No agent will ever be able to give you an exact figure of what your property will sell for! However, you can and should expect to be provided with a qualified approximate price range in which your property should sell for. An ethical agent will follow a strategic and professional approach in determining the current approximate market value of your property, giving you the tools to make an educated decision on your agent and the initial price to take it to market.

Important elements that should be taken into consideration for pricing approximations are:

• Recent sales activity in the immediate area of the property’s address. For apartments this would mean, research recent sales in the complex or in similar apartment complexes in the area and determining comparable sales. With houses it is researching the immediate street as well as surrounding addresses. These recent sales need to be current, meaning no further back the 12 months.
• Understanding what is currently on the market for sale plus what has recently gone under contract, and compare with the property in question. At the end of the day, what is currently on the market is your competition when you decide to sell, so you need to be completely aware of what is in the marketplace.
• Thoroughly understand and know the advantages of the property – attributes, size, location, advantages over other properties.
• Understanding the current market conditions, ensuring you have a professional knowledge of what is happening e.g. how the market is performing.

Based on comprehensive professional research, it is the price range which the property will sell close to. There is no over inflation of pricing, no lies or dishonestly, just the facts. It is very difficult for you to make an informed decision about selling your property if you are given inflated information about its value. This information is one of the most critical factors in the entire selling process and sadly if it sounds too good to be true … most times it is!

Once you have agreed on the pricing range, you can then focus on the strategies and plans needed to ensure the best possible price is achieved, and again this is determined professionally and strategically to ensure all potential buyers for each individual property are reached. The more potential buyers your property has the greater negotiating power you have and the best chance is gained to achieve the highest possible price.

When choosing your agent, discuss their negotiation abilities, be wary if they are quick to discount their commission and increase your sale price just to gain your listing. This really is a red flag and for you to obtain the fairest price for your property in any market a little bit of research on the agent goes a long way to helping you achieve your goals.

** FYI – Ethical agents will welcome your questions and expect you to research …. they will not be afraid for you to do some digging, as they have nothing to hide! **

It is important to understand that price is not everything and all agents are not the same! Good advice, sound knowledge of the local area and the overall market, a strong strategic marketing focus on the individual attributes of your property and especially a good feeling about your agent should all count in your decision making process.

Remember, your agent is there to serve you, facilitate the sale of your property and make your real estate transaction a pleasant and seamless experience.

Good luck, fair winds and happy selling!

 

Article source: http://mypropertypulse.wordpress.com/2011/03/10/valuing-your-property-in-the-current-market/

There ….. I said it and I mean it!

For all the negative media surrounding the Australian property market at the moment, we are still one of the only countries to escape the global decline that is plaguing the rest of the world. Housing prices in both Europe and the USA have experienced a strong decline, however, in Australia our prices have actually increased and continue to do so.

There would be some in the industry who would get their bear on, saying that this is further proof of an inevitable crash of the property market, but this is not necessarily so …. And here are 7 solid reasons from Michael Matusik why.

1. Population growth – Australia maintains a strong population growth. The domestic population is aging, but the migrant intake is largely in the 20s to 30s cohort, which means increasing household formation and greater demand for dwellings.
2. Tight lending practices – Interest rates still have room to fall. Australia has full recourse loans, giving lenders the right to take assets off the borrowers if the repayment isn’t made.
3. High equity – Current loan-to-value rations are around 53 per cent, reflecting our current conservative position towards debt. Australia’s housing debt to housing assets is 29 per cent and our debt to overall assets is just 19 per cent. This means as a nation, we own around 70 per cent of our homes. Australians are also saving more, around 10 per cent of our incomes. The improved state of our personal finances further reduces the risk of house prices collapsing.
4. Undersupply – Not for every dwelling type, but the bottom third of the market. There is an undersupply of basic, affordable housing across our capital cities and in major regional centres too.
5. Economy growth – Nearly all of us can find work. Housing markets usually crash with large falls in employment.
6. Low unemployment – As long as our unemployment rate stays below eight per cent, wholesale falls are unlikely. It’s currently 5.1 per cent.
7. Few mortgage defaults – Just 1.37 per cent of home loans across Australia are 30 days in arrears, and just 0.54 per cent behind mortgage repayments.

Matusik says it pays to have a long-term view in property investing. ”There is little doubt that values are now falling,” he says. ”How far they will continue to fall is unknown, but I don’t think it will be anywhere near as far as most property bears believe.”

I would love to hear what you believe in the comments!

Article source: http://mypropertypulse.wordpress.com/2011/03/29/australia-still-the-lucky-country/

Investors have been spared another interest rate rise.

The Reserve Bank of Australia has announced the cash rate will remain unchanged, at least for now, at 4.75 per cent.

Governor Glenn Stevens says one of the reasons for keeping rates on hold is that asset prices, including house prices, have softened over recent months.

However, there are signs of more willingness to lend by the banks and national income levels are still growing.

“Investment in the resources sector is picking up strongly in response to high levels of commodity prices and the outlook remains very positive,” Stevens says.

“A number of service sectors are also expanding at a solid pace. In other areas, cautious behaviour by households and the high level of the exchange rate are having a noticeable dampening effect. The impetus from earlier Australian Government spending programs is now also abating, as had been intended.”

Stevens says a “gradual recovery” from the floods and cyclones over summer is taking place, but a resumption of coal production in flooded mines has slowed.

“Growth through 2011 is now unlikely to be as strong as earlier forecast,” Stevens says.

“Over the medium term, overall growth is still likely to be at trend or higher, if the world economy grows as expected.”

Article source: http://feedproxy.google.com/~r/API_Property_News/~3/7WwXKlmVao4/interest-rates-on-hold

As we have entered 2011, we are now wondering what’s next after the recent natural disasters?

Emerging from the recent floods, the National interest is now on rebuilding, renewal and growth, Brisbane’s key fundamentals do not change.

“the Brisbane property market is now at its most affordable level since 2007″

Queensland continues to have a massive infrastructure spending ($60 Billion), strong population growth and a booming resources sector.  The Australia on the move report – compiled by Matusik Property INsights, reveals Brisbane needs 12,791 houses and 11,745 attached dwellings (townhouses / apartments) each year by 2014 of Brisbane’s newcomers will overrun the market place.

This acute housing shortage is the accepted catalyst for rising prices and rents. 2011 will be a goot time for investors to make a smart decision to purchase int he Brisbane property market as it is now at its most affordable level since 2007.

We have recently seen brisbane at its worst and its best with strong community spirit and a continued desire to make this city the best place to live.

So … why invest anywhere else?

Tell us your thoughts on Brisbane in the comments – the good, the bad and the downright courageous!

Article source: http://mypropertypulse.wordpress.com/2011/04/16/looking-ahead-for-brisbane/

The residential property market has been slow recently, but a combination of factors will come together to see the market improve from 2011-12, predicts BIS Shrapnel.

In its findings from its Residential Property Prospects, 2011 to 2014 report, the company is forecasting that residential property prices will be steady through 2011, with some capital cities even showing moderate price growth over the two years to 2013.

“Economic growth is forecast to regain traction through 2011 and continue to accelerate in 2012 and 2013 as resources investment flows through to the rest of the economy,” says BIS Shrapnel senior manager and study author Angie Zigomanis.

“Strengthening employment growth – the unemployment rate is forecast to fall below four per cent in 2013 – will also see net overseas migration inflows turn around, and the underlying demand for new dwellings begin to rise.

“With new dwelling starts currently declining, the corresponding fall in completions means the underlying deficiency of dwellings nationally will increase.

“This will underpin the strength of residential conditions, causing rental markets to tighten and rental growth to pick up, particularly in those markets where it has been weakest in the last couple of years.”

Among the state capitals, BIS Shrapnel forecasts that Sydney, Perth and Brisbane will show the strongest price growth through to 2014.

BIS Shrapnel’s outlook for median house price growth by region:

Sydney: The median house price is forecast to be $640,000 in June 2011, which is a one per cent rise over 2010/11. Total price growth in Sydney over the three years to June 2014 is expected to be 18 per cent.

Melbourne: The median house price is forecast to be $575,000 in June 2011, which is a three per cent rise over 2010/11. Total price growth in Melbourne over the three years to June 2014 is expected to be six per cent.

Brisbane: The median house price is forecast to be $440,000 in June 2011, which is a four per cent decline over 2010/11. Total price growth in Brisbane over the three years to June 2014 is expected to be 15 per cent.

Adelaide: The median house price is forecast to be $410,000 in June 2011. Total price growth in Adelaide over the three years to June 2014 is expected to be eight per cent.

Perth: The median house price is forecast to be $480,000 in June 2011, which is a decline of four per cent over 2010/11. Total price growth in Perth over the three years to June 2014 is expected to be 19 per cent.

Hobart: The median house price is forecast to be $365,000 in June 2011, which is roughly static for the year. Total price growth in Hobart over the three years to June 2014 is expected to be five per cent.

Canberra: The median house price is forecast to be $512,000 in June 2011, which is a two per cent decline over 2010/11. Total price growth in Canberra over the three years to June 2014 is expected to be seven per cent.

Darwin: Total price growth in Darwin over the three years to June 2014 is expected to be seven per cent.

Article source: http://feedproxy.google.com/~r/API_Property_News/~3/doUmq9LdKj8/property-market-set-to-improve

According to the Brisbane Times, “Billionaire pokie king Bruce Mathieson made the most expensive property purchase in Queensland last year, swooping on an $18 million Gold Coast mansion. But if that sounds like a lot, consider the fact it was reportedly $15 million below the asking price for the six-bedroom, six-bathroom nest on Mermaid Beach, complete with 10-car garage.”

(read more)

Tags: Brisbane Property News

Article source: http://wpmu.thepodcastnetwork.com/brisbaneproperty/2010/01/06/18-million-bargain-queenslands-top-property/

Rental properties in mining-related areas like Mackay are renting and selling faster if they come with a shed, according to David Bugeja of Diamond Real Estate Services.

As the mining boom kicks off around the nation, investors buying rental properties in regional towns and cities that miners are increasingly calling home should consider adding a double-bay shed to the backyard for additional rent and a firmer and often higher sales price, said Bugeja.

Mackay, Gladstone and Bowen are some of the regional cities where miners are increasingly resting their heads and setting up a life in between their demanding shift work.

These cities are seaside so it’s natural that boating and other water toys play a big part in their lifestyle, said Bugeja.

He said Mackay is increasingly becoming “the nation’s capital of four-wheel-drives and V8s” so the demand for space to store the cars and the boat is high.

Bugeja said from his own experience, of the investment properties he’d sold over recent years, the ones to sell fastest were the properties with sheds.

Not only can he rent and sell these properties faster, but they also fetch a higher price.

Bugeja says he can typically ask for an extra $20 per week in rent and an extra $20,000 in the sales price for a capital outlay of $12,000 for the shed completely installed.

John Tooma of The Shed Company, Mackay, said the process to add on the shed is easy.

A 10A approval is required via a private certifier or council, said Tooma.

He said the typical double-bay shed takes up 36 square metres in the backyard so investors should contact their local council or private certifier to obtain approval requirements first.

In the Mackay council area the shed must take up no more than 10 per cent of the block so it’s quite easy to pass this requirement, he said.

Tooma said for between $10,000 and $12,000 a fully erected shed can be placed on site with the approval certificate, earthworks and concrete done.

He said the biggest tip for investors prior to undertaking this strategy is to first check where the easements and sewerage are positioned on the block because the shed can’t be installed above either.

 

Article source: http://feedproxy.google.com/~r/API_Property_News/~3/8I8j9g1_Dgw/buyers-and-renters-demand-a-shed

Improved housing affordability and rental yield increases signal a prime time for opportunistic buying, according to May’s RP Data-Rismark Hedonic Home Value Index.

Housing affordability in May has returned to June 2003 levels, with the Australian dwelling price-to-disposable income ratio down to 4.2, reports the Index.

With increased housing affordability, the natural direction for rental yields is up, said RP Data research director Tim Lawless.

“For property investors, rental yields are also improving with RP Data-Rismark’s Index showing that gross Australian apartment yields have now risen to five per cent,” said Lawless.

Lawless said the best rental yields could be located in Darwin (5.7 per cent for units and 5.4 per cent for houses), Canberra (5.4 per cent), Brisbane (5.2 per cent) and Sydney (5.2 per cent).

“The worst yields are in Melbourne (4.2 per cent for units and 3.6 per cent for houses), Adelaide (4.6 per cent) and Perth (4.9 per cent),” he said.

In the three months to May, capital city dwelling values have fallen by 1.2 per cent on a seasonally adjusted basis; over the 12 months to May these values have fallen by 2.3 per cent. The first five months of 2011 saw a 2.7 per cent decline in capital city dwelling values.

Zooming into individual performance, Sydney is the only market to have recorded a modest capital gain over the past 12 months of one per cent, said RP Data.

Canberra housing has held steady with only a 0.1 per cent decline, however all other capitals have slipped behind, with the weakest results in Perth (7.5 per cent decline year-on-year to May) and Brisbane (with a 5.9 per cent decline in the same period).

“After extraordinary capital gains in recent years, Darwin (-3.2 per cent) and Melbourne (-2.9 per cent) have also both experienced small corrections,” said Lawless.

“Interestingly, in the last three months the laggards have again been Perth (-4.2 per cent), Melbourne (-1.8 per cent) and Brisbane (-1.4 per cent).”

While big expectations are ahead for the Perth market with the resources boom, Lawless said it doesn’t appear to be turning yet.

“For a city that is recording rapid population growth, low unemployment and a large private capex boom, house prices have nevertheless been contracting since late 2007 after years of above average capital growth in the pre-GFC (global financial crisis) period. Today the critical missing piece of the puzzle seems to be buyer demand,” Lawless said.

Overall the weak level of consumer confidence is what’s driving the property price downturn, said Lawless.

“Consumers are well and truly focused on saving, not spending,” he said.

“Despite the low rate of unemployment and the strength of the resources sector, it is clear that the average Australian is content to pay-down debt and wait for some economic certainty to return. As a consequence, transaction volumes in the real estate market are about 20 per cent below the five-year average and listing volumes are about 25 per cent higher than what they were last year.”

 

SOURCE: RP Data-Rismark Hedonic home Value Index

Article source: http://feedproxy.google.com/~r/API_Property_News/~3/oYbLejr44AE/the-only-way-is-up-for-rental-yields-and-housing-affordability

With all the negative hype surrounding the Queensland property market at the moment it was nice to see a fresh and positive report from Place Estate Agents, even more nice was that they backed the report with their research!

Smart Property Investment reported today – Brisbane’s property market is offering strong potential to investors according to a report by Place Estate Agents.

Lachlan Walker, Place Estate Agents researcher, said Brisbane’s affordable pricing, comparative to other east coast capitals, was one factor expected to drive interest in the city’s market.

Certainly, yesterday’s figures from Australian Property Monitors showed Brisbane is now the most affordable mainland capital city, with a median house price of $448,669.

This compares to median prices of $643,713 in Sydney and $563,397 in Melbourne.

In addition to affordable prices, Mr Walker said yields in Brisbane, particularly apartments, were also attractive.

“Brisbane apartments are currently able to provide between 5 and 6 per cent return on investment given its increasing undersupply.”

Read More here ….

I couldn’t agree more, yes Brisbane has had a large boom in recent years that has boosted our property pricing substantially (I remember buying my first property for $86,000) however, you must remember that we have lagged behind our sister states, VIC NSW, for some time and this boom has merely edged us closer to equal grounds … I say closer because we still have a long way to go before our property pricing and our wages catch up!

Property in my mind, is always a good buy, however, the market would warn that those looking to buy now should consider this a long term investment, flipping your property will have a lag time, I would plan on holding for at least 7 – 11 years to ensure you get your moneys worth!

On a final note, now really is a great time to buy as there are many leading economists, property researchers and historical fact finders backing up the notion that Brisbane is in for an upswing soon and buying now could possibly save you thousands on your piece of Australia!

Article source: http://mypropertypulse.wordpress.com/2011/04/29/brisbane-tipped-to-take-off/

OK we know, the residential property market has been slow recently, but apparently a combination of factors will soon come together to see the Australian market improve from 2011-12, predicts BIS Shrapnel.

In its findings from its Residential Property Prospects, 2011 to 2014 report, the company is forecasting that residential property prices will be steady through 2011, with some capital cities even showing moderate price growth over the two years to 2013.

Among the state capitals, BIS Shrapnel forecasts that Sydney, Perth and Brisbane will show the strongest price growth through to 2014.

Below is BIS Shrapnel’s outlook for median house price growth by region:

Sydney: Total price growth in Sydney over the three years to June 2014 is expected to be 18 per cent.

Melbourne: Total price growth in Melbourne over the three years to June 2014 is expected to be six per cent.

Brisbane: Total price growth in Brisbane over the three years to June 2014 is expected to be 15 per cent.

Adelaide: Total price growth in Adelaide over the three years to June 2014 is expected to be eight per cent.

Perth: Total price growth in Perth over the three years to June 2014 is expected to be 19 per cent.

Hobart: Total price growth in Hobart over the three years to June 2014 is expected to be five per cent.

Canberra: Total price growth in Canberra over the three years to June 2014 is expected to be seven per cent.

Darwin: Total price growth in Darwin over the three years to June 2014 is expected to be seven per cent.

So value for money, buy in price and growth moving forward is clearing pointing towards Brisbane for anyone looking to live or invest in the property market over the next few years!

Article source: http://mypropertypulse.wordpress.com/2011/06/28/brisbane-a-strong-performer-moving-forward/