When engaging a Residential Agent to market and sell your home or investment property, it is imperative that the Agent has credentials to deal at the properties price level. Time and time again, inexperienced Agents some how get engaged to list and negotiate a Clients property and they are completely out of their depth.
Therefore, a specialist company with decades of years of firsthand experience is imperative to achieve the best result. Bourke Prestige Agents, Queensland has a combined 100 plus years of such experience to draw upon.
Sure, a Seller can fluke top dollar on the odd occasion, but why “roll the dice”, when you do not have to!
It is not always the headline price that is important to a Seller. One thing that is equally as important, is the journey getting there. In more cases than not, the Seller needs an understanding Agent that has repour and empathy. Afterall, this could be the home that has raised their children, endured special milestones over family life or is a sale of necessity from financial hardship or from the loss of a loved one.
Selling property is a roller coaster, with many mixed emotions along the way.
The preparation put into preparing the property so it is ready for sale can be the difference between getting a standard price and a great price. On most occasions, it does not need to be hard, time consuming or expensive.
Whatever your motive for selling, the process can either be stress free or intense. If it does not sell, then very disappointing. The good news, there are professional Agents that can ease the tension of the process at Bourke Prestige Agents.
With the property market being extremely buoyant, new and experienced Buyers are active and continually coming into the market. With low interest rates, more equity is sneaking into their own homes and investment properties, therefore enticing them to seek new and additional properties.
There is no time like the present to capitalise on this evolving market with three main Buyer profile shifts at present.
Those being the local owner occupiers (Gold Coast and Brisbane residents) who are upgrading their homes to bigger and better locations and sizes, the interstate Buyer looking to relocate to the South East Queensland climate and lifestyle and the astute investors looking to reap the rewards of purchasing now, as the market continues to rise.
There has never been a better time to borrow money at sub 2% range from the banks to increase a property portfolio.
Methods of Sale
Selling via Private Treaty
A standard property transaction is known as a Private Treaty sale. This is when a price is set slightly above the desired selling range and Buyers are invited to make offers. On a rare occasion, a Seller and Buyer agree on the list price straight up and an immediate sale eventuates. This can be because a Seller has set the price to low.
On the other end of the scale, if the list price is too high, it will sit on the market for an extended period and can be deemed as a lemon by active Buyers and even valuers. An overpriced property will not attract genuine Buyers to inspect.
Pricing a property accurately is difficult. This is often evidenced even with registered valuers, with years of training and knowledge, getting it wrong at times.
The only advantage of a listed price is if a property is specific and the Seller wants viewings to be restricted, the price will determine if a Buyer inspects in that advertised price point. Most Sellers realise real estate is a numbers game and want to get as many prospective Buyers as possible through and allow the attributes of the property to determine the sale.
Sale by Private Treaty can encourage Buyers to have conditional clauses to their offers like:
- Subject to a building and pest report
- Subject to obtaining suitable finance
- Subject to a cooling off period for 5 days, where they can simply “change their mind”
- Subject to any other special conditions that allows them out of completing
In a downturn market, Private Treaty is fine, however in this increasing property market where there are many cashed up Buyers to choose form, we do not see these conditions as advantages to the Seller.
Selling via Auction
A public auction is when prospective buyers gather at the same place and time to bid on a property against each other on identical terms as predetermined by the Seller. In other words, on the Sellers terms, not the Buyers terms.
Once all bidders have reached or exceeded their price point, the Seller determines whether to accept that price. If the Sellers price expectation is reached, the property is then “placed on the market” by the auctioneer and is on the market for sale.
Only at that time, the auctioneer will call “We are Selling” and reopen the auction floor to all registered bidders to have another go at being the successful owner. On most occasions, the genuine bidders will continue bidding beyond their initial budgets, with the property selling above the on the market price.
At the conclusion and the fall of the auctioneer’s hammer, the successful bidder will execute the Sellers contract on the Sellers per determined terms and pay the required deposit.
- The obvious advantages to an auction are:
There is no price barrier for Buyers to contend with, so more enquiry and inspections of the property
- All potential Buyers gather at the one place and time to compete against each other, not against the Seller.
- The Seller has a degree of certainty to plan as the sale is concluded on the pre-determined auction date.
- The Seller remains in total control and dictates the auction terms for the sale.
- The standard auction terms are cash unconditional – (No cooling off period, No finance clauses, No building & pest reports), just cash bids.
- An auction encourages increasing bids in an upward motion.
Sale by Tender or Offers to Purchase
These are like the auction method in that all offers must be to the Seller by a pre-determined date and time. The Buyers are invited to sign a contract with their price and terms and deliver it in a sealed envelope to the Agent. At the said date and time, the Agent will meet with the Sellers and open the envelopes together.
If there is a suitable contract, the Seller can sign the contract there and then and the sale is made. Keep in mind, this is done in private, and no other party views the offers.
On some occasions, a price can be well more than the others, but in turn, the prospective Buyers are not aware of the competing price and therefore cannot bid to beat it like the public auction.
These options can be further detailed in person on a case-by-case basis.
One thing that can be assured when dealing with Bourke Queensland,
Our Clients confidence will be treated in high regard and we will do our utmost
to exceed our Clients expectations.