The Ins and Outs of Understanding the Term ‘Off-Market’
If you’re currently on the hunt for your forever home, an investment property or a DIY house project, you’ve probably heard the term ‘off-market’ thrown around whilst on your property pursuit. When hearing this term, you either know exactly what it means or when used in conversation, you politely nod your head and pretended to understand what this ‘property talk’ is all about.
Whether you’re a first home buyer or a savvy investor, you’ll come across this phrase a lot throughout your property endeavours. Wrapping your head around what off-market properties are, why people sell off-market and why people buy off-market is an excellent step to ensuring you find the right property for you.
What is Selling Off-Market?
According to realestate.com.au, an off-market sale is a term used to define a property that is selling or has already been sold without any public advertising. This term is often associated with a property that needs an immediate sale, where the sale is often more important than the sold price, but this isn’t always the case.
Why do people sell off-market?
To clarify some reasons as to why selected vendors sell off-market, we asked the Director of Universal Buyers Agents, Darren Piper for his expert understanding on the matter.
“People sell off-market for a number of reasons,” he said.
“These can range from vendors not wanting to pay for advertising or marketing money to promote the property, to some vendors being extremely private people that don’t want the world to know that they are selling or have 50 people come through their home,” he said.
“Other times, it’s as simple as some vendors wanting a quick sale to ensure they don’t have to deal with the emotional stress of putting their house on the market.”
Why do buyers like buying off-market?
Darren Piper further explained that selling off-market does not only benefit the vendor, but many buyers are starting to seek off-market properties to avoid competition and negotiation.
“When buying off-market, there is very little competition given that the property isn’t being promoted online through platforms such as social media, realestate.com.au or Domain,” he said.
“Given that there is usually a lot less people looking at an off-market property, it is likely that you can purchase better due to the lack of competition,” he said.
“Another excellent benefit of buying off-market is that the buyer can take their time with negotiating, which ultimately allows the buyer to come to their decision happily and without pressure.”
How do I find off-market properties?
Finding off-market properties can take a little bit longer than your standard property search, but it’s worth it if you want to avoid competition and tedious negotiation. An excellent way to find the perfect off-market property for you is to get in contact with Universal Buyers Agents. Universal have access to a range of incredible off-market properties and will happily take the stress out of the buying process.
So now that you have you head around all things off-market, contact Universal Buyers Agents today to find the right off-market property for you.
Brisbane home values showing great strength as the market improves
BRISBANE home values are on course to record their strongest monthly rise in five years, as the market continues to improve.
Preliminary data released exclusively to The Courier-Mail by property analyst CoreLogic for the first 28 days of October reveal house values in Queensland have increased 0.8 per cent.
This data indicates the best monthly result since 2014 and the fourth straight month of gains.
This data follows September’s 0.1 per cent increase, a 0.2 per cent rise in August and a 0.2 per cent rise in July.
CoreLogic’s research director Tim Lawless said that the recovery of Brisbane home values has been driven by strong population growth, housing affordability and a substantial slowdown in construction activity across the city.
Mr Lawless said the improved housing market conditions were becoming more geographically diverse, although Sydney and Melbourne continued to lead the growth trend.
Sydney home values are on track to post 1.5 per cent growth for October, while Melbourne is shaping up to record a rise in values of 2.1 per cent.
“Low interest rates and better access to credit are having a positive effect on growth conditions,” Mr Lawless said.
Adelaide is expected to see a subtle rise, while Perth values have continued to trend lower over the month to date.
AMP Capital chief economist Shane Oliver said the boost from the federal election result, RBA rate cuts and the relaxation of the seven per cent mortgage rate serviceability test were driving a bounce in home buyer demand.
The Reserve Bank of Australia is expected to cut interest rates again before the end of the year.
The final home value index results for October will be released on Friday, November 1.
Original article by Elizabeth Tilley published on realestate.com.au
As we head into the pointy end of the year, you might be starting to think about your goals and resolutions for the ‘roaring 20s’. If investing in property is a top priority for the new year, here are our five best, turnkey Brisbane suburbs that sure deliver a good return on investment (ROI).
According to the chief economist at realestate.com.au Nerida Conisbee, Brisbane had remained strong despite the property slump over the past two years.
“While prices in Sydney and Melbourne have tumbled over the past two years, pricing in Brisbane has been remarkably stable,” she says.
“This is despite a lot of concerns about apartment oversupply, which have turned out to be vastly overstated.”
Conisbee also notes that rental properties in Brisbane are receiving ongoing interest and are seeing some of the highest views per listing for rental properties in Australia.
The principal of Universal Buyers Agents, Darren Piper, sees this growing interest as the ‘prime time’ to invest in property and believes that these five suburbs will not only offer investors vibrant suburban living, but the attractive ROI’s is the key reason to put these areas on the map.
Located just 3km from the CBD, New Farm is one of Brisbane’s most exclusive inner-city suburbs and is known for its tree-lined streets, elaborate raised Queenslander homes and its gourmet cafés, restaurants and retail shops at every turn.
With its uninterrupted views of the city and waterfront access to the Brisbane River, New Farm is an entertainer’s dream. The average house price for New Farm currently sits at $1.55m, which has admirably increased by 70% over the past 10 years.
Offering leafy green, riverside living, Bulimba is an impressive suburb with a median house price of $1,315,000 which like New Farm, has increased by 70% in the past 10 years.
Bulimba provides a balance of city and village-like living with its chic cafés, award-winning restaurants and its distinctive fashion and homeware boutiques. Bulimba’s buzzing scene continues to be in high demand and successfully reaches 436 visits per listing per month on realestate.com.au.
Just 4km from Brisbane’s CBD and within walking distance of Suncorp Stadium, the fashionable suburb of Auchenflower holds an average house price of $1,275,000 and has seen a 70% growth in the last 10 years.
Auchenflower is renowned for its lavish Queenslanders poised on narrow streets and is home to some of Brisbane’s best restaurants, bars, and the charming McIlwraith Croquet Club.
According to realestate.com.au, houses in Auchenflower rent out at a median of $525 per week with an annual rental yield of 2.1% and units rent for $385 per week with a rental yield of 4.5%.
Approximately 8km from Brisbane’s CBD, the median Camp Hill house price is $900,000 and has seen a 60% growth over the last 10 years.
There’s something to suit everyone in Camp Hill as it offers a unique mix of design. From Queenslanders to cottages, and arts and craft homes through to post-war houses, the architecture in this suburb is sure to please.
Amongst its suburban streets, Camp Hill is home to numerous antique stores, local café and Whites Hill Reserve.
Think about all of the hassles that you have to deal with whenever you buy a property.
If you go the traditional route, you have to search out suitable properties. This involves research and speaking to a bunch of seller’s agents. But that’s not the end of it. Every other buyer does the same thing, which means you have to figure out how to beat them to the property.
Auctions are even more stressful. You still face a high level of competition. But now you face it directly. Bidding wars can escalate to the point where you end up paying much more than you intended for a property.
Competition isn’t the only issue either. Buying property via auction or in the traditional manner isn’t something you can do privately.
If only there were a way for you to acquire property without having to deal with all of these issues. Well, now you can!
Although the following properties are only shown to a select few Buyers, many of these homes are purchased within 2-4 weeks. Become a Universal Client for access to the below properties + more.
CURRENT BRISBANE OFF-MARKET PROPERTIES
Brand new Hamptons on 440 square metre block 5 Bedrooms 3 bathrooms 2 car accommodation with 3-metre ceilings
Fully renovated two-level home on 546 square metre block 5 Bedrooms 3 bathrooms 2 car accommodation
Brand new Hamptons on 534 square metre block 4 Bedrooms2 bathrooms 2 car accommodation
Like new modern contemp on 506m2 block 4 Bedrooms 2 bathrooms 2 car accommodation + pool
Queenslander style property on 642m2 3 Bed 1 bath 2 Car – LMR zoning
Queenslander style property on 640m2 3 Bed 2 Bath 1 Car
Architecturally designed house on approx. 450m2 4 Bed2 bath 2 Car
Modern contemporary style. Nothing to do but move in. 5 Bed 4 bath 4 Car
Contact our team today. Become a full-service client to get access to all of these properties + more. We have access to off-market property right across Brisbane, Gold Coast & Sunshine Coast. CALL 1300 117 561 NOW!
6 of the Best Techniques for Successful Auction Bidding
Buying your dream home in certain high-demand areas might only be possible via a bidding auction. Property owners in Australia often choose to sell by auction as the method offers multiple benefits, including the possibility that competition during the bidding drives the price up.
Auctions provide a way around the much lengthier buying procedure through a private treaty sale. Do the bidding right and you can even grab a bargain and secure your dream property at a price well below your limit.
Bidding at auctions, however, is a skill you want to spend some thought on before your first time. Auctions can be fast-paced and stressful. If you succumb to the pressures, you may end up paying much more than what the property’s worth.
Although the price will mainly depend on the property’s real market value, knowing how to take control at an auction and navigate the bidding process skillfully can affect the final price.
Having your bidding success in mind, we discuss several strategies to help you land a deal on the property you want.
Start the Bidding Prepared
Buying a property through the ‘offer and acceptance’ method allows you to do your research after the acceptance of your offer and before the signing of the property transaction contract. This is not the case for auction purchases. You need to gather all the information before you enter the auction.
Never run late for an auction. There’re many examples out there when buyers arrived late at an auction only to find out that not only is their preferred property already sold, but it had even gone at a price way below the one they’d been prepared to pay.
Arrive at the auction site early to register and position yourself smartly in the room or outdoor area. Make sure you scan the other bidders and determine their number. This is going to influence the decision about your opening bid later.
Set your Limit Beforehand
Most state regulations allow for a ‘cooling-off’ period for property purchases made via the ‘offer and acceptance’ method, but this usually doesn’t cover auction buys. The auctioneer formally declares a sale over “at the fall of the hammer” and the successful bidder is committed to it from that point on.
If no one has offered a better price and you were the one placing the last bid, you’ll need to pay a deposit on the spot, usually 10% of the sale price. You should, therefore, always bid within an amount that you can commit to.
Considering all this, it’s crucial to come to the auction knowing what your budget is. This helps you refrain from exceeding it and prevents you from getting caught up in a bidding war with another person that can leave you at a loss if you end up winning the bid.
A good trick is to set the maximum amount you can spend on a property somewhat above a round number amount. If you decided at first that $900,000 is your upper limit, think whether you can spare some more and set it at $904,000 for instance. This could help you win over bidders who have the same as your initial upper limit. You should decide on this beforehand though.
Also, bear in mind that auctions start at a guide price, but won’t sell below a reserve price – the least amount the seller will agree to sell for. The reserve price remains hidden from bidders but can be even 10% more than the guide price. Take this into account when setting your budget.
Stay in Control of the Bidding Pace
As a buyer, you have certain bidding strategies at your disposal to help you stay in control during the auction.
You have no reason to hurry. In fact, going slow initially can only work in the buyer’s favour. For instance, a slow-paced bidding process that proceeds in smaller increments can put pressure on the seller to doubt their original reserve price and adjust it downwards.
You should bid early on. Don’t wait until later to place your first bid and starting early can even give you the leeway to set the pace. If your first bid is 695,000 instead of 700,000, you may psychologically influence other bidders to continue in $5,000 increments, instead of $10,000, which is the average bidding increment at real estate auctions.
Your opening bid should also depend on the number of buyers. If there are more bidders you may want to start off with a large increment that’s above most bidders’ maximum price to filter out the competition early in the process.
Another way you can push for slowing down the pace is to give the auctioneers a hard time adding up the amounts before calling out for the next bid. Instead of bidding in round numbers, give your bids in odd numbers that will take some seconds more to add up.
Towards the end of the auction, it’s important to increase your increments to knock out the competition. As you’re approaching round numbers such as $900,000 from $890,000, increase your increment to $12,000 to get first to what’s likely to be the other’s limit.
Even if your personal limit is at $912,000, it’s good to be able to place a bid at your maximum pre-set amount since who places it first can often be decisive when the other gives up.
Beware of Auctioneer’s Tricks
Auctions are complex processes involving intricate legal details. Good auctioneers have superior skill and knowledge of the process so they can navigate it in favour of a better deal for the seller.
To ensure that buyers keep driving the price up, auctioneers apply various subtle techniques. Understanding these beforehand will help you resist the pressure at auction day and outsmart the rest in the room.
Auctioneers’ main goal is to generate a sense of urgency among the bidders. They want to make you feel anxious that you’re going to miss out on your preferred buy. Moving quickly and maintaining a fast pace is the basic rule for auctioneers. This allows bidders close to no time for deliberation on the price.
Another way is via speech intonation and body language. For instance, swiftly grabbing the hammer suggests bidders that the sale is about to close soon and this pushes them into more competitive bids.
Attend as many real estate auctions before your first one as a bidder to learn firsthand about how the process works.
Master Your Body Language
Most of the time, inexperienced bidders easily show when they’re approaching their limit. The keen eye of a skilled auctioneer won’t miss even the subtlest of body language tell-tale signs.
Be extra careful if you’re bidding together with another person in the room. When bidders bring their partners or parents at the auction, the tandem behaviour can usually reveal the bidders’ intentions much easier. One example is if you’re discussing the developments with each other during the auction. Sometimes even making eye contact can reveal an approaching limit.
If the other partner is absent, bidders sometimes make the mistake of calling to consult them. This all gives valuable information to the other bidders and the auctioneer that you want to withhold.
Most of this can be eliminated if you’ve done the thinking and talking before the auction starts. If you and your partner know your limit, it makes it easier not to get caught up in the emotions.
Additionally, be ready to walk away and give up. There’s always the chance that you stumble upon wealthy bidders that won’t care about buying at a fair market price.
Coming psychologically prepared this way will give you confidence and stability that will show via body language during the bidding and, ultimately, play in your favour.
Equally important, stay observant of other bidders’ body language signs. If you notice that your competition is reaching their limit, act quickly and increase your increments to knock them out. If they deliberate their bid longer than before, it’s usually a sure sign that it’s one of their last-hope bids. Place your next bid swiftly to discourage them and send them the message they should give up.
Hire Someone if you Can’t Handle it Yourself
You know yourself best. If you’re a first-time bidder and feel like you can’t handle the auction on your own, or can’t handle it altogether, consider investing in a buyers agent.
You can hire an experienced buyers agent to accompany you at the auction or even to bid in your absence. Having an expert bid on your behalf increases your chances of success since they would know how auctions work and won’t invest any emotions in the whole business.
If you would like to know more about our Action Bidding Service, Call us today on 1300 117 561
All you need to know about Off-Market Property
Have you ever wondered what off-market property entails? If not, then you may be missing out on valuable information regarding off-market opportunities.
First things first, off-market properties provide a good platform for property buyers and sellers to acquire or dispose of their properties without involving public advertising or the usual marketing strategies used in promoting sales.
Unlike the traditional ways of buying property, off-market property has a completely different approach. Sadly a good percentage of buyers and sellers are not even aware of this option. Instead, they choose the traditional ways without realizing that the ideal property may not be out there on the market. As a newcomer in the game, you could be asking yourself how to access off market property. Here is all you need to know about this option.
What does Off Market Stand for?
In simpler terms, you can say that off market properties are those that are ready for sale but not listed. In other words, you will not find any information, whether online or advertised, to show you where the property in question is located. In this case, the sellers ensure that the sales of such properties are not disclosed to the public, and that is why they don’t advertise them.
To some people, off-market property listings may seem like a bad idea especially for sellers. This is due to the fact that property listings are likely to generate competition in a bid to push the market value for properties.
Meanwhile, different sellers have different reasons that compel them to choose those options that work in their favor. While others may opt for off-market properties, others may decide otherwise as a way of remaining anonymous across the transactions. This is important especially when the transactions are involving high-profile properties, thus the need for privacy.
As a matter of fact, quite a number of homeowners are not always aware of their urge to sell their properties until potential buyers show up with an offer. This shows that buying off-market property is not as simple as some people would like you to think. And that is the main reason finding such properties poses a challenge to many home buyers.
Off-Market Property Approach
Supposing you are living in a street, suburb or building where a high-priced sale had taken place recently or there are chances of higher interests from home buyers, real estate agents are likely to approach you directly with the aim of offering you another option. This option is actually the off-market property sale.
In such a case, a property agent may have potential buyers in their list who may not have been successful in getting some property to buy on the previous sale. Therefore, the buyers’ desperation motivates the agents to find the ideal property in the same area on their behalf. As such, you can take advantage of the buyers’ interest and proceed to seal the deal without necessarily advertising or listing your properties for sale.
How Does Off-Market Property Sales Work?
Anyone looking to sell their property off the market, it is prudent that they look for the well-experienced real estate agent to take up the task. This should be good news to you because the whole transaction process will be carried out by the agent of your choice.
The process will include paperwork for the off-market property sale, which is actually the same as the rest of other processes involved in the sale of the property. This means you will have to sign an agreement between you and your new real estate agent.
The agreement bears details about the property you want to sell, the duration of your agreement, the estimated selling price of the agent, your proposed selling price, advertised price, mode of sale, the nature of the agreement (whether exclusive or non-exclusive), the duration of the settlement, and agent’s fees including commission. But before you sign the agreement, it is wise to consult with a solicitor for further guidance.
Immediately after signing the agreement, the agent will arrange for the viewing of your property by the potential buyers. Even though it is not a form of a house inspection, it is upon you to ensure that the buyers are impressed with the state of your property. Just do some tidying up or clearing the clutter and everything else will fall in place for you. Keep in mind that all the transactions should be done in writing just in case of any dispute in the future.
What are the Advantages and Disadvantages of Off-Market Property Sale?
Selling off-market is increasingly becoming a new trend, particularly for high-end properties where homeowners value their privacy in the course of the transaction. And just like any other process, off-market real estate comes with its highs and lows as highlighted below:
Advantages of buying off-market properties
There is less competition when buying property off-market.
Off-market property listings are safe from speculation. Meaning that if no one knows about the transaction that is yet to take place, nobody will be able to talk about it. This is important especially to those who want all their transactions done discreetly.
Off-market, property sale gives enough time for the entire transaction process.
There are better negotiations which give you more leeway especially when purchasing off market property.
Disadvantages of buying an off-market property
Off market properties can be frustrating for buyers. This is the case because when you buy off-market, you need to be fully aware of the seller withdrawals.
Even if buying off-market property can work for you, on the other hand, it may work against you because sellers can choose to take their time during the transaction process.
While off-market sales promote sellers privacy, as a buyer you will find it difficult to uphold such high levels of privacy in the course of negotiations.
Buying your property off market is extremely difficult given that such properties are not found so easily. Remember these types of properties are not advertised, therefore you will need to do a lot more legwork to find them. A buyers agent can help you with this.
Buying off-market properties work perfectly well for all types of listings whose owners don’t want to go public. The fact that they come with their share of tribulations, off-market property sales can also have some risks. The big upside is getting through the door and having access to a property that no one else does.
If you would like to know more about Off Market Property, Call us today on 1300 117 561
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