Its My Home : 2016
IT’S MY HOME 31 SPOTLIGHT ON A BUYER’S AGENT I always make the offer below the clients’ maximum range, strategically set so that it shows that it is a strong offer so you don’t burn bridges with agents by trying to low ball. Then they know you are in the realm of what the property might sell for. Or if the vendor is open to taking offers, it could start the negotiating process. Whether or not it goes to auction depends on what sort of interest they have had before the auction campaign. It could be that there is only one party interested. If there are multiple parties they know they’ll have competitive bidding on the day. If you really only have one interested party before an auction they are quite likely to entertain offers prior. A PRIVATE SALE If you want to be seriously considered by an agent, ask the real estate agent questions. Are the people still living there? What are the circumstances for moving? Are they upsizing or downsizing? You might find that they are relocating interstate for work or that they have already moved. You can read into these answers to see if there’s a sense of urgency there. It might mean that the vendor is willing to move or take a slightly lower offer. Ask how long they have been there? If someone has been in a property for a long period of time, five or 10 years, and the market has moved considerably, a few thousand here and there may not be the be all and end all for them as they have made a lot of money. Someone that has bought in a shorter time period, or at the peak of the market, is going to be firm in their expectations. These questions can also identify if they are after a longer settlement too, for example, if they were building a property you might be able to make a lower offer with the benefit of a delayed settlement so the vendor can stay in the property whilst they complete the build. Sometimes it’s what the agent is not telling you that can mean a lot. Someone might be after a quick sale. If you can move quickly that could be the difference between you and someone else who has offered the same or a similar amount. BENEFITS OF USING A BUYER’S AGENT n To research rezoning or any potential infrastructure in the area that can affect values n To help negotiate a better deal n To provide a different perspective and real estate expertise n To do the legwork for you n To source properties within your budget n To help with auction tactics n Provide access to off-market properties n Knowledge of the purchasing process n If you are interstate or overseas, a buyer’s agent is your eyes and ears on the ground GETTING TO KNOW THE MARKET IS THE BEST WAY TO ASSESS THE DIFFERENCE BETWEEN PRICE EXPECTATIONS AND THE ACTUAL VALUE WHAT TO LOOK FOR WHEN ASSESSING A PROPERTY n Bones of the property n Signs of major structural damage n Damp odours n Significant cracking n Ongoing maintenance (state of hot water systems, fences and gutters) n Strata levies n Sinking fund n Check the state of the lifts, lobbies and any shared amenities that may require upgrading Pictures:Shutterstock.