Brisbane’s median house price has hit a record high of $673,000 after an increase of 2.5 per cent in the past year.
The market in Brisbane’s local government area (LGA) has grown almost 30 per cent in the past five years thanks to “steady, sustainable growth”.
A multi-listing, or a multiple listing agreement is an option open to sellers if you’re willing to offer it.
Normally, under an exclusive agreement, one agent/agency handles the entirety of the sale process from start to finish, including the photography, marketing, open for inspections, negotiations etc. until the property is sold and unconditional.
Under a multi-listing agreement, the seller signs up to you and any other agent(s) whom usually work for the same agency. The property is then marketed to both agent’s audiences, effectively promoting the property to more potential buyers.
So, what are the advantages and disadvantages of a multiple listing agreement?
Disadvantages:
All agents involved in the multi-listing will share the commission from the sale, so you may find the other agent involved in the multi-listing work less efficiently than you, essentially relying on you to sell the property even though they get paid half of the commission fee.
Miscommunication between all agents and the seller could also lead to a lower sale price. Buyers will often go to all agents of the multi-listing property and see who will accept the lowest offer. If you’re not on the same page, the property could sell for less than its potential.
Advantages:
The main advantage is of a multi-listing is that the property can be marketed to more potential buyers. This could lead to the attraction of buyers outside your core market. Multi-listings were particularly popular in the days before domain.com.au and realestate.com.au when properties were not accessible at the click of a button.
Although not as common, multi-listings still occur today if a property is listed for sale outside an agent’s core market and the listing agent often invites the area’s well-known agent to share the listing. Their personal contacts or buyers who have recently missed out on property in the area could the buyer of the multi-listing property.
“There’s a few houses for sale in my street, it mustn’t be a good time to sell.”
It’s a common assumption raised by sellers, and although it may not create the best first impression for buyers, it’s not always a bad thing.
Multiple properties listed for sale in the same street is a sure sign of property price growth. If a suburb is more tightly held and only has property selling there once in a blue moon, it usually means there is less growth.
If your sellers aren’t sure that the multiple ‘For Sale’ signs is a good thing, encourage them to speak to the neighbours or other people selling in the area. The local’s will share their experiences and profitable outcomes which could be the push you need to get the listing agreement signed.
CEO of property price predication firm realAs, Josh Rowe says of all of Australia’s housing stock, five per cent is listed for sale each year. This means it take about 20 years for all housing to completely change hands.
However, in high sale areas, the volume of houses for sale can rise to 8 per cent.
The seller is not the only one that can capitalise on the plethora of sale signs. As an agent, if you successfully sell a property in a short time frame, you can use your success story to approach those properties that have been on the market more than 90 days.
The buyers have left over from the first sold property may be willing to place their offer on the second property you have listed.
Tell us, how many properties have you sold in one street?
Enhancing a listed property to look and feel like a home will attract greater buyer competition and ultimately push the price of the property up. So, how do you position a property in a way that will appeal to more buyers?
Focus on quality
If your sellers are planning on enhancing the property before it goes on the market, ensure they invest in quality products or services. Whether it be the need to repair the leaking tap, lay new carpet, or harvest the grass to ensure it grows evenly, recommend they use the best person for the job. Buyers are becoming increasingly discerning when it comes to the standard of the property.
Connect it up
We now live in a well-connected world. From Facetime to Facebook, buyers are expecting homes to be connected with some form of electronic automation. This could mean electronic garage doors, well-connected internet, or simply the latest kitchen appliances. This will not only attract buyers to the property now, but will hold its value for new owners in 5-10 years’ time.
Avoid big statements
The bold feature wall or eye-catching façade might look good to you, but will it appeal to a wide array of buyers? Major design statements often date quickly, leaving your buyers hesitant to purchase a property with out-of-the-ordinary features. Encourage your sellers to keep the style of the property modern without making it to polarising.
Good Real Estate Agents can be difficult to find. It’s a competitive industry, so how do you know which qualities to present to ensure you stand out from the crowd?
NREL has chosen 8 top qualities for you to stay one step ahead of the game.
1. Communicate
It’s frustrating for both buyers and sellers if you fail to communicate clearly. What seems like insignificant information to you, can be really important to your buyers and sellers, especially those new to the real estate game.
2. Be proactive
Be one step ahead of your clients. If they are calling you first, you’re not providing them with enough information. Being proactive will ensure your clients stay well informed.
3. Listen
Your clients should be doing most of the talking and making sure you understand their needs and requests. As an agent, your job is to ask the questions, not the other way around.
4. Be client motivated
Simply, put your client first. If your client gets a good deal, so do you – and your future client referrals will continue to deliver.
5. Adapt to your client’s needs
Suss out the client’s preferred method of communication and stick to it. It’ll make them feel like you’re listening, communicating and putting them first.
6. Meet your client’s time frame
Adapt your client’s time frame to your selling campaign. If they are in a rush to sell, then there’s no time to waste. However, if your client is still in the decision making process, maybe suggest the best time of year to sell for their property type. Whatever delivers the best result for your client (and you too).
7. Learn your client’s motivation
Is your client selling their property to upgrade? Are they selling an investment property? A client who is selling a family home rather than an investment property will have very different needs. A good agent will know the difference and adapt accordingly.
8. Be proud of your testimonials
It’s a common question vendors ask Real Estate Agents as they prepare to sell their home.
“Should I move out while my home is on the market?”
Although some vendors aren’t in a position to move out during the selling campaign, it’s a preferable option.
Why? For access and presentation.
Your buyers will have a better chance to envision the property as their own if all personal items (i.e. photos or pets) are removed during the weeks the property is on the market.
Some people can be flexible and work around inspection times, while those with busy schedules may find it harder.
As an agent, it’s comforting to know you can access the home at any time and know it will be clean, tidy and presentable. It helps bring more buyers through the door.
If you have a vendor who is prepared to move out while the property is on the market, take notes on how often you accessed the property and how many buyers you walked through the property outside the scheduled open home times.
Did it benefit your selling campaign? If you can answer yes, present the results as a success in your listing presentation.
Historically, the residential property market has been kind to Australian homeowners.
Realestate.com.au provided a price growth example of two different Melbourne locations over the last 40 years, which helps explains why location determines property price growth.
| Suburb | 1974 | 2017 | Growth per Annum (%) |
| South Melbourne | $18,700 | $1,400,000 | 10.6 |
| Cranbourne | $22,500 | $430,000 | 7.1 |
With a 40km difference from Melbourne CBD, those who chose to buy closer to the CBD are three times better off today.
This is why it’s vital to consider location when buying a home or investment property.
What determines property prices?
There are three main factors which drive market demand and therefore prices:
Owner occupiers will pay a premium to buy a property they want, whether it be water views, within a school catchment zone, or close to lifestyle conveniences. These lifestyle factors are the direct cause of some property markets outperforming others.
Location, Location, Location!
The only thing you can’t change about the property is its location. As a rule of thumb, when it comes to property price growth, the suburb does 80% of the heavy lifting and the property itself does the remaining 20%.
Basically, an average property in a great location is better off than a great property in an average location.
You should consider the characteristics or features of a property you wish to buy in the following order:
Property Type:
Once you’ve narrowed down the location, the property type comes next.
Houses, townhouses and units are all good home or investment options. The secret is what best suit your needs or those of the local demographics. Is the location largely a family area which would prefer houses over units?
Article originally published on realestate.com.au:
https://www.realestate.com.au/advice/why-location-is-crucial-when-it-comes-to-investing-in-property/
As an agent, you will come into contact with sellers who need to sell NOW. Whether they have come into financial difficulty or a family break up, some sellers need their property on the market the moment the listing agreement is signed.
So, how do you ensure you effectively market and sell the property while meeting your seller’s tight timeframe?
Write a list
It’s easy to get overwhelmed, so write down your tasks and prioritise them. From here, you can physically do the work and tick the items on the list off one by one. Your list might include property photography, open for inspection schedule, reviewing your selling campaign etc.
Preparing for the best result
Ensure the property is appealing to all buyers to ensure you get more people interested and willing to put an offer on the property. Whether it be a neutral coat of paint, clearing the gutters, or styling the property for sale – ensure the property has the potential to attract a wide audience.
Outsource
You want the sale of the property to be quick, but effective. Outsourcing tasks that professionals can complete will ensure things are done quickly and properly. Whether it be cleaning, plumbing or babysitting the children to ensure the parents can work on tidying up the property – outsourcing will ensure your short selling timeframe is met.
Be prepared
When the buyers walk through the door of the property, be prepared to answer any questions they may have. Educate yourself on the local area – what are the perks of living in the neighbourhood, why should they buy this property and not the one down the street? Talk to the neighbours and be ready to win the buyers over.
All Real Estate Agents are familiar with sale targets. Real estate is a numbers game and it doesn’t matter if your targets were set by yourself or your leader, reaching them (or smashing them out of the ball park) every month or quarter is a non-negotiable.
Real Estate Agents are usually firm believers in rewarding themselves when they hit their targets. Whether you have sold your first property, achieved a street price record, or simply sold more properties in a quarter than ever before – you deserve to be rewarded!
Here are 3 ways successful Real Estate Agents have rewarded themselves for hitting their sale targets.
Melissa Hickson, of Prime Residential Property Management in Melbourne’s Point Cook treated herself to a massage the day she won a big listing.
“I like to spend some time to get away from everything, I guess because it’s so hectic,” she says.
Mark McGill, of Amber Werchon Property on the Sunshine Coast, has a similar approach.
Three months out of every year Mark will go on vacation and these holidays are booked in advance and are non-negotiable.
“The good thing about that is I can work up to those breaks, know when they are, can plan my time and time off around them,” he says.
Nelson Dueza’s, Collier’s International Director chooses to take his wife out for a nice lunch or dinner every time he finalises a big sale.
Mr Dueza said he likes to focus on doing something immediate, however he does keep his eye on a bigger prize.
“I do have a goal to purchase a really fine Rolex watch that I really like, but that is in a year or so” he says.
What targets have you set and how will you reward yourself?
Original article was published on Domain.com.au.
When it comes to selling property, “How much is my house worth?” is on par with the “How long is a piece of string?” question.
There are dozens of factors that determine the price of a property, but are you considering them all?
Pricing a property incorrectly could see little buyer interest from the beginning of the selling campaign. This often leads to the property sitting on the market for months at a time, making people wonder if the property is overpriced or there is something wrong with it.
Here’s 4 ways to help you pitch a property’s current market value in preparation for sale.
1. Don’t let your sellers move too fast
Sellers can often make an offer or buy another property before their current property is sold. This can lead them to demanding a higher price than what their property is worth simply because they cannot accept any less. With no science behind their desired figure, you will have trouble finding a buyer willing to meet the asking price.
2. Keep emotion out of it
Emotional attachment to the property is a common reason for overpricing. Seller’s commonly attach a dollar value to the moments and memories they have shared in their home. However, buyers with no attachment will have trouble paying forward more than they should. Remind the sellers they have to take a logical approach to the process in order to get the best results.
3. Be the knowledgeable expert
Facts and information are your biggest asset when listing a property for sale. Stay ahead of the game by attending auctions in the area and knowing what similar properties have recently sold for. Let the sellers know what they’re up against, show them the competition (other listed properties on the market) and agree on a desirable price for the property together.
4. Be aware
Don’t limit your education to listed properties in the area. Ensure you’re aware of what hasn’t sold. It’s a great way to find out what “overvalued” or “incorrectly priced” looks like. Are they similar properties to yours? If so, adjust your selling campaign accordingly.
