Viewing by month: February 2016

Three tips for building a relationship with your agent

Three tips for building a relationship with your agent

Establishing a strong relationship with your agent can help set you on the right track if you are looking to buy or sell real estate. Here are three tips that I believe to be useful for cultivating a relationship that is mutually beneficial.

1. Don't wait for them to call you
You may have sold your home through the agent before or met them at an open home or auction. However, this does not mean that the agent is automatically going to contact you if an opportunity arises. Don't be afraid to call them, talk business and ask about the market.

2. Be honest
Telling your agent exactly what you want will go a long way in establishing a relationship of reciprocal trust and honesty. An agent will likely appreciate your honesty and will be able to better understand your needs. In turn, they can work with your requests to formulate realistic expectations and work towards achieving these outcomes – whether it's being honest with what they think your home can sell for, or whether your dream home can be found in your price range.

3. Ask questions
Don't be shy to take advantage of your agent's expertise. A good agent will be happy to communicate with you, regardless of the fact your personal real estate knowledge may be limited or extensive. Showing keen interest can encourage your agent to keep you updated on all stages of the buying or selling process. Having a chat with your agent in person or over the phone can be the best way to do this and will also build rapport in the relationship.

0 comments | Posted by Charles Tarbey on 26/02/2016 at 5:11 PM | Categories:

One Country, Many Marketplaces

One Country, Many Marketplaces

Although the media often speaks about the Australian real estate market as one market or even state/capital city markets, this is probably not the most useful way to think about real estate. The real estate market is actually far more segmented, and individual markets exist right down to a suburb level. In fact, sometimes there are different conditions even in a single suburb. These different marketplaces exist due to factors such as supply, demand, local employment opportunities, transport and infrastructure.

Many parts of Sydney have experienced strong capital growth over the last three and a half years. Melbourne has also seen strong capital growth. However, the market has not been the same in every suburb of these capital cities. In addition, other capital cities have seen price movement in negative territory. Some areas have been affected by the mining investment slowdown with both rental yields and price growth slowing.

Make sure that you don't just read the headlines when thinking about buying a property. While there are markets within markets in Australia, it also pays to remember that property is typically a long term game. It's far better to conduct on the ground research. Speak to local real estate agents in the area you are looking to buy in, find out about local infrastructure plans. By taking care in the house hunting process you are far more likely to make a successful purchase.

0 comments | Posted by Charles Tarbey on 18/02/2016 at 5:21 PM | Categories:

The rental price is right

The rental price is right

Landlords should understand the rental climate when determining the most suitable price to charge for rent. Supply and demand drives the rental market therefore price adjustments need to be made to accommodate.

Here are a few of my tips to consider when working out the right price to charge for your investment property.

Comparison is key to determining the right rental price. Consider what your property offers in terms of size, presentation and proximity to transport, shops and schools. Comparison can then be made to other properties in your area. Extensive research will be a guiding factor in making the right decision about price.

High vacancy rates in an area may indicate low levels of demand or a high supply level. Remember that in some areas, certain kinds of homes may be more desirable to tenants. For example, people might be looking for townhouses to rent in a particular area over standalone homes. If the kind of property that you are offering is in oversupply, you may have to consider lowering your asking price in order to attract a desirable tenant.

Where vacancy rates are low, opportunity may exist for a price increase. In more exclusive areas renters may be more willing to pay a higher price than average to secure a property. Rental increases may not be the best decision when your property is happily occupied. Maintaining a good relationship with tenants may encourage continued occupancy. Even a simple gesture such as mowing the lawns can influence the satisfaction of your tenants. If you choose to do the mowing yourself, it may even afford you the chance to check in on the property. If the rent is increased in a competitive market, you run the risk that the tenant will leave, resulting in a vacant investment property. The financial loss from this can quickly outweigh any gain from a high rent from the next tenant.

0 comments | Posted by Charles Tarbey on 11/02/2016 at 3:40 PM | Categories:

Open homes

Open homes

A vital part of the search for a new property is attending open homes. It can be a little daunting and time consuming at times, but it represents an important part of the research process in finding a home. It also allows you to get inside a property and really assess its suitability for your needs.

Consider these four tips when going through the open home process:

1. Know what you are looking for
Spend some time before you attend an open home to make a list of the attributes you want in a property. Once you have this, check items off the list while you are visiting the home. You might strike it lucky and find that the home fulfils all your needs and wants. If not, you will be able to see what is missing from the property and move on to another property or adjust any forthcoming offer.

2. Be systematic
Work your way systematically through a property when visiting an open home. Find a method that works for you and try and stick to it. If the agent supplies a floor plan of the house, use it and cross rooms off as you inspect them. This will help you avoid missing any features of, or issues with the property.

3. Avoid emotional attachment
It can be tempting to become emotionally attached to a house but this can result in overstepping your budget. By using the two points above you may be able to keep a level head when inspecting a property.

4. Ask questions
If you have any questions about the property, make sure that you ask them. The agents who are showing the home are there to help. You may be able to glean some important information such as the seller's reason for listing the property or how many days the property has been on the market.

0 comments | Posted by Charles Tarbey on 03/02/2016 at 3:01 PM | Categories:

RBA leaves cash rate on hold

RBA rate hold: 2.00%

CENTURY 21, the largest real estate sales organisation in the Asia Pacific region, believes the Reserve Bank's decision to leave the cash rate at two per cent is prudent.

"Changes to lending conditions made by the regulatory bodies and banks last year slowed the market quite substantially in Sydney and Melbourne," said CENTURY 21 Australasia Chairman and Owner, Charles Tarbey.

"Inflation rates are at the lower level of the RBA's target range but current employment data and the lower Australian dollar mean that there is less pressure on the RBA to drop interest rates.

"I believe that stability in interest rates is a good thing for the housing market at the moment as it gives borrowers a degree of certainty about their repayments in the short to medium term," said Charles Tarbey.

Recent information from CoreLogic RP Data shows that dwelling values across Australia's combined capital cities increased by 0.9 per cent rise in January after recording no change in December and a 1.5 per cent drop in November.

CENTURY 21 encourages potential buyers who are looking to purchase real estate to ensure they have obtained the appropriate professional property and finance advice before doing so.

With over 3,000 offices, CENTURY 21 is the largest real estate sales organisation in the Asia Pacific region, a region vital to Australia's continued economic success.

0 comments | Posted by Charles Tarbey on 02/02/2016 at 1:43 PM | Categories: