Don’t get caught on the hop when you find your new home or investment!
Looking for a new home or property is a bit like an Easter Egg Hunt – you know there is one out there just for you, but you have to search for it before someone else gets it first.
If you find the “egg” you want be prepared to pay for it as in this market you may miss out. Well priced properties are selling well and attracting plenty of competition. How do we know … recent experience!
We have been helping out clients by looking for “eggs” for them and have been amazed at the variation in price in some areas. It goes to show that pricing a property is not an exact science, despite what some members of the industry say.
Each property has a price range and it is up to the agent to direct the buyer into that range or above if possible.
At times a buyer will come along and just “fall in love” and be determined to make it their home and in many cases playing a premium price – these are “heart” buyers.
Then there are the “head” buyers who analyse the market (unfortunately sometimes with out-of-date data), and come in way below the asking price range.
To ensure the offer and acceptance process is transparent our policy is to get each offer formally so that both the potential buyer and the seller are secure in the knowledge that the situation is genuine. It takes extra time and definitely a lot more paperwork but it does provide security to both.
We had a property last year that was advertised, after much research, at what was considered to be a good price, higher in fact than the RPData Auto Valuation. We received eight offers, putting each one on contract under the Multiple Offer situation, and then presenting them to the vendor. The offers varied by $150,000!!! With three way below the asking price, three around the asking price and two way above.
In summary, the market can be unpredictable, so if you find your “egg” and you want it, then go for it!