"SUCCESSFUL SELLER TIPS: BEAUTIFUL BATHROOMS"

"First impressions count and if you are listing your property for sale there are some easy things you can do to ensure that your property presents in the

very best light possible.

Bathrooms are one of the key focus areas for buyers and therefore it is worth the time and effort to make them as appealing as possible. You will be surprised at the big difference a few small tweaks will make.

1. Update tapware

– this automatically modernises a bathroom..

2. Update accessories

– including towel rails, toilet roll holders, towel rings and other hooks.

3. Clean floor and wall tiles

– professional tile cleaning can transform tired and grubby into clean and sparkling.

4. Replace silicone seals around the back splash on your vanity.

5. Clean everywhere

– sinks need to be stain-free and shiny. Shower recesses need to be mould and calcium-free.

6. Replace cupboard handles

– we often find that modern silver handles are a good choice.

7. Replace shower curtains

– we recommend that you use white show curtains. Avoid patterns and colours as they will date your bathroom."

These handy tips were sourced from Spruce Ups.

"Perth leads the lot, despite rising prices"

 The following article was sourced from the Australian Financial Review.

"Residential lot sales soared by 50 per cent in Perth, and by 42 per cent in Sydney, during the six months to the end of March compared to the same period in 2012.
The Perth surge came despite the city remaining the most expensive quarter in which to buy land per square metre, and without the improved home-buyer incentives that bolstered Sydney and Adelaide markets.
Housing Industry Association and RP Data figures showed that in Perth, land prices rose $22 per square metre to hit a media lot price of $250,000 or $558 per square metre.
The Perth-based executive chair of Hegney Property Group, Gavin Hegney, said the figures were showing the momentum that had been gathering in the market for a year, as migration remained strong and rental vacancy tight.
 The HIA attributed the Sydney spike to the first owners grant rising from $7000 to $15000 in October 2012.
Sydney's median lot price was higher than Perth's at $285,000, but the price per square metre was lower at $549.
nationally, land sales rose 4.3 per cent in the March quarter, after gaining 11.9 per cent in the tree months prior.
the rise can be largely attributed to a 5.5 per cent rise in capital city land sales, which trumped a 2.4 per cent rise in regional sales.
"At this juncture, any clear improving trends are limited to New South Wales and Western Australia. WA is the only state to have achieved clear and consistent improvements in residential land sales over the past 18 months," HIA chief economist Harley Dale said.
The weighted median residential lot value rose 2.5 per cent in the quarter to $198,152, driven by a 3.2 per cent lift in the capital city figure, to $225,781.
Adelaide lots rose by 14.8 per cent on the prior corresponding period, after the grant for buyers building their first home rose from $15,000 to $23,500 and incentives for established homes dropped. Melbourne land sales dipped 4.9 per cent in the half-year, as the state's FHOG for new dwellings was cut from $20,000 to $7,000 in July 2012. The cut to the grant drew demand forward during the June 2012 quarter.
Brisbane's lot sales weakened markedly, despite the FHOG in October 2012 rising from $7,000 to $15,000 for new dwellings. Lot sales dropped 16.6 per cent year on year.
Outside the capital cities, the most expensive residential land markets were the Sunshine Coast at $418 per square metre, the Gold Coast at $285 and Victoria's Barwon at $385."

Click the picture for a larger version

"Find the best method to sell your home"

"SALES methods that are too sophisticated could be turning buyers off your property.
A number of new sales methods have gained popularity in recent years, but they could be being over used, according to a WA real estate agents representative.

REIWA Sales Consultants Network chairman Paul Dilanzo said while most new methods were designed to get the best price for the seller, some could be scaring buyers away.

"The feedback I get from a lot of buyers is that the sales methods without prices confuse them and they end up walking away from a property,'' Mr Dilanzo said.

"Buyers want to know how much a property is.

"There should be a guide at the very least.''

Mr Dilanzo said he was afraid agents were getting too sophisticated in their sales techniques.

"They believe in a method so much that they recommend it for everything, but unfortunately the public dont know how to use it,'' he said.

Traditionally, most properties would have a fixed price, but a quick scan through any suburbs listings today will show set date sales, price guides, price brackets, expressions of interest, price on application and auctions, to name a few.

Mr Dilanzo said some methods were developed to tap into the buyers psyche or get the best sale price in a buoyant market where fixed prices may not.

Momentum Wealth managing director Damian Collins said there wasn't one single best method.

"Take in your market, consider your property and your circumstances,'' he said.

"If you have a specific time frame, a set date sale might work for you.

"In more buoyant markets, trying nonspecific mechanisms, like expressions of interest, or offers might work for homes.''

Mr Collins agreed that sales mechanisms without prices were frustrating for buyers.

His recommendation for a fixed price was to add a small amount of breathing room.

"If its worth $500,000 you could try for $519,000 and have room to move, but if you try for $550,000, but expect it is worth $500,000, the trouble is the buyer doesn’t know that,'' he said.

Agents say auctions are gaining popularity in WA, though at about 2 per cent of the market, they are still less popular than in Sydney or Melbourne.

The experts said auctions could achieve above expected prices, but were most suited to properties which would hook buyers emotionally.

Metropole Property Strategists founder Michael Yardney said sellers needed to consider the market carefully when choosing the best way to sell their home.

He said that in a moving market sellers should compare their home with sales no farther out than three months.

"With the WA market moving so fast, you can shoot yourself in the foot unless you put the price high,'' he said.

"I would recommend a price range for a hot market; it opens it up more.

"Don't put the price range more than 10 per cent; don’t put $400,000 to $500,000, put $450,000 to $500,000.''

Mr Yardney said it was best to set the price range with the target price in the middle.

He also cautioned against using methods that were too smart, as they could work against the seller.

Hegney Property Group chief executive Gavin Hegney said in any market, the best method was one which didn't scare buyers off.

"A good agent will educate their client about the best sales method for their property, for their location and for the market,'' Mr Hegney said.

"Today, there are a range of choices not available in years gone by.

"A good agent will be well-educated across all methods and can advise on the best to choose.''


PROS AND CONS OF SALE METHODS

To Be Sold
PROS
- For people who need to sell urgently, "to be sold'' can attract serious buyers.
- It implies the seller has realistic expectations for the price.
CONS
- When buyers see ``to be sold'', they think ``bargain''.
- It can make the seller sound desperate.

Expressions of Interest or Offers
PROS
- Expressions of interest are designed to bring a buyer up to their maximum price. They are run as a silent auction and encourage buyers to put in high offers because they don't know what the asking price is or what others have bid.
- They work well for unique, hard-to-price properties.
- They can help agents get feedback from the market on what people are willing to pay.
- They can work for a more standard property in a sellers' market where buyers may pay more if they are afraid of missing out.
CONS
- As well as bringing buyers' offers up, EOI can equally bring sellers down to realistic prices. Perhaps not recommended in a buyers' market.
- Buyers can be frustrated by the lack of price or a set date for offers. Putting in an offer can take a lot of time and effort for a property they're not sure they can get, especially if they need to sell their own home by a certain time.
- Just as buyers can put in higher than expected bids, they can also go much lower.
- The strategy can be pointless if there are easily comparable properties on the market.
- EOI may not work for a standard home in a steady market.

"Priced from"
PROS
- Pricing a home ``from'' works best in buoyant markets.
- Like a range, it can attract buyers in a lower range and tempt them into the higher bracket.
- It may well achieve the desired price point and help reduce the number of buyers coming in under the price.
CONS
- The problem with ``from'' is that the buyer only hears the lowest price.
- Unless buyers have incentive to go higher, such as competition, they probably won't.
- Similar to a price range, the lowest price cannot be a bait. If you receive an unconditional offer for the lowest price, you must be willing to take it.

Set Date Sale
In a set-date sale all off ers are collected by the agent during the marketing campaign and presented to the owner by a set date. The owner will then choose the best offer.
PROS
- A set date sale encourages buyers to put their best foot forward because it's essentially a silent auction.
- The fixed sale date creates a sense of urgency.
- They work best in buoyant markets, where people are driven to put their best foot forward by a fear of missing out.
- SDSs will also drive buyers to put in their best offer if it's a property they love.
- They can work better for properties that are unique, hard-to-price or something buyers will fall in love with.
CONS
- A set-date sale could deter some buyers who prefer the transparency of a fixed price or price guide.
- The set date may not work for those with time constraints.
- SDSs don't work as well for investment properties.
- They work better for properties that are unique, hard-to-price or something buyers will get emotional about, rather than standard properties because they frustrate buyers.

Auction
PROS
- Auctions don't put a limit on price.
- They work on competition. If more than one buyer loves your property there could be a bidding war that could drive the price up by tens of thousands of dollars.
- The sense of urgency can work on buyers' emotions.
- Auctions are cash sales and can be a quick way to sell.
- While an acceptable bid may not be made on the auction day, sales can be negotiated afterwards.
CONS
- Auctions principally work well for houses that buyers will fight over, typically those that are unique or where stock is low. Exceptions are the past six months where auctions worked well for cheaper houses as buyers snapped at lower priced homes.
- As a rule, vendors pay for auctions whether the property sells or not.
- They tend to work less well for easily comparable properties, ie villas/units.
- First homebuyers or other buyers lacking confidence can be scared off by the process.
- They may also put off buyers who can't make unconditional offers. Buyers need to have their finances in order to enter an auction, as they are cash purchases.

Fixed price
PROS
- As fixed price is the traditional sales method for Perth, buyers are comfortable with it and how it works.
- It is clear, upfront and transparent.
- Most buyers are aware they can negotiate the price.
- There's no deferral in time; buyers don't need to wait for a predetermined date.
CONS
- If a buyer falls in love with your home they might be willing to pay more to capture it, but a fixed price may not give them the incentive.
- Other methods may be able to capture a higher price through creating competition or drawing on the buyers' fear of missing out.
- They are best suited to steady or flat markets and may not get the most for the seller in fast-moving markets.

Price Range
ie. $450,000 - $500,000
PROS
- A price range will get more buyers through the door than a fixed price, increasing the chance of your home selling for the best price.
- By putting a lower price, you can attract the interest of buyers who wouldn't otherwise come forward.
- If the buyer then falls in love with the property, a good agent will be able to bring them up, as most buyers shop below what they can aff ord.
- Price ranges can also be used to test what buyers are willing to pay for a property, without the fear of overpricing.
CONS
- You have revealed your minimum price to the buyer.
- Unless they fall in love with the home, buyers will see the lowest price as what they're willing to pay and could make offers below that.
- You must be willing to accept the lowest price if you receive an unconditional offer because agents are not allowed to price bait.
- It won't be easy to drag the price up; you need a skilled agent.

Price on Application (POA) or Contact Agent
PROS
- Creates a level of interest in a property.
- It can allow a good agent to start a conversation with potential buyers.
- The agent can see where the interest is, find out what buyers are willing to pay and encourage people to view the property.
- It avoids overpricing the property.
CONS
- The agent must be willing to say the price on application, or at least a guide, otherwise frustrated buyers could walk away.
- Sellers may have to adjust their expectations of price based on feedback from the market.
Source: Pros and cons compiled from the combined tips of Metropole Property Specialist director Michael Yardney, Hegney Property Group chief executive Gavin Hegney, Momentum
Wealth managing director Damian Collins and REIWA Sales Consultants Network chairman Paul Dilanzo.

MARKETING COSTS

MARKETING for a standard home in Perth should cost $1800 to $2000, REIWA Sales Consultants Network chairman Paul Dilanzo said.
For a top-end home, however, sellers could expect to pay between $5000 and $10,000.
Mr Dilanzo said estimates from sellers' advisory company Australian Real Estate Consulting that WA agents fees were generally between 3 per cent and 3.5 per cent were too high.
"Good agents should get 2.5 to 3.3 per cent,'' Mr Dilanzo said.
"Less-skilled agents should get between 1.5 and 2 per cent.''
Mr Dilanzo said the cost of marketing campaigns was justified when getting the best price.
"If you don't go out and find all the buyers, how do you know you've got the best price?
"If you sold a home in 48 hours and only got two buyers through, what about the other 25 that are out there?"
Mr Dilanzo said some of the most important tools were street signs and photography.
"Your neighbours are your best allies for telling people what's for sale in the suburb,'' he said.
"20 per cent of the sales I've seen in my career have been local sales.''
Mr Dilanzo also said while good photography could cost a bit more, it was central to any marketing campaign.
"If you can get someone to fall in love with your property, you'll get the best price,'' he said.
MARKETING BREAKDOWN:
Online advertising: $600 - $800;
print advertising: $200 - $1000.
Standard signage: $170 - $180.
Photography: $150 - $250"

This article was sourced from PerthNow.

"How to prepare your house for an open inspection"

"INSPECTIONS are like a first date. You only get one chance to make that first impression. Set your property up for inspection success with these simple tips. 
              
Camouflage your pets
One of the most common complaints from potential buyers at open for inspections are those tell-tale signs you share your home with someone furry. If they're not yours, pet smells or stains can actively turn someone off your property.
Deodorise your property to remove the whiff of little creatures and get someone who doesn't normally live there to confirm you're clear (you might be used to it and can't sniff what others can).
Clean traces of hair from floors and furniture, stow feeding bowls and toys.
Remove any litter boxes or droppings from the yard, and give your pets a vacation during inspections.

Clean up
Yes, it's Captain Obvious, but you'd be surprised. Make sure your whole property is neat and tidy when buyers arrive, including the garden and outside areas.
Dust, vacuum, scrub, wash, buff - make all those annoying tasks earn their keep.
Don't forget to clean inside ovens, cupboards and wardrobes, in case potential buyers indulge a snoop.
Remove shoes from the entrance and any hazards people might trip over.
Get the big clean out of the way in advance, then keep your place in good condition while your place is on the market. That way you should only need a refresh to prepare for a new inspection date, rather than a top to bottom makeover.
Clear out the mailbox and get those rubbish bins emptied and, ideally, out of sight (especially if they're normally one of the first things people will see arriving at your home).
Enlist a professional declutterer if you need a hand - or a friend might even help out. Get a second opinion who can review objectively.

Invite light and air
Air out your home thoroughly before the inspection, so it feels as fresh and clean as possible. If potential buyers feel stuffy they'll head straight for the door.
If the weather and security permits, crack open a window or two during the inspections themselves, so air keeps flowing through.
Draw back curtains and blinds to bring in as much as light as possible and show off your house from the street.

Personal touches
A personal touch here and here helps your home feel less stagy or artificial, and can spark an emotional connection with a buyer.
One idea is to gather up photos that show off your house (at its best, of course) and put them in an album for people to flick through if they're curious or inspired. If you don't have printed photos, you could have an iPad or digital photo frame on rotation.
Fresh flowers are another way to add personality, or a small dish of sweets near the door that people can grab on their way in or out. Remember, it's not about mints on the pillow, it's about keeping humanity in the home.

Smell-o-vision
People fuss over the visual but often forget that it's a nose can make or break an open inspection.
Remove smells that are unpleasant, like stinky shoes, and watch out for specific food smells that may not agree with everyone.
Counter the ick with inviting smells using flowers, candles, air fresheners or even freshly brewed coffee.
Just take care your smell engineering doesn't become too sickly or overpowering, and avoid pungent aromas like incense. You want your property to smell like a home, not a perfumery!
A home staging consultant can help with these touches, and can also advise about furniture, artwork and other style elements that can help your place come to life for buyers.

Strike the right temperature
Keep an eye on the weather and heat or cool your home so it's optimal when would-be buyers walk through.
People shouldn't raise a sweat or a chill, and you need to demonstrate your property can effortlessly cope with the climate around it. You should be aiming to give them a cool or warm blast, depending on what's most welcome at that time.
If heating or cooling is malfunctioning and impossible to fix for inspection time, place fans or portable heaters strategically so they don't get in the way but still do the job.

Safety first
Whether you're attending the inspection or not, you should take care to remove and protect anything precious or valuable before you open your house up to strangers - just in case one of them is light fingered.
Check with your insurers about your coverage for an open inspection, and if you need to do something extra to stay protected.
You can take items with you if you're leaving the premises for the inspection, or lock them up in a safe or secure cupboard or drawer. If you don't have an area you can lock away, hide them in the back of a wardrobe or somewhere out of sight and mind.
Agents usually record the details of people coming through your property, to deter thieves and provide some accountability if anything ends up missing or damaged. However this isn't a perfect system and shouldn't be relied upon.
Make sure your property is safe for people to walk through and only let people into your house at the specified inspection times. It's better to cancel than invite disaster."

Have paperwork ready
Though most buyers don't get to the negotiating stage during a walk through, it pays to be ready with all the information a visitor might want.
Work with your agent to have any relevant paperwork (renovation history, pest documentation, approvals for further development) in the property ready to be reviewed or go home with serious parties.
The less buyers have to ask, they more at ease they'll feel in the property and the more time they'll be able to spend imagining themselves in it.
And just in case someone decides to snap your property up on the spot, you've got all you need to proceed with the discussion.

Make yourself scarce
While your house is getting the once over, you should leave potential buyers to wander your halls unencumbered and relaxed.
Coordinate with your agent and be ready to head out for a short time, taking any other family members or inhabitants with you (including the pets). Have a timetable of all planned inspections somewhere central, and a copy to take with you.
Have a bag ready so you can leave quickly (this is also handy for any unplanned inspections). Don't forget to do a quick pass through on the way out, clearing away any new messes or misplaced objects, like toys.
If you don't want to leave entirely, consider setting up an area in the house or yard that can act as a retreat for you while buyers explore. This way you'll be around for a chat if people want to ask your about the home or the area, but not so close people feel they can't browse in peace."

This article was sourced from realeastate.com.au.

"Perth rentals easing but applicants must be organised"

"The vacancy rate for rental accommodation in Perth has climbed to 3.2 per cent, up from a tight 1.9 per cent at the end of last year. There are now more than 4,000 properties available for lease in the metropolitan area.  

Supply now matches demand and long queues at home-opens are a thing of the past. Preliminary data by REIWA suggests that despite the turn-around, there seems to be no significant impact on median rents at this stage. House rents are stable while flats and units have lifted by a modest $5 per week. 

    

The median rent across Perth is now around $475 per week, but for multi-residential property its closer to $455 per week.

 

We still have strong population growth and the overall cost of living in Perth is higher than on the east coast, so many people still need access to affordable housing and this seems to be placing greater demand on flats, units, apartments and villas.

 

Property managers know that what their owners are looking for are reliable tenants who will pay the rent on time, look after the property and not disrupt the neighbours. These attributes should always take priority in applications from tenants.

This is why it pays to be organised if you are looking for a rental. Simply having your bond money, completed tenancy application and references ready to submit is attractive to property managers who might be juggling multiple applications. 

Being organised gives you the best shot, particularly if you approach an agency directly and leave your details with them.

Not all agencies keep a register, but those which do generally welcome the approach from keen applicants and it often means that when a property comes into their care which might be suitable, you might get a call right away rather than having to look online or attend a viewing.
 
When signing a new lease owners cannot ask for or accept more than two week’s rent in advance, however they can accept additional payments if offered after the first two weeks. The bond is generally not more than four week’s rent.

Owners cannot increase the rent during a fixed-term lease, unless the contract stipulates that a rent review can occur during the period of the lease. When this happens it cannot be less than six-monthly. The increase, or a method to calculate the new rent after six months, is agreed to at the start of the lease.

For a lease with no agreed termination date, known as a periodic tenancy, rents can only increase every six months and the owner must give 60 days notice of this.

Good tenants should be respected and valued. Wise owners wouldn’t dream of losing them for short term gain."

 

This article was sourced from REIWA.com.au.

"What a year it's been!"

"The market made some massive improvements over the 2012/2013 financial year.  The number of sales rose while the number of listings fell.

The ACTON Group have posted strong sales results each month, with numbers rising each quarter.  Sales for the June quarter were 52.02 percent higher than for the 2012 June quarter, while sales for the financial year were 47.75 percent higher than the 2011/2012 financial year.
Listings are currently sitting at around 8,900, while they were closer to 13,000 at the same time last year.  Buyers were encouraged by falling interest rates and very reasonable prices and became more active.  First homebuyers in particular fuelled the market recovery and paved the way for upgraders.

The fall in listings has seen more pressure put on buyers to act.  As a result houses are selling in shorter time frames and prices are showing some growth.  However pricing is still the key to a quick sale, with buyers looking for value for money and ignoring those properties they consider over-priced.

We have also seen the South West and the premium end of the market improve strongly, two areas that were hardest hit by the GFC and subsequent market slowdown.

Auctions have played a greater role in the market this year, with ACTON seeing an increase of 63.87 percent in the number of sellers using the auction process.  The demand for properties was highlighted in the number of properties being sold prior to auction (23.40 percent), with buyers deciding they didn't want to risk waiting for the auction and facing competition for the property.

Overall, demand is still strong, fuelled by population growth, continuing low interest rates, and low unemployment.

The rental market has also stabilised over the last six months, following a shortage of rental listings and rising rents at the beginning of 2013.  The properties available for rent have almost doubled over the year, slightly reducing the urgency and competitiveness among tenants.  While the general vacancy rate is sitting at 2.7 percent, demand varies, with some areas receiving multiple applications, while the higher end of the market is finding that prospective tenants are being quite choosy. "

This article was sourced from that Acton Real Estate July newsletter.