As you are probably aware by now I am very interesting in Social Networking and online marketing. This interest is leading me to some awesome contacts around the globe and opening my eyes to many different stratergies when it comes to marketing online and also in the offline world. If you look at my post about where 2009 is taking us and also if you look at my post about marketing real estate in 2009 you will see my opinion on the topic.
I will keep this post short and swet but I am asking for your help. This medium isnt the best source to ask on but I will try it anyway.
what I want is to create some small tutorials via web and video and blogs. Just to assist you hopefully. This is mainly targeted at the many agents that view this blog but also the sellers and buyers. This is a little project I am working on so please ask any question you like.
The more questons the better really – dont worry how silly they may seem. One topic is on how to embed a picture to a blog page. I will not be selling the stuff I do. It will be made avaliable freely through youtube and this blog. The things I am looking at pointed towards the online marketing world, but as I have said the online marketing is very much able to be used in the offline world. I thankyou in advance.
January 13 2009 | Uncategorized | 3 Comments »
In todays market it is both taking longer to sell your home and harder for buyers finance to be approved. This coupled with what seems prices dropping slightly every month is making for a very interesting and tough market to work and sell in. But there is always ways of making the selling process easier and quicker. The fact is that buyers who are in the market are looking for a good buy – or what they perceive to be a good buy. And usually this is associated with the price that you put on the property compared to the location and condition it’s in. And there is one thing that I have come across time and time again is the emotional attachment a seller has to their home when trying to negotiate a contract.
It is very difficult to separate the emotional attachment you have for your home from the financial investment. If you’ve lives in that home you will have spent a lot of your life in that building and there will be many memories that you treasure there. However, when you make the decision to sell, do your best to balance your emotions with this extremely important financial decision. Your property is one of, if not your largest, financial asset. Treat it as such. Help your agent market your property. Remember, this house is a product you must sell, much like a commodity on a financial market.
If you’re a seller you need to come to grips with the market if you are seriously needing to sell. Listen to all the advice and set your price and be firm on it, but also be flexible to understand where the market is telling you where your property is sitting. The hardest thing to work on is when a buyer comes with an offer for your property. The agent rings you up and says I have an offer, you go in to their office and sit down with the offer and present it to you. This moment can be one of the hardest, especially in this market.
What you as the seller are likely to face is a lower offer than your listed price and lower than the 
price you were willing to negotiate to, and sometimes by a lot. This is when it can become emotional and those emotions can get in the way of true negotiating. At this point it is fair to say you need to take a big breath and remember why you were on the market in the first place. And ask yourself is this enough money for me to move on with my life and if not how much more do I need. But you also need to be thinking where is the market telling us the property is at and how much away is this offer. From here you may want to discuss the offer with your agent and work out a plan of attack, whether this is accepting or countering with a counter offer. At the end of the day we can only hope to achieve a fair market price on the day.
It is disheartening when a seller has to settle for less than they expected but if that seller can use what they achieved to move on there is still a great sense of satisfaction for me.
Whatever it is when you put your home on the market you need to separate your emotional attachment to your property away from the monetary investment. This way you will see a bit more clearly what the market is doing and where the offer is in relation to this and you will be better able to take into account the advice your agent gives you.
November 29 2008 | Sellers | 2 Comments »
This guide should help with sellers and buyers when looking at doing a property transaction. A good builder friend from New Zealand Home Inspections and me have put this together so that you may use it to your advantage. The information is probably the same as what you already know but it is good to have a check list. To use this properly I recommend to PRINT THIS OUT and take it with you when you go to inspect the home you are interested in.
For sellers this is what buyers will look out for:
For buyers this is what you need to look out for.
There are many things you need to look out for but these are the main and obvious ones you can look at without needing a builder.
Doors
- Does each door panel open and shut without obstruction of the door frame?
- Is the door panel a true rectangle shape or has it been planed to fit the frame?
Tip: Check for uneven gaps at the top and bottom of the door panel, if it is uneven maybe the piles have sunk.
Windows
- Attempt to open and close each window.
- Look for condensation and damp damage.
- Are there any cracked panels of glass?
Tip: Often timber frames are patched and painted with fiberglass filler, look for irregularities in the paint surface. Fiberglass filler and putties are only a short term repair they usually hide much worse damage.
Wall & Ceiling Surfaces
- From the door way openings look at the line of the wall is there any buckling.
- Solid brick walls may have damp issues, are there any mould stains or irregular areas of fresh paint.
- Check the level of the ceilings is even and consistent or is there a lot of patch repair and damp stains.
- If it is a solid brick wall check for damp and mould markings along the floor level.
Tip: Shine a torch from an angel at the wall and ceiling surfaces, this can highlight patch repairs and thin paint cover.
Tip: Sagging in the ceiling can indicate a past roof leak and should signal close attention to the condition of the roof and its performance.
Kitchen
- Look for damp stains at the junction of the splash back and kitchen sink.
- Check under the kitchen sink common leaks occur in the waste pipes.
- Take a hold of the plumbing from under the sink/bench top and give a firm but gentle shake to ensure the fittings are secure.
Tip: Many cook top exhaust systems are installed without an external vent. Open the cupboards above the exhaust system and look for signs of excess cooking fat. Is the cupboard shallow or has there been no feasible space for a flue to be provided. Check the roof line above the kitchen to see if an external flue exists above the location of the kitchen.
Bathroom(s)
- Turn taps on and off.
- How long for hot water to start running?
- Check under sink for leaks.
- Check for any grout or sealant missing from the edge of shower bases, bath tubs and tiles.
- Check for installation of an exhaust fan.
- Check that shower screens open and close without damage.
Tip: Often tap handle leaks occur from behind the tiled surface. If there is good sub floor access and some one is with you ask them to turn the taps on and off as you look from under the house for any drips.
Laundry
- Usually the simplest of service areas to inspect check that the trough is secured in place, check for rust and ensure that there is a seal between the trough and the wall.
- The wall behind the trough should be tiled.
- For apartments pay particular attention to the location of an overflow drain pipe in the floor surface.
Tip: Make sure you open the door of the trough cupboard; some troughs are painted up for sale but the internal casing may be significantly affected by rust.
Toilet(s)
- Flush Toilet while viewing the area behind the seat look for leaks at the cistern and waste pipes. Aged rubber seals should be replaced.
- Check for excessive use of silicon sealant this is a sign of leakage and poor quality repair.
- Listen for water that is still running after the cistern has been filled � It should come to a stop � not continue forever.
Tip: Gently nudge your knee against the toilet pan, if it moves the mounting screws are loose and you will be prone to leakage from waste and cistern pipe seals. Secure and service seals.
Tip: The flush valve within a cistern requires servicing to ensure no water wastage occurs.
Roof Frame
- Seek to determine the type of timber used. If possible access the roof space.
- Hardwood timber indicates that you may endure the sound of roof creaks and also cracks in ceiling plaster during the change of seasons.
- A Pine Timber is used in prefabricated trusses and is usually much more stable.
- View the roof from the street, does it appear uniform or are there wave like patterns in the surface.
Tip: Pay close attention to areas around roof skylights and air conditioning services, poor quality trade services have been known to saw through critical roof timbers during installation.
Roof Cover & Drainage
- Check that Iron roofs are free of rust, pay close attention to the roof colour as it is not uncommon to find that owners have painted over rust damage.
- Look for faded colour on concrete tiles to indicate the need for new sealant.
- Look for cracked mortar pointing along the ridge, hip and valley tiles.
- Check of rust marks along valley iron, gutters and down pipes.
- Is there any rust or water marks on the timber and eave lining beneath the roof line, this indicates leakage?
- Check that down pipes are connected to a storm water pipe at ground level and not just left to discharge rain water at the base of the house.
Tip: Tiled roofs deteriorate with age also and concrete tiles in particular require new sealant after about 25 years, they otherwise can become porous and deteriorate at a rapid rate. The sealant then needs to be applied again every 7- 10 years to ensure the material quality of the tile is preserved.
Tip: Terra cotta roof tiles that are older than 50 years of age have a very unpredictable performance quality and professional servicing becomes very costly, the tiles become very brittle and can not be walked on.
External Wall Surface
- Check the lines in the timber weather boards; they may have sagging or bowed lines if the structure has moved.
- Check for damp rot adjacent to window openings, plumbing and at ground level.
- Cracks in brick work that are of a significant concern would normally be obvious as large cracks. Pay particular attention around door and window openings, this is where the first signs of movement usually occurs.
- Scrape the mortar joins within a brick wall with a screwdriver, if it is removed freely and has a dusty quality. The joints may need to be raked and pointed with new mortar.
Tip: Damp rot usually starts at the join in timber weatherboard, timber at the corners of a house are at highest risk of having damp rot damage.
Tip: Pay close attention to walls adjacent to large trees for concern of the root structure causing damage.
Sub Floor Area
- Check the material quality of the stumps; probe the base of the stumps with a large screwdriver.
- Check the soil surface under the house for any water courses.
- If it is on a concrete slab check that garden bed levels are kept below the line of the internal floor level.
There should be a fall in the surface of the ground adjacent to the building perimeter that directs surface water away from the house.
The next two things you will most likely want a professionals opinion on.
Plumbing Service
- Check the outgoing pipe at the water meter to determine the material used for the main supply line.
- Check waste pipes for cracks and broken seals.
Tip: Galvanised pipes are a cause of poor quality water and poor pressure; they should be updated for Copper or PVC. If the pipes are dirty scratch through the surface, a silver colour indicates galvanized pipe and copper colour, copper pipe.
Tip: It is only a licensed plumber whom can provide a truly professional accurate indication of the plumbing service. They will use specialized testing equipment and pressure tests and pin point exact location of leaks or failure in the waste plumbing. A typical pre-purchase building inspection will only provide a general overview.
Electrical Service
- Open the fuse box and observe whether it contains a fuse wire system or a modern circuit breaker system.
- Check for the physical presence of an Earth Leakage Safety Switch.
- If there is an opportunity to view the roof space or under house area look for the use of wiring cable that is of a white colour, this is usually the modern standard.
- Black coloured cable and the use of timber cable trays cause certain concern for the need of a wiring update.
Tip: Only a licensed electrician can provide an accurate test and assessment of a home wiring service and safety. A building inspector’s comments will only relate to a visual observation as to whether there have been wiring and or fuse box updates.
Tip: Make installation and testing of a Safety Switch a number one priority upon purchasing a new home.
November 29 2008 | Buyers | 1 Comment »
BUYING AT AUCTION:
Auctions can be a daunting time to buy a property as some Auctions you may not have any idea where it might sell or what it is worth. In New Plymouth we have adopted a policy of publishing the Auction Reserve in order for the whole process is transparent. We do about 60% of our Auctions this way. But in any case Auctions still are done in a set time frame and you need to have things sorted out so that you don’t miss out on your dream property at Auction. Here are a few things that will help you in your purchase at Auction. In Christchurch auctions are done in a more of a traditional way where auction reserves arent published and in many cases arent decided till a few days before the auction. Here is a quick run down on the things you should do when looking at buying a property from auction.
BEFOREHAND:
Do your Research
When you are looking in an area, whether buying ‘for sale’ or through an Auction, research the prices in that area for the type of property that you want. Find out about the good and bad features of the area, and comparative prices to other areas. Look at similar properties to the type that you are seeking.
Attend Local Auctions
It is valuable experience to attend as many local Auctions as you can to see how the Auction proceeds. Observe how people bid, and who is at the Auction. Work out people’s style of bidding. The same people may be bidding against you for your property in the near future.
Arrange your Finances
Ensure that you have your Finance in place prior to the Auction. Establish you bidding limit. Make sure you allow for all extra costs that may be involved and leave a buffer for bidding so that on the day you know exactly what it will cost you when your bidding.
WHEN YOU HAVE DECIDED ON THE PROPERTY:
Register your Intent with the Agent
Advise the Real Estate Agent if you are interested in a property. They will be able to give you more information on the property and guide you through some other things.
Establish your Bidding Limit
It is important that you set your own bidding limit. Decide what the property is worth to you based on what you can afford. Talk to your local mortage broker or bank for this as they can give you advice on repayments at any given cost.
Check the Paperwork
If you are seriously interested in a property and intend to bid you should have your Solicitor inspect the Contract of Sale. It is a good idea to have a good read through all the paperwork related to the Auction beforehand. Wherever possible, contact the Agent handling the sale and ask them to provide you with a copy of the documentation. This is normally possible in the week prior to Auction. Read through all of the documents and always ask if you are unsure of anything. It is important to clarify details such as settlement terms, deposit and fixtures before the auction commences.
Inspections
If you want a building and LIM inspections done do it before the Auction. It is not possible to make an Auction purchase conditional on inspection results. Make sure that any reports or inspections have been carried out to your satisfaction before you attend the Auction.
Ask for Help
Many people find the Auction process daunting. Don’t be afraid to ask a friend, relative or Real
Estate Agent, to assist you with your bidding. Many people ask someone else to bid on their behalf as they may be less inclined to bid emotionally and will not exceed a predetermined limit. Make certain that they have very clear instructions in writing on what they can and can’t do on your behalf.
ON AUCTION DAY:
Check the Contract of Sale again
On the Auction Day you should always check that your copy of the Contract of Sale is exactly the same as the original Auction Contract and that there have been no late changes.
Bidding
Remember how an Auction looks from the Auctioneer’s perspective. They are often looking at a large number of people who are invariably turning around, whispering etc. If you are standing at the back of this scene, or hidden in the shade of a tree, the Auctioneer may well miss your bid, particularly when you are bidding for the first time. Stand in clear sight of the Auctioneer and make your first bid obvious to them.
Make sure the Auctioneer understands what you are doing. Bid early, clearly and confidently, and avoid unusual sign language that may be misunderstood. Buyers are usually reluctant to start bidding at Auction but the best policy is to bid loudly and confidently signalling to all other bidders you intend to purchase the property or should the reserve price not be reached that you are given an opportunity in any further negotiations.
Keep Control of your Bidding
If the bidding is increasing in larger denominations than you are comfortable with, consider offering a lower denomination as your bid. The Auctioneer does have the right to refuse it, but there is absolutely no harm in trying.
It is important not to be drawn into a bidding war on a property you want. Emotion can lead to you payingmore than you can afford and there is no cooling off period with an Auction.
Making the Deposit
When the property is sold at the Auction you are required to sign the Contract of Sale and pay a deposit of usually 10% on the spot. This can be paid by Personal or Bank Cheque.
This information should be used as a guide. Always seek legal and professional advice when buying any real estate. Every situation is different so make sure your prepared. Enjoy the process and enjoy your new house if your buy one.
November 27 2008 | Buyers | 2 Comments »
Quite a number of fellow bloggers have asked me how I put the video into my blog at the top in the left hand side. This is how you do it.
First of all you need to create a video of something that you want featured. Then you need to host it somewhere. I have used Youtube to host the video. You will need to create a Youtube account so that you can upload videos and broadcast them. (if you haven’t got one yet I strongly suggest you get one and use it in your marketing) – Its free to use.
Now once you have a video made, and its uploaded to Youtube (or another place where you can create embedding code) you almost there. But if you are using youtube then its very easy and straightforward.
Go to your videos in your profile. And click to watch the video you want in your blog. (If you have just uploaded the video it takes a few minutes for the video to process before you can view it). You then need to go to the section marked ( 1) in the picture. You then need to go to the embed section marked (2) in the picture. Left click the words and then right click to copy the text. Now your finished on Youtube for the time being.
Now go to your voices blog and log into the control panel where you would check your stats etc. Now to get the right things you need to paste the Youtube text into follow this step. On the picture below I have numbered the steps so you can follow visually as well. Now
1. Click on DESIGN
2. Click on WIDGETS
3. In the drop down menu on the left hand side and go to TEXT and click on ADD
On the right hand side the widget will have been added and can now be found at the bottom of all the widgets on the left hand side. This is the widget you will need to add the text to.
In my picture this is numbered (4). Now to open the text box click the EDIT button numbered (5).
From here you need to paste the text you copied from Youtube into this box. This will then look like the picture below.
There is one last thing you need to do. In the picture below I have 4 red circles. READ CAREFULLY This is the most important part. Look at the code you have pasted in and you need to change it. It needs to look like mine. You will need to change the width from 425 to 220 and the height from 329 to 170. (This is the best fit I have found to work in this way.) Once you have done that you need to click the CHANGE button at the bottom of the text box and then SAVE CHANGES which is at the bottom of the widgets. Then view your bog and the video should be playing.
November 22 2008 | Uncategorized | 10 Comments »
After an enlightening rum with some fellow bloggers I think it is pertinent to mention one of the things that we all had a cry about and it is one of the things that we all agree that makes blogging and if done with passion will be just as important and will grow your blog just as much as the methods I mentioned in t
he post “How will Blogging Grow Your Business”.
The thing we are talking about is Commenting!
When you join up to any blog you have effectively entered into a community. A community of likeminded people who share the same view and the same passion as you do. And if you are active in this community blogging on your own blog or not you should participate and liven the blog up.
Think about it for a second. When I go to a blog and read an article on their I get information. BUT. If you go to a blog and there are many comments on their I always find myself reading the comments more than the article itself as the comments are really interesting sometimes and hearing people’s opinions and viewpoints on any topic are sometimes more beneficial than just reading the article itself. Think of it like having a fire that’s just starting up that doesn’t heat much, but by adding the comments your adding fuel to make it burn bright and when its burns bright it can then heat more. Thus being more useful.
How will this help your blog and your business. Well I go back to the title and explain from there. How to make blogging enjoyable? Well by commenting on other peoples blogs you give the blogger a greater sense that they are being noticed. There is a great sense of achievement when you get a comment on your blog from someone. If you have one I know you will agree. This will then motivate the blogger to do two things. Write more blogs and they will comment back on your blog and then participate more within the community as well. So this answers the second part, How to get the most from the experience?
One thing Kerry said to me is that she sometimes doesn’t comment because it doesn’t add value or it might sound silly. SO WHAT! Put it down anyway. Just do it!!!!! Adding value comes in many forms, whether this is by saying good post or by giving your opinion on the matter it all adds to the validity and quality of the blog. And guess what. If you have a blog or a website you can leave a link to your site in your name and this is links as I discussed in the previous post that will just grow your site you link.
I will basically conclude to say you must comment. If you want to help grow the blogs your participate in and establish yourself or just plain old say thanks. It goes a long way in growing the overall value of the blog. So comment away to your heart’s content. If you’ve read the post take 30 seconds to write something below in the little shaded box \/ down there \/
October 06 2008 | Uncategorized | 20 Comments »
Don’t think that blogging or having a website is the magic pill that will turn your business around. But do expect if done well to work for you in terms of exposure and credibility. This is the 21st Century. We have to realise what is now. And we are in an online revolution. The Fact is for any Generation Y person the internet is joined to us at the hip, to Gen X its widely used and is increasingly used by Baby Boomers. We have connection in our homes, our offices, in our cars and on our cell phones. Heck you can even go to MacDonald’s and go online.
There are many ways of participating on the internet. You can be a reader which absorbs the mass amounts of information available. You can have a stagnant website that promotes your business or you can have an active social platform that is constantly updated with new content that the reader absorbs and possibly comments on.
With these varying means of participation on the web what will give you the best results that you want. Well having a website is a great start. But what’s the purpose of it? Most websites for Real Estate Agents are just promoting themselves and their material and has little content that is updated. From time to time you may change the look of the properties order but in essence they stay the same. SO by themselves are fairly useless for delivering traffic of viewers. Unless you’re doing a vigorous marketing campaign with promoting the link to your website through online articles, Blog and forum posts the only time you’re likely to get someone visit your website is a current client and you have asked them to take a look at your stuff. Don’t get me wrong this in itself is still a very powerful tool as an agent. But for building new business it’s probably very limited.
So we move onto the next things that you can do on the internet and this is blogging and forums. I am mainly going to focus on blogging as your blog is yours and you control it, on a forum you don’t control it. Now don’t get me wrong but just having a blog will not mean you get success for the sake of having one. It actually does take a little effort. But the great thing about it being on the internet is that once it is there it will stay and the more you grow it the easier it becomes.
Blogs. Firstly what are they. Well it’s like a journal. The big aspect to these fore being seen on the internet is that the search engines love them. They are easy to read and the content is updated regularly(when the owner posts a new post). But how do you use them to the best of their ability.
Well your blog should help you in your business and accommodate your website. Linking is the key here but I’ll talk about that soon. The key is that you need to update your blog often. Keep the content relevant and new. The first step is to start one. So you have done this what next. Well get writing. Actually it’s not that simple but you do need to put content on there. But this can be hard. The need for content is to get traffic. The visitors are what is going to in the future bring you enquiry. If you like me you get excited about the thought of people reading the things you write. And the thought of more traffic is thrilling. To get this traffic you need to use the search engines to see them and the content. Now if you do start a blog and add 2 or 3 posts a week your on the right track. But if after a month you start to notice that there is very little search engine traffic coming your way don’t get disappointed. At this point you may start finding yourself wanting to give up, or slowing down in your posts. But PLEASE don’t give up. Just keep plodding on with relevant and rich content and you will be noticed.
Google – which is the biggest search engine and the one I focus on indexes websites every three months. This means if you have a new blog it may take up to three months before its recognised. But when it comes to indexing time if you have a rich content filled blog that’s looks to be updated frequently Google will index it higher than one that isn’t the above. Once it is indexed and ranked you will then probably start to receive more and more traffic from the search engines. And with more content you deliver and more searches made the more frequent the search engines will rank your sites keywords and the more traffic you will receive. When someone searches say for example for my blog “New Plymouth Real Estate” and from the search engine click on my blog that search engine regards my site as linked to this key word or phrase. And the more it gets clicked for this phrase that’s typed in the search engine “bots” think it’s more important and up the scale you go.
When you start to run out of things to write which will happen. There are a number of things you can do to get you thinking. Here are a few hints and tips: One of the things I do is I have “Google alerts” set for key phrases like Real Estate New Zealand, Real Estate Market, New Plymouth etc. What this does is every time something is posted on the internet with those keywords you get an alert to the email address you assign to them. A great way to keep in the loop with what’s going on. You can then create articles relating to the stories, put your spin on it. This also means your content is up to date and in the medias eye, so of public interest, which will generate traffic for you.
The other way which will quickly turn you into a perceived expert is use forums and site such as yahoo answers to find questions that people are asking in real time. When you find a question or a topic you know something about write up an article and put it on your blog. What you then do is go back to the place where the question was asked and post a link to your blog there. But also attempt to answer the question so your seen to be adding value so that the reader trusts your link. This will help the people asking the question. You will get targeted traffic from the link and the search engines will love you for it.
WOW! A lot to take in isn’t there. But this is the bread and butter stuff to creating a powerful blog that works for you. Now to get it really working for you there are some other things that you can do. Above I mentioned about linking to your website if you have one. Now that your blog is giving you great search engine response and you have regular visits every day you can start to use this traffic to the highly visible blog to the less visible website. What you can do is put links on each of your pages to go to your website. So when a visitor is on your blog reading through it and come to a word with a link and they click this they will be taken straight to your website. Now this has two great effects for your website. The first is that you will get traffic from your blog going to your website. Going from a content rich site that makes you look as an expert to your maybe promotional website about you. This is very powerful if done right. The second is the links to your website from your highly raked blog make it look to the search engine that your website is also important. Because your important blog is linking out it gives your website great exposure and credibility. How good is that!
There is a lot to take in here and to get the results you do first need to put the effort in. I think that if you do these you will be on the right track to having a great blog. To help your business you will become more exposed to the general public. Even if you get to 100 unique views per day you could have up to 700 people viewing your blog each and every week.
Blogging is still a relatively new concept in New Zealand so the participation is a little on the sad side in terms of numbers. But don’t be worried on this. People will be reading it. They will know it’s from you and if you keep doing it when they do have a question on the topic of some of your blog posts they will ask you. And this is when the rewards come. This means they respect your opinion and want your advice.
I wish you all the best with your blogging. If you do have any questions on this stuff please contact me.
Deon Swiggs
Property Profits
September 30 2008 | Uncategorized | 13 Comments »
This is a question I have been asked via email a few times over the past few weeks from buyers out of New Zealand looking to invest here. And even dealing with some people in my line of duty at the floor front I have come accross a number of people unsure of the process of buying property in New Zealand. So here I am trying to explain how it is done.
By New Zealand Law all Contracts for the sale of land and property must be Negotiated in Writing. Most Licensed Real Estate Companies will use the standard form which is prepared by the Real Estate Institute of New Zealand and the Auckland Law Society. This contract covers the legal issues necessary to protect both parties and enable a satisfactory Real Estate Transaction.
Contracts can be written up subject to various conditions that the purchaser or seller need to have to satisfy their own needs. An example of the most common ones are.
- Subject to Finance. This allows the buyer time to confirm or arrange their finance from the banks or any other lending company. Generally this codition isnt more than a week, but in any case has to have an end date for satifaction, upon this date been reached you can apply to have an extension through your Solicitor.
- Subject to the sale of another property. This condition also needs to have a time limit on it. Generally this is negotiated between the parties. This will give the person buying the property to have enough time to sell their own house in order to buy. This condition is usually followed by an escape clause. This allows the seller to continue marketing their property and being able to accept another offer that is better to the seller( this can be a lower price, it doesn’t matter). This is then called a cashing out contract. The original contract then has the agreed on working days to go unconditional. If they do not then their contract is void and the cashing out contract is executed and closed.
- Subject to a report of the building or land. This gives the purchaser to do any homework on the property once a price has been agreed to. This could include a builder, a plumber, an electritition or any other thing that the purchaser wants to do their homework on. But things you want to be investigated must be stated on the contract before it is accepted.
Once all conditions are met the contract becomes Unconditional and binding on both parties. This means the sale must settle as detailed in the contract. The payment of any deposit mentioned is payable upon this time. If you buy through a real estate agencey the deposit is usually held in a trust account for 10 working days.
You can bypass the conditions part and put what we call a cash unconditional contract in to the seller. This means that you are happy with the house and if the seller accepts your price you submit you will then have bought the property. being unconditional you will then pay the deposit and settle on the date in the contract. Unlike many parts of the world you do not need to get surveys etc on every property. In New Zealand a property cant be sold with out a title and its generally the duty of the seller to get everything in order.
The day of settlement is the day when the balance of the payment is made, this being the total purchase price minus the deposit which was payed at the unconditional date. The money is usually transfered via the solicitor. This is the day you pick up your keys to the property and take over the legal rights to the property. You can move in this day 
A solicior is a lawyer. When you deal with them in terms of a property sale they look after the legal aspects of the sale like transfer of money, transfer of title and things like that. Basicly when the contracts are agreed on, sent to the solicitor, and becomes unconditional the job of the real estate agent is all but complete. A good agen should keep in touch with both parties, bring them together, and make sure that a smooth transition ofsetlement takes place.
The fees associated with buying a property in New Zealand are very minimal. The only fees that you need to pay are the solicitos fees for buying, which can be anywhere betwen $500 – $1000. But could be more or less depending on the area your buying. Also if you want to have any inspections done or a LIM report done you will also need to pay for those. Costs on these are minimal though. So really for buying residential property in New Zealand what you put on the contract is what you pay. So in fact there is no charge to you for getting your friendly real estate agent to help you and negotiate on your behalf.
There is other things associated with buying property in New Zealand but the general layout is this and it answers all the questions I have had so far. Other ways of buying such as tender and auction are avaliable but the princible is the same. For more questions or to find out more call or email an agent. They will be able to assist you with your questions. Remember that to have the agent sell you a hiuse as a buyer its not costing you anything, and you get their knowledge and support the whole way through.
Deon Swiggs
Property Profits
August 19 2008 | Buyers | 1 Comment »
The number of homes listed for sale in most cities high. The result is prospective buyers know they can negotiate hard over price and terms. (Simple laws of supply and demand apply here)
This poses some tough times as a seller. But if you are prepared you will definitely be able to get good results as there are still many buyers out there and they are prepared to buy. Here are a number of things that you can do to make your home more attractive in this market to the buyers.
STEP #1: If you seriously need to sell your property, and are not just “testing” to see what price you might get, the first step is to get your home into top notch, near-model-home condition. Most buyers don’t want to buy a fixer-upper in this market; they prefer to turn the key in the door and move in.
Cleaning, repairing and painting are the most profitable actions to take. Install new light fixtures and new carpets or flooring if needed. But don’t waste money on major renovation, which you won’t get to enjoy and buyer prospects might not like.
If you have lots of unneeded “junk” you don’t want to move, September and October are ideal times to hold weekend garage sales. Better yet, call it an “estate sale.”
STEP #2: Today’s home-sale market is not a good time to be a do-it-yourself “for sale by owner” home seller. The reason is there is so much competition from serious home sellers whose listings are professionally marketed through the local agencies. Agencies are able to access more websites to put your house on where many of today’s home buyers begin their searches.
Be sure to choose a good agent that you can trust and you can openly communicate with that can also criticise and applauded your home. A good agent will be able to tell you how to stage your house to get the buyers interested. Also make sure that that agent you choose has a strong company backing. Buyers in this market tend to buy and work with stronger agencies so that they can feel more safe and comfortable in the buying process.
STEP #3: After selecting an agent make sure you consult with your agent so that he or she knows exactly what a buyer is getting with your home. In this market you are looking for the cash buyers that feel safe to just buy your property. So if need be get a building inspection and a LIM report and having it accessible to the buyers who ask for it.
After getting the LIM and Builders report make sure that if there is anything wrong with the property make sure you get it rectified. It may cost you a little bit of money to get these reports and to fix any problems but in the long term it makes you look serious about selling and makes you look legitimate and could make a buyer feel more comfortable about buying your home at the price you ask.
STEP #4 After getting your home ready to sell, hiring the best listing agent and having all professional inspections completed so you can disclose all information it’s time to set a realistic asking price.
With the help of your listing agent, study those CMAs (Comparative Market Analysis) prepared by all the agents you interviewed. Consider whether the local market for homes in your price range is rising or falling. In most markets, prices have levelled off from what was attainable a year or two ago. If you really want your home to get sold quickly, don’t get greedy.
Asking a few thousand dollars less than your closest competitor homes can mean your home sells while the others don’t. Holding your home an extra month or two often costs far more than setting a realistic asking price.
Here’s another asking price secret: set your asking price $1,000 below threshold amounts. For example, if your home is worth around $300,000, set the asking price at $299,000 rather than $300,000 or higher. The reason is buyers who tell their agents they will pay up to $300,000 will then see your home on internet searches. But if you set the asking price at $300,000 or above, those buyers might not learn about your home.
STEP #5: Many home sellers are insulted if they receive a written purchase offer substantially below their asking price. Some sellers and their listing agents won’t even make counteroffers.
That is a major negotiation mistake. Always make a counteroffer to keep communications open with that prospective buyer. Negotiations often take several weeks, back and forth, before determining either a sale will result or the parties are too far apart in price or terms. But unless the seller counteroffers every purchase offer, even a “low ball” offer, you will never know if a sale can result.
After both buyer and seller sign a firm purchase contract, the sale isn’t over. This can be the most difficult time period. You and your listing agent must keep on top of deadlines, especially to be certain the buyer follows through on obtaining the finance and other essentials.
Sellers should be aware the buyer might be encountering the dread “buyer’s remorse” disease. For this reason, it is essential for sellers and their listing agents to keep in touch with buyers and their buyer’s agent to be certain the sale closes on schedule successfully.
All the Best
Deon Swiggs
Property Profits
August 16 2008 | Sellers | No Comments »
This guide should help both sellers and buyers to make the selling of your house to make the whole thing a lot more transparent. A good builder friend from New Zealand Home Inspections and me have put this together so that you may use it to your advantage. The information is probably the same as what you already know but it is good to have a check list. To use this properly I recommend to PRINT THIS OUT and take it with you when you go to inspect the home you are interested in.
For sellers this is what buyers will look out for:
For buyers this is what you need to look out for.
There are many things you need to look out for but these are the main and obvious ones you can look at without needing a builder.
Doors
- Does each door panel open and shut without obstruction of the door frame?
- Is the door panel a true rectangle shape or has it been planed to fit the frame?
Tip: Check for uneven gaps at the top and bottom of the door panel, if it is uneven maybe the piles have sunk.
Windows
- Attempt to open and close each window.
- Look for condensation and damp damage.
- Are there any cracked panels of glass?
Tip: Often timber frames are patched and painted with fiberglass filler, look for irregularities in the paint surface. Fiberglass filler and putties are only a short term repair they usually hide much worse damage.
Wall & Ceiling Surfaces
- From the door way openings look at the line of the wall is there any buckling.
- Solid brick walls may have damp issues, are there any mould stains or irregular areas of fresh paint.
- Check the level of the ceilings is even and consistent or is there a lot of patch repair and damp stains.
- If it is a solid brick wall check for damp and mould markings along the floor level.
Tip: Shine a torch from an angel at the wall and ceiling surfaces, this can highlight patch repairs and thin paint cover.
Tip: Sagging in the ceiling can indicate a past roof leak and should signal close attention to the condition of the roof and its performance.
Kitchen
- Look for damp stains at the junction of the splash back and kitchen sink.
- Check under the kitchen sink common leaks occur in the waste pipes.
- Take a hold of the plumbing from under the sink/bench top and give a firm but gentle shake to ensure the fittings are secure.
Tip: Many cook top exhaust systems are installed without an external vent. Open the cupboards above the exhaust system and look for signs of excess cooking fat. Is the cupboard shallow or has there been no feasible space for a flue to be provided. Check the roof line above the kitchen to see if an external flue exists above the location of the kitchen.
Bathroom(s)
- Turn taps on and off.
- How long for hot water to start running?
- Check under sink for leaks.
- Check for any grout or sealant missing from the edge of shower bases, bath tubs and tiles.
- Check for installation of an exhaust fan.
- Check that shower screens open and close without damage.
Tip: Often tap handle leaks occur from behind the tiled surface. If there is good sub floor access and some one is with you ask them to turn the taps on and off as you look from under the house for any drips.
Laundry
- Usually the simplest of service areas to inspect check that the trough is secured in place, check for rust and ensure that there is a seal between the trough and the wall.
- The wall behind the trough should be tiled.
- For apartments pay particular attention to the location of an overflow drain pipe in the floor surface.
Tip: Make sure you open the door of the trough cupboard; some troughs are painted up for sale but the internal casing may be significantly affected by rust.
Toilet(s)
- Flush Toilet while viewing the area behind the seat look for leaks at the cistern and waste pipes. Aged rubber seals should be replaced.
- Check for excessive use of silicon sealant this is a sign of leakage and poor quality repair.
- Listen for water that is still running after the cistern has been filled � It should come to a stop � not continue forever.
Tip: Gently nudge your knee against the toilet pan, if it moves the mounting screws are loose and you will be prone to leakage from waste and cistern pipe seals. Secure and service seals.
Tip: The flush valve within a cistern requires servicing to ensure no water wastage occurs.
Roof Frame
- Seek to determine the type of timber used. If possible access the roof space.
- Hardwood timber indicates that you may endure the sound of roof creaks and also cracks in ceiling plaster during the change of seasons.
- A Pine Timber is used in prefabricated trusses and is usually much more stable.
- View the roof from the street, does it appear uniform or are there wave like patterns in the surface.
Tip: Pay close attention to areas around roof skylights and air conditioning services, poor quality trade services have been known to saw through critical roof timbers during installation.
Roof Cover & Drainage
- Check that Iron roofs are free of rust, pay close attention to the roof colour as it is not uncommon to find that owners have painted over rust damage.
- Look for faded colour on concrete tiles to indicate the need for new sealant.
- Look for cracked mortar pointing along the ridge, hip and valley tiles.
- Check of rust marks along valley iron, gutters and down pipes.
- Is there any rust or water marks on the timber and eave lining beneath the roof line, this indicates leakage?
- Check that down pipes are connected to a storm water pipe at ground level and not just left to discharge rain water at the base of the house.
Tip: Tiled roofs deteriorate with age also and concrete tiles in particular require new sealant after about 25 years, they otherwise can become porous and deteriorate at a rapid rate. The sealant then needs to be applied again every 7- 10 years to ensure the material quality of the tile is preserved.
Tip: Terra cotta roof tiles that are older than 50 years of age have a very unpredictable performance quality and professional servicing becomes very costly, the tiles become very brittle and can not be walked on.
External Wall Surface
- Check the lines in the timber weather boards; they may have sagging or bowed lines if the structure has moved.
- Check for damp rot adjacent to window openings, plumbing and at ground level.
- Cracks in brick work that are of a significant concern would normally be obvious as large cracks. Pay particular attention around door and window openings, this is where the first signs of movement usually occurs.
- Scrape the mortar joins within a brick wall with a screwdriver, if it is removed freely and has a dusty quality. The joints may need to be raked and pointed with new mortar.
Tip: Damp rot usually starts at the join in timber weatherboard, timber at the corners of a house are at highest risk of having damp rot damage.
Tip: Pay close attention to walls adjacent to large trees for concern of the root structure causing damage.
Sub Floor Area
- Check the material quality of the stumps; probe the base of the stumps with a large screwdriver.
- Check the soil surface under the house for any water courses.
- If it is on a concrete slab check that garden bed levels are kept below the line of the internal floor level.
There should be a fall in the surface of the ground adjacent to the building perimeter that directs surface water away from the house.
The next two things you will most likely want a professionals opinion on.
Plumbing Service
- Check the outgoing pipe at the water meter to determine the material used for the main supply line.
- Check waste pipes for cracks and broken seals.
Tip: Galvanised pipes are a cause of poor quality water and poor pressure; they should be updated for Copper or PVC. If the pipes are dirty scratch through the surface, a silver colour indicates galvanized pipe and copper colour, copper pipe.
Tip: It is only a licensed plumber whom can provide a truly professional accurate indication of the plumbing service. They will use specialized testing equipment and pressure tests and pin point exact location of leaks or failure in the waste plumbing. A typical pre-purchase building inspection will only provide a general overview.
Electrical Service
- Open the fuse box and observe whether it contains a fuse wire system or a modern circuit breaker system.
- Check for the physical presence of an Earth Leakage Safety Switch.
- If there is an opportunity to view the roof space or under house area look for the use of wiring cable that is of a white colour, this is usually the modern standard.
- Black coloured cable and the use of timber cable trays cause certain concern for the need of a wiring update.
Tip: Only a licensed electrician can provide an accurate test and assessment of a home wiring service and safety. A building inspector’s comments will only relate to a visual observation as to whether there have been wiring and or fuse box updates.
Tip: Make installation and testing of a Safety Switch a number one priority upon purchasing a new home.
Deon Swiggs
Property Profits
August 08 2008 | Buyers and Sellers | 2 Comments »
When you are looking to put your house on the market there is one of two ways of going. You can do it by yourself privately or you could sell it through an agent. Both have their ups and down as life always does. But this article I am writing for the benefit of those of you who would like to put your home on the market privately and sell it yourself, often called For Sale By Owner or FSBO. There are a number of things that you need to take into consideration when selling your home by yourself and I will go through a few of them in here. But just remember that you will be doing this by yourself. But if you’re smart you can always get the advice from a Real Estate Agent without committing yourself to anything.
You may be wondering how do I come up with the price.
The answer is simply…
Research, research and more research. If you price your home too high it won’t sell, too low and you lose out. Real Estate agents have a keen eye for the local market, so their advice is crucial in setting a realistic price. Get a few price quotes, and then compare prices in your street and be brutally honest about the condition of your property. Don’t be tempted to increase the price just because you like your house – you’re making your job of selling harder.
You may also ask where do I advertise. In short you need to advertise everywhere you can. After all, you are entering the market cold, whereas the agent has a file full of people interested in buying.
Newspapers
Advertise your property in a good-quality local newspaper. If you place an advertisement in a national daily or a Sunday newspaper that has a good property section, make it stand out from the crowd – the majority of classified ads will be from agents and make boring reading. Use a photo if possible. Try and get into all the property magazines your budget can allow. Remember advertising in the papers is not a cheap exercise and you will not be getting any subsidy from the Agency so make sure your paper advertising is effective.
The Internet
Property websites are fast becoming popular and offer you a wider audience than the traditional methods. The best websites to go on are the ones getting all the traffic. So go for the main stream ones and bigger ones. These include www.trademe.co.nz and so on. If you can afford it take a feature package. These are effective so you need to make the most of it. Try and put as many good photo’s of your house on the page as possible and have a great descriptive about your property. HERE IS A TIP… When writing your advert go outside then walk in and around your house. Remember why you bought the home and what you have liked about it living there. Then you have the body for your ad. Use the emotion you feel. The more emotionally attached you can get your buyer the better.
A “For Sale” board
Most buyers are local, and you don’t want to miss out on important passing interest. The best advice I can give for this is invest $60 dollars or something and get it professionally made with a photo or two. Keep the message simple – put down the viewing message whether its view by appointment or open home and your mobile telephone number should be enough. There are size restrictions for boards and restrictions to where you can put them up. But another TIP – Look at what the agents are doing around you. Copy and replicate what they are doing. They should know the rules. But if you’re still unsure go to your local council and find out.
Leaflets
Targeting your local area is another way to drum up interest in your house. If your PC skills are not up to much, get some help from a small printing company. All you need to do then is to provide the text and photos and you’re away. Get a whole heap of these made up and then deliver them to the area you live in one night. Might give you a good opportunity to get out of the house for an hour.
What do I say about my house?
Be honest and informative in your description. Measure the size of rooms accurately and avoid the making your home sound better than it is but do not make it so people won’t come through the door. It is an offence for estate agents to mislead in describing a property, so you should follow the same rules. Say if your home is leasehold or freehold and the length of the lease. Think about what attracted you to the property when you bought it. And use that emotion as I said before to encapsulate your audience into having to go see your home.
What happens next?
Be professional and prepared. A mobile number on your advertising gives you a little more security. When you get calls, have your questions ready. Do they know the area? What exactly are they looking for? Do they have a property to sell? How quickly can they move? How long have they been looking? Do they have finance in place? What time do they want to view? What are they buying it for? This gives you vital information about any potential buyer and how serious they are, before they come round.
How do I arrange viewings?
Have someone with you when giving viewings. You then have a valuable second opinion on the potential purchaser. Have any relevant paperwork to hand: Rates bills, service charges, any planning permission statements, certificates for major works such as damp proofing. This proves to the purchaser that you are serious about selling. Take a telephone number and do a follow-up call with the viewer. Feedback is important and gives valuable clues to the strengths and weaknesses of your property. Remember these people do have a serious interest in your property so any feedback that they give you is vital t your campaign. If they give you feedback that your price is to high take note and adjust it if need be. These people are the market and the market is the only one that will buy your home from you and with the market in a downturn period you have got to be on your game more than ever with your price.
The step above can take a long time or a short time frame. Depending on where you are in your campaign if you get an offer you need to look at it seriously. But when you do get that offer there could potentially still a long way to go. Your previous research should have given you the information on the local property market to know what a true price for your house is. Be realistic, but don’t be cowed. Remember that many offers that go through real estate agents change several times. I have a post on another page that details how to negotiate with a buyer. Here is another TIP. Always negotiate your offer on paper. Never verbally agree to anything as the buyer can walk away and leave you in the dust, and for the buyer being on paper means that they are more emotionally attached to the whole process as it’s actually right in front of them.
Once you agree on the price and the paper work is up to date you can take this to your solicitor and your job is basically done. If there are conditions in the contract you need to make sure that you work with your buyer to get these unconditional. Once the contract is unconditional you have sold and you can now crack open the bubbly and celebrate.
Deon Swiggs
Property Profits
July 21 2008 | Sellers | 1 Comment »
BUYING AT AUCTION:
Auctions can be a daunting time to buy a property as some Auctions you may not have any idea where it might sell or what it is worth. Here in New Plymouth we have adopted a policy of publishing the Auction Reserve in order for the whole process is transparent. We do about 60% of our Auctions this way. But in any case Auctions still are done in a set time frame and you need to have things sorted out so that you don’t miss out on your dream property at Auction. Here are a few things that will help you in your purchase at Auction.
BEFOREHAND:
Do your Research
When you are looking in an area, whether buying ‘for sale’ or through an Auction, research the prices in that area for the type of property that you want. Find out about the good and bad features of the area, and comparative prices to other areas. Look at similar properties to the type that you are seeking.
Attend Local Auctions
It is valuable experience to attend as many local Auctions as you can to see how the Auction proceeds. Observe how people bid, and who is at the Auction. Work out people’s style of bidding. The same people may be bidding against you for your property in the near future.
Arrange your Finances
Ensure that you have your Finance in place prior to the Auction. Establish you bidding limit. Make sure you allow for all extra costs that may be involved and leave a buffer for bidding
WHEN YOU HAVE DECIDED ON THE PROPERTY:
Register your Intent with the Agent
Advise the Real Estate Agent if you are interested in a property. They will be able to give you more information on the property and guide you through some other things.
Establish your Bidding Limit
It is important that you set your own bidding limit. Decide what the property is worth to you based on what you can afford. Talk to your local mortage broker or bank for this as they can give you advice on repayments at any given cost.
Check the Paperwork
If you are seriously interested in a property and intend to bid you should have your Solicitor inspect the Contract of Sale. It is a good idea to have a good read through all the paperwork related to the Auction beforehand. Wherever possible, contact the Agent handling the sale and ask them to provide you with a copy of the documentation. This is normally possible in the week prior to Auction. Read through all of the documents and always ask if you are unsure of anything. It is important to clarify details such as settlement terms, deposit and fixtures before the auction commences.
Inspections
Get building and LIM inspections done before the Auction. It is not possible to make an Auction purchase conditional on inspection results. Make sure that any reports or inspections have been carried out to your satisfaction before you attend the Auction.
Ask for Help
Many people find the Auction process daunting. Don’t be afraid to ask a friend, relative or Real Estate Agent, to assist you with your bidding. Many people ask someone else to bid on their behalf as they may be less inclined to bid emotionally and will not exceed a predetermined limit. Make certain that they have very clear instructions in writing on what they can and can’t do on your behalf.
ON AUCTION DAY:
Check the Contract of Sale again
On the Auction Day you should always check that your copy of the Contract of Sale is exactly the same as the original Auction Contract and that there have been no late changes.
Bidding
Remember how an Auction looks from the Auctioneer’s perspective. They are often looking at a large number of people who are invariably turning around, whispering etc. If you are standing at the back of this scene, or hidden in the shade of a tree, the Auctioneer may well miss your bid, particularly when you are bidding for the first time. Stand in clear sight of the Auctioneer and make your first bid obvious to them.
Make sure the Auctioneer understands what you are doing. Bid early, clearly and confidently, and avoid unusual sign language that may be misunderstood. Buyers are usually reluctant to start bidding at Auction but the best policy is to bid loudly and confidently signalling to all other bidders you intend to purchase the property or should the reserve price not be reached that you are given an opportunity in any further negotiations.
Keep Control of your Bidding
If the bidding is increasing in larger denominations than you are comfortable with, consider offering a lower denomination as your bid. The Auctioneer does have the right to refuse it, but there is absolutely no harm in trying.
It is important not to be drawn into a bidding war on a property you want. Emotion can lead to you paying more than you can afford and there is no cooling off period with an Auction.
Making a Deposit
When the property is sold at the Auction you are required to sign the Contract of Sale and pay a deposit of usually 10% on the spot. This can be paid by Personal or Bank Cheque.
Once you have done this it is time to celebrate your new home with a glass of wine at your local Real Estate office…
Deon Swiggs
Property Profits
July 06 2008 | Buyers | 2 Comments »
Buying a home is a big step in your life and should be a very exciting time. Unfortunately, many individuals rush into buying a home with out considering the implications is has on their future. If you’re considering making the move to own it’s important you weigh all the options, and consider what if anything will affect the feasibility of you’re purchase. If this is you’re first time in the housing market consider the following before you make your big move.
- Get Your Finances in OrderHave a lot of debt racked up? If thats the case, you may want to play catch up before you even think about buying a home. Bad credit is bad news for those who want a buy a new home. In most cases you will need to get a mortgage before you buy and this means your credit will be under scrutiny. Start getting acquainted with your credit score and begin fix the problems well before you apply for a mortgage.
- Think about the FutureIf you have a job or other obligation that may require you to move or travel for extended periods of time you want to think twice about rushing into the housing market. Buying a house is a commitment that will tie you down to a particular location for at least a few years. It’s not easy or economically feasible to pack up and sell your home at the drop of a hat.
- Educate Your SelfAs a first time home buyer one of the worst thing you can do is go into the market unprepared. Familiarizing your self with words and phrases that are used will allow you to better comprehend the market. A better understanding of the home buying process will enable you to make a well educated decision when it comes to you’re final purchase. Entering the market blindly can turn you’re home buying dreams into a nightmare.
- Be Rational We all want to live in the home of our dreams. Unfortunately, like most things in life, the housing market must be approached from the bottom up? Renting is the start of the home owners journey. With your dream home serving as the final destination you will most likely need to take a few stops on the way there. The logical step is to buy a house you can afford not one that lands you in economic turmoil. Consider your first home an investment that you can improve upon over time. Once the home is improved you can sell it and bring yourself one step closer to your dream home. Buying out of your league can be a huge problem so set a budget and find a home within your means.
- Ask For HelpDon’t be determined to have a go at it alone. Buying a home is a complicated process and sometimes it really helps to have someone walk you through it step by step. Agents are more than willing to help you look through home listing, find what your looking for, and ultimately take you from start to finish.
April 22 2008 | Buyers | No Comments »
Selling your first home can be a nerve-wracking experience. When buying your first home, it’s normal to be a bit scared – but also excited & with plenty of plans for the future. However, when it’s time to finally sell your largest investment, many sellers are filled with questions and doubt. Will my home sell? How should I price it? What do I need to do to make sure it’s in showing condition? When it’s time to sell your largest investment, you need sound guidance & advice. Follow these tips to your first successful sale.
1) What Was Once Your “Home” is Now Your “Property”
It’s normal to be emotional about your home. You’ve celebrated holidays, entertained friends & family, & hopefully have great memories in your home. However, as soon as you’ve made the decision to sell your home, it now becomes a financial asset. It’s no longer your “home,” it’s now your “property.” As hard as it is, try and remove any emotion from the sale of your property.
2) Location, Condition, & Price
How quickly & successfully you can sell your property boils down to location, condition, & price. There’s not much you can do about location. However, you have the perfect opportunity to make sure your home is in great showing condition, and you have full control over the asking price of your property. Make the right decisions over what you can control – condition & price – and you should be able to successfully sell your property in a reasonable time.
3) Forget How Much You Paid For Your Property
What you paid for your property has little to no effect over its present value. The most important factors to your property’s present value are the comparable homes that have sold within the last 6 months. This can be a little hard for some sellers to swallow, because it’s something you have no control over. However, understanding this fact is key to successfully selling your home in a reasonable amount of time.
4) It Doesn’t Matter How Much You Spent on Improvements
Improvements to your home do play a big part in your home’s value, but the amount you spent on those improvements doesn’t mean much. If you spent $1000 on materials for wood floors, and installed them yourself, that doesn’t mean that your home is worth only $1000 more. Conversely, if you significantly overpaid for improvements to your home, it doesn’t mean that your home is worth that amount more. Again, market value plays the biggest factor. If homes with wood floors typically sell for $5000 more in your neighborhood, your home is worth $5000 more than comparable homes without wood floors.
5) Consult a Realtor ASAP – And Focus on Service
Once you’ve made the decision to sell your property, contact a reputable Realtor as soon as possible. Interview Realtors until you find the agent who is right for you – it might take one listing presentation, and it might take many more! While it is important to take note of the marketing fees each agent will charge, focus your attention on the services an agent will provide. Selling your home can be stressful, and you want to make sure that the agent guiding you through the process will provide you exceptional service & communication throughout the transaction.
6) You Get One Chance to Make a First Impression
Property condition can help you immensely when selling your home – and it can also be as big a detriment. Make sure & improve your property as much as possible – within reason. Touch up any necessary paint, de-clutter your home, plant fresh flowers, & make sure your home has a pleasant aroma. Your Realtor should help you with sound advice to get your home in top showing condition.
7) Relax
If you’ve priced your home correctly, made sure it’s in good showing condition, & hired the right agent, you should sell your home in a reasonable amount of time. However, you’re still at the mercy of the market. Relax, maintain your home’s showing condition, & adjust the price if market conditions & feedback call for it. Pay attention to average days on market, but don’t become too distraught if it takes a little longer to sell your property. You’ve done all you can to successfully sell your property, and it surely will!
April 22 2008 | Sellers | No Comments »
Whether we will admit it or not, we all think we are pretty clever. This can manifest in many ways. In real estate, it often happens when a seller blows their counter offer to a buyer.
A real estate transaction comes around in a time tested manner. The seller woos buyers until one is enticed enough to make an offer on the property for sale. The seller will rarely agree to this offer. Instead, the seller will make a counter offer that the buyer must then decide to act upon. This process can go back and forth a number of times depending on the particular issues being negotiated.
Although the offer procedure can bounce back and forth like a ball in a tennis match, the first return of serve by the seller is key, to wit, the first counter offer. More than a few sellers will make an awful mess of it and kill the deal. This often occurs because they are offended by the initial offer from the buyer. Instead of correctly viewing the situation as a business transaction, they view the offer as an insult to the hard work they’ve put into their home, their style and so on.
When this occurs, the seller gets that gleam of cleverness in the eye when preparing their counter offer. The goal is no longer to get a deal done. Now it is to zap the buyer back with an indirect insult. A classic approach that is not really particularly clever is to counter on price, but only drop the price by one to two thousand dollars. It is essentially a way to give the buyer the metaphysical middle finger if you will.
Alas, the emotional satisfaction of taking this approach with the counter offer soon passes. Reality sets in. The seller is expecting the buyer to “get serious” and make a “real offer.” Instead, the buyer does nothing. Why? The buyer has moved on to other properties! Yes, the seller has just chased off the only real prospect he’s had in a month or two in this ice cold real estate market. Clever indeed!
If you are going to be selling your home in this market, you need to accept some basic facts. It is a buyers market. This means you are going to get low ball offers. Everyone knows the market is slow. Divorce yourself from your emotions when dealing with this situation. Objectively evaluate the offer made and make a reasonable counter offer if necessary. The buyer has the leverage in this market, so figure out your bottom line and negotiate anything you can above it.
April 22 2008 | Sellers | No Comments »
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As you are probably aware by now I am very interesting in Social Networking and online marketing. This interest is leading me to some awesome contacts around the globe and opening my eyes to many different stratergies when it comes to marketing online and also in the offline world. If you look at my post about where 2009 is taking us and also if you look at my post about marketing real estate in 2009 you will see my opinion on the topic.
