Choosing the Best Agent to Sell Your Home

Many sellers think that the best real estate agent is the one who gives them the highest "potential" sale price to sell their home, and the lowest commission fee. But does this really represent good value?

When gaining market price appraisals from agents to sell a property, sellers should be wary of those that price their property above the others without comparable sales to substantiate that price estimate.

Unfortunately some agents will overprice properties because they are either not educated in the area, or are simply just trying to win the business. Choosing an agent on price alone can actually cost a lot of money down the track when the property is not selling. An overpriced property that is not selling can put the seller into the unfortunate position of having to sell below market price to gain a quick sale (due to commitments elsewhere).

Incorrectly pricing property targets the wrong buyers.

Additionally, most buyers watch and know when a property has been on the market for a long time. Even if the price is later adjusted to the correct market price, the previous activity tarnishes the property and buyers often think there is something wrong with it! All of this wastes a lot of time and causes the seller a lot of stress. This inactivity also attracts "bargain hunters" trying to secure a property at a rock-bottom price.

It is critical to correctly price a property.

When it comes to real estate agents and their commissions, the ones who are cheap, or cut their fee easily when asked, are not going to be tough, savvy and smart enough to negotiate with buyers. It's these strong negotiation skills that sellers need from their agents to gain the best possible price for their home.

When it comes time to sell, it's important that sellers choose their real estate agent focusing on their reputation, current sales track record, but more importantly their sales skills. This is what will get the best final price!

Getting Started in Property Investment

When it comes to building a retirement nest egg for the future, property is still viewed as one of the safest long-term investments.

While some investors may want to buy and rent it out straight away, others may choose to live in the home while they renovate it.

Investing in bricks and mortar can be a great way to create wealth, but there are a few things to consider before diving into property investment.

Know your budget

It’s essential to have a thorough understanding of your cash flow. You should ask your bank for pre-approval of your investment loan so you know how much you are able to borrow before you start your property hunt.

Don’t underestimate ongoing costs

Make sure your budget allows for extra costs such as insurance, and general maintenance and repairs.

Buy in a growth area

Find a property in an area where there is strong demand for rental properties. Buying close to schools, universities, public transport and shopping centres will make it more appealing to renters.

Be realistic about your investment goals

Are you looking for fast capital growth, or do you want to hold the property long term? During a strong market period, it will be easier to renovate properties and sell them for quick profit. But in slower economic times, it can take years to achieve the same growth.

Look for essential, not extravagance

A rental property only has to be functional and clean. Don’t over capitalise or be persuaded to buy a property simply because it has a stylish interior.

Think carefully before negative gearing

If the rent you receive does not fully cover your loan repayments, your property will be negatively geared. This can have tax advantages, but it will also lead to financial stress if you don’t have the cash flow to cover loan repayments, rates or body corporate fees.

Still paying off your home?

It isn’t necessary to have your home completely paid off before purchasing an investment property, however it is a good idea to have a large portion of your own home paid off along with other debts such as credit cards. 

October Auction Results

Last week we had our in-room auction event for October, held at the Rydges Hotel in Campbelltown.

This auction event gained some outstanding results, selling 6 of the 10 properties submitted to auction – a 60% clearance rate. Here’s the summary:

ST HELENS PARK, 19 Briggs Place - SOLD!

CAMPBELLTOWN, 149 Dumaresq Street – Not yet sold

MINTO, 111 Eagleview Road - SOLD!

EAGLE VALE, 27 Zeolite Place - SOLD!

AMBARVALE, 45 Harthouse Road - SOLD!

AMBARVALE, 49 Georgiana Crescent - SOLD!

BRADBURY, 49A Chisholm Crescent – Not yet sold

CAMPBELLTOWN, 13 Manning Street - SOLD!

GLENFIELD, 7 Stirling Place - Not yet sold

GLEN ALPINE, 71 Mount Huon Circuit - Not yet sold

15th OCTOBER AUCTION EVENT STATISTICS:

• 6 of the 10 properties submitted to auction SOLD – a 60% clearance rate.
• Of the properties SOLD, our team achieved on average $13,666 above our vendors’ reserve selling prices.
• Of the properties SOLD, our team achieved an average of 12 buyer inspections per property during the intensive 21-day marketing campaign leading up to the auction.
• Of the properties SOLD, there was an average of 4.7 bidders vying for each property.

Another great auction night! There was also strong interest in the properties that didn’t sell, and I am confident they will lock down some solid offers in the coming week.

Thanks again to our outstanding Auctioneer, Paul Casarotto, and the wonderful support from Domain, The Macarthur Advertiser and Harcourts NSW.

OUR NEXT IN-ROOM AUCTION EVENT WILL BE HELD ON 11th NOVEMBER 2014. SEE OUR WEBSITE FOR MORE INFORMATION.

September Auction Results

Last week we had our in-room auction event for September, held at the Rydges Hotel in Campbelltown.

This auction campaign gained outstanding results, selling 9 of the 9 properties submitted to auction – an impressive 80% clearance rate. Here’s the summary:

MINTO, 111 Eagleview Road - SOLD!

AMBARVALE, 45 Harthouse Road - SOLD!

BRADBURY, 63 Fern Avenue - SOLD!

GLEN ALPINE, 31 Nepean Towers Avenue - SOLD!

RABY, 25 Spitfire Drive - SOLD!

CAMPBELLTOWN, 22 Megalong Crescent - SOLD!

ROSEMEADOW, 3 Lucius Place - SOLD!

ST HELENS PARK, 1 Mackillop Crescent - SOLD!

BULLI, 9 Sturt Place – SOLD BEFORE AUCTION!

17th SEPTEMBER AUCTION EVENT STATISTICS:

• 9 of the 9 properties submitted to auction SOLD – a 100% clearance rate!
• Of the properties SOLD, our team achieved on average $15,750 above our vendors’ reserve selling prices.
• Of the properties SOLD, our team achieved an average of 21.6 buyer inspections per property during the intensive 21-day marketing campaign leading up to the auction.
• Of the properties SOLD, there was an average of 3 bidders vying for each property.

What a brilliant team effort! Great preparation from both our sellers and agents, lots of hard work, and all of us efficiently working together were all key to the success of the event.

Thanks again to our outstanding Auctioneer, Paul Casarotto, and the wonderful support from Domain, The Macarthur Advertiser and Harcourts NSW.

OUR NEXT IN-ROOM AUCTION EVENT WILL BE HELD ON 15th OCTOBER 2014. SEE OUR WEBSITE FOR MORE INFORMATION.

If you want to know more about the process and the benefits of selling your property by auction, speak to one of our highly experienced Sales Consultants on 4628 7444.

Rental Reference Know How

Finding a good tenant forms the foundation of a successful investment. So how do you acquire a good tenant?

Checking a tenant’s references and doing the appropriate background checks are critical tasks to give you the best chance of a smooth running and successful investment.

Professional Property Management staff have access to systems, and have the knowledge and experience to carefully look into applying tenants and thoroughly evaluate them. Investors would be wise to choose an experienced Property Manager and agency team that focuses on gaining a quality tenant. A carefully selected tenant will result in a more trouble-free investment.

Two of the most important background checks your Property Manager can do are previous rental history and employment record checks. This sounds fairly straight forward, but there are many traps for the inexperienced.

It comes down to finding out from the information gained if the applying tenants have an excellent track record from their past tenancies. That means paying their rent on time as well as looking after the rental properties to the expected standard. Also the current ability for the tenants to pay the rent is evaluated through information and proof from their current employers.

Owners managing their own property often get too involved to be impartial. One of the mistakes many property owners make is relying on personal references when investigating potential tenants. A bad personal reference rarely exists - friends and relatives won't write or tell negative things about those close to them. Professional and background checks are absolutely essential.

A Property Manager’s experience and expertise, as well as that of the agency’s team, will save you a lot of time, money and stress in managing your investment.

Switching From House to Apartment

Moving into an apartment after living in a house can be a big change. You may be moving out of home as a first home owner, or are looking to simplify and downsize as your children may have moved out and into homes of their own.

In Campbelltown, most apartment living is located closer into the CBD, which is often the goal for people looking to make the switch. One of the most attractive features of living in the CBD is the benefit of having most amenities and services within walking distance - major shopping centres, amenities, restaurants, clubs, theatre etc. There is also less need for a car in the CBD as public transport is excellent.

Then there are the more personal reasons for making the change, such as simplifying your life, having less to look after, which means more time to spend on the things you want to do.

No matter the reason, moving into an apartment after living in a house can be a large adjustment.

There are practical issues such as the size of the apartment, the location of the complex, what furniture you can fit in the new premises and car parking.

And then there's the fact that you'll be living in close proximity to others. You need to be more considerate of others when, for example, it comes to having a party or you wish to play loud music in your apartment.

Then there are the other rules of the complex such as what you can put on your balcony, what pets you're allowed, and what you can and can’t do to your apartment that may impact it externally. You should carefully read the owner’s corporation rules before signing on the dotted line.

You also need to consider the sharing of common facilities such as a swimming pool and barbeque area.

It would also be wise to find out the percentage of owner-occupiers living there. With more owner-occupiers there is generally greater care taken in looking after the facilities and the upkeep of the complex.

And then there’s the “community feel” of the complex. Have a chat with the owner's corporation manager and possible future neighbours to gain a feel for what it's like to live in the complex. Here you can find out a wealth of information and discover the positives and negatives of living there.

Additionally walk around the area and look at the people who reside there. It might be predominately young professionals, retired or semi-retired people, or “empty nesters”. Depending on what you are looking for this might influence your decision.

At Harcourts we currently have many new and existing apartments for sale. In Campbelltown CBD we are selling many new off-the-plan apartments and have some new projects that are launching in the next 12 months.