to areas such as driveways, pathways, fences, external walls and roof. A strata scheme can have a minimum of 2 lots and can be used for residential or commercial purposes or a mixture of both. A strata scheme can be a vertical block of units (high rise) or it can be all on the one level such as townhouses or commercial offices.

Strata managing agents
Another term for owners strata managers.

Strata Plan
The plan that subdivides the land and building(s) of a strata scheme into lots and common property.

Read More: http://www.stratacommunity.org.au

10 Design Mistakes You Don’t Want to Make in Your Kitchen

A lot of life happens in the kitchen. No matter how different our lifestyles may be, a lot of activity revolves around the kitchen: Cooking, preparing a quick snack, eating breakfast or a 3-course dinner with family or friends. Not only do we socialise in the kitchen, getting together with family and friends over a cup of coffee or a glass of wine, the kitchen is one place that needs to be both beautiful and functional. This raises a double challenge of do’s and dont’s in kitchen design. Because of this specialists warn us about the 10 mistakes we should avoid in order to achieve both practical and elegant kitchen design.

1. Don’t obstruct access to the kitchen triangle.

Specialists refer to the sink, stove and refrigerator as the kitchen triangle, the area of greatest activity which requires careful planning and unobstructed access. Of the three, the sink will see the most action and should have easy access to the stove and refrigerator, as well as your counter-top workstations.

Sinks need to be installed in close proximity to the plumbing, but often kitchens are designed with the sinks installed right above the plumbing or in a poor location. Instead of making this kitchen design mistake, consider hiring a plumber to relocate the drains and the plumbing to accommodate the best placement for the sink.

Regardless of kitchen size or layout (L-shaped kitchen, galley, U-shaped or Island style), the sum of all the legs in a work triangle should not be less than ten feet and greater than twenty-five feet. If the sum of the legs in the work triangle is too small, people will be tripping over each other and if too large, food preparation could be a very tiring task.

2. Don’t waste storage space.

Kitchens typically contain lots of stuff. Not only that, but items often concealed behind built-in kitchen cabinet doors can be oddly shaped and require a lot of space, such as food processors or stand mixers. Finding a home for your kitchen stuff while keeping it easily accessible can be a tricky proposition. Because built-ins are expensive and the overall size of the area you’re working with may be limited, one big design mistake is not including enough storage.

Almost every kitchen design has wasted space, but this can be minimized with adequate planning and forethought. If the kitchen is small, consider installing extra long upper cabinets with molding for extra storage space. Place lighting or greenery along the molding to draw the eyes up. Also remember to always install cabinets over the refrigerator. Not to fully utilize the space above the refrigerator is a waste of potential storage space for large or seasonal kitchen items.

Install shelves across the backs of the lower kitchen cabinet as they will save you nearly a 2 foot by 2 foot or 4 square foot potential storage area. Otherwise, the kitchen will feel smaller than it is because you will constantly be trying to find more storage space.

3. Don’t ignore counter-top work space.

One of the biggest complaints about kitchen design is the lack of counter-tops. Consider all the kitchen activities that require a counter-top, as well as appliances that are permanently located there, you might want to fit as much open horizontal surface areas in a kitchen as possible. This may be achieved by adding an island or breakfast bar to an L-shaped kitchen.

4. Poor lighting.

The kitchen is one room where you can’t afford to have poor lighting. It’s not only a matter of design and atmosphere, but also a safety matter when it comes to handling sharp kitchenware. Rooms generally need three types of lighting: general lighting for overall illumination, task lighting, and accent lighting. For the kitchen you especially should evaluate the work areas and focus on how you can provide each spot with the light it needs. Consider adding lighting directly above all the main working areas, use pendant lights or a series of mini-pendants in areas where these can enhance the lighting and beauty of the kitchen.

Pendants look great above kitchen sinks, while a series of mini-pendants enhance the appearance and lighting of breakfast bars and kitchen islands. Also, install under-cabinet lighting as an additional way to ensure that the counters have sufficient lighting for common kitchen tasks. After all, the more light you have in the room, the better you can show off all of those amazing design elements you've added to the space.

5. Don’t forgo a splashback.

While budgeting or designing a new kitchen or kitchen re-model, sometimes the back-splash considerations slip to the end of the list. Occasionally, the splashback area is completely left out of the plan. This is one mistake that saves you money on the short term, but on the long run costs you a lot of time and effort. Imagine the steam, high humidity and grease content in the kitchen and you will understand why installing a splashback behind the oven and extending it above all the counters throughout the kitchen is a smart idea. It is much easier to clean grease off a splashback made of tile, metal, or plastic, than wall paint or wallpaper.

6. Don’t forget to ventilate.

The best of kitchen design fades in the presence of bad smelling air. If you've ever walked into someone’s home and smelled last night’s fish & chips lingering on the stale air, you’ll understand the importance of good ventilation. Inexpensive range hoods simply circulate dirty, stale air, while a good ventilation system will help improve the quality of your indoor air and also help keep your kitchen cleaner.

Effective ventilation systems also help extend the life of your appliances and although they can be an investment, if you have a kitchen that opens to a living area or family room, they will make life easier, cleaner and more pleasant for everyone.

7. Don’t choose the wrong kitchen island.

When it comes to kitchen islands we generally think of additional storage, preparation and serving space in the kitchen, but the fact of the matter is that kitchen islands can waste a lot space. Choosing the wrong island or placing it in the wrong spot can be a disaster, especially in a work area that can get over cluttered. Islands that obstruct the flow of traffic to and from the sink, refrigerator, stove and primary workstations will create bottlenecks and major hassles. At minimum, an island should be 4 feet long and a little more than 2 feet deep, but it must also have room for people to move and work around it. Specialists recommend that unless the kitchen is at least 8 feet deep and more than 12 feet long, one shouldn’t even consider an island.

8. Don’t ignore your recyclables.

These days, with the advent of recycling, dealing with trash in kitchen design has gone beyond sticking a bin under the sink. As recycling is here to stay, be prepared to manage your trash efficiently and incorporate trash sorting bins into your kitchen design.

9. Going too trendy.

Although it’s not necessarily a mistake, choosing the latest kitchen designs and high-end equipment may not be the best of choices. The most stylish colour of the season and trendy designs have a short half-life, and you may never get your return on large investments in the latest kitchenware.

10. Avoiding professionals.

Taking over a kitchen design project on your own to save money is a common mistake which can waste more money, time and energy. There are some jobs where, for safety and quality work, a professional is not a whim. Kitchen designers possess the latest trends, ideas, and manufacturer’s details, help you identify your specific needs and translate those details into an efficient plan according to your taste.

Read More: http://freshome.com