Discover the inside story of how strategic pricing, unwavering confidence, and timely action turned a lackluster auction into a successful sale at 28 Flowerdale Road, Hampton East. Learn why showing confidence in your property's value could make all the difference in achieving the price you deserve.
In an era where real estate uncertainties loom large, 58 Harlington Street in Clayton stands as a testament to strategic brilliance and unwavering belief. Dive into a riveting tale of patience, strategy, and the emotional journey of selling a cherished family home. Discover how meticulous planning and steadfast vendor-agent collaboration can lead to record-breaking results even in a challenging market.
If you’ve been watching the property results lately you can’t help but notice that the auction clearance rates have been quite low, in fact last week in Melbourne, the average clearance rate was 41.6% with some areas such as the inner east falling below 40%! But what does all this mean? is it really as bad as what the media make it out to be? It really depends, read on and I’ll try to explain my view on the current market play.
Discover the inside story of how strategic pricing, unwavering confidence, and timely action turned a lackluster auction into a successful sale at 28 Flowerdale Road, Hampton East. Learn why showing confidence in your property's value could make all the difference in achieving the price you deserve.
In an era where real estate uncertainties loom large, 58 Harlington Street in Clayton stands as a testament to strategic brilliance and unwavering belief. Dive into a riveting tale of patience, strategy, and the emotional journey of selling a cherished family home. Discover how meticulous planning and steadfast vendor-agent collaboration can lead to record-breaking results even in a challenging market.
Owning and managing investment properties can be a lucrative endeavour, but it also comes with its fair share of challenges. One of the most crucial aspects of real estate investment is property management. Without proper management, investors risk losing money, reputation, and peace of mind. That's why it's essential to partner with a professional property management company that has the expertise, experience, and resources to ensure the success of your investment.
Introduction: Who doesn't love a good underdog story? In the world of real estate, there's nothing quite as thrilling as taking on a fixer-upper and turning it into a happily-ever-after tale for the perfect family. Today, we're spilling the beans on how we sold a charming property at 47 Green St, Noble Park, with a little bit of creativity, a dash of strategy, and a whole lot of fun!
The Property: Nestled in the tree-lined streets of Noble Park, this elevated 746 sqm property had all the makings of a fairy tale in the rough. With four bedrooms, one bathroom, a separate powder room, and oodles of living space, it was just waiting for someone to wave a magic wand and bring it to life. Add in a sun-soaked north-facing backyard and parking for a mini fleet of cars, and we knew this place was destined for greatness!
The Challenge: The property needed a little TLC (okay, maybe more than a little), and we wanted to make sure we found buyers who were up for the challenge. So, we put our thinking caps on and devised a plan to present this diamond in the rough "as is" and attract only the bravest and most qualified buyers who were ready to roll up their sleeves and dive in.
The Strategy: Three magic ingredients led us to a successful sale:
Listening to buyers: We turned on our psychic powers (okay, we just paid close attention) to understand what potential buyers were dreaming of in a home. This helped us tailor our approach to match their vision.
Adjusting the price according to market demand: We made sure our price tag didn't scare anyone away by keeping it realistic and in tune with the market.
Encouraging offers: We channelled our inner cheerleaders and hyped up the property's potential, reminding buyers of the chance to create a one-of-a-kind, personalized space.
The Campaign: Our property was the belle of the ball for 41 days on the market, sashaying into search results 83,615 times, garnering 3,134 property page views, and being saved by swooning users 82 times. Talk about a Cinderella story!
The Result: The stars aligned, and on April 4th, 2023, the property was sold! A new family took on the challenge of transforming this fixer-upper into their dream castle.
Conclusion: Selling a fixer-upper can feel like an epic adventure. With a little bit of ingenuity, a touch of determination, and a whole lot of fun, even the most challenging properties can turn into real estate success stories. The journey of 47 Green St, Noble Park, is a testament to the power of dreaming big and embracing the excitement that comes with taking on a fixer-upper.
In the ever-evolving world of real estate, the perfect sale campaign requires an innovative, adaptive, and determined approach. Today, we're diving into the journey of selling 4 El Nido Grove, Carnegie, a property that presented unique challenges and the creative solutions we employed to overcome them.
Our first step was to ensure maximum exposure by advertising on both Domain and REA. Since the property was rented and not presented at its best, we utilized state-of-the-art technology to strip the rooms and backyard of furniture, showcasing the potential of empty spaces. By emphasising the home's strong points such as its prime location and amenities, we aimed to appeal to a broader audience, maximising the chances of finding the right buyer.
Buyer feedback highlighted issues like overlooking from the flats at the rear and lack of a living room, limiting our target audience. To find the ideal purchaser, it was crucial to attract a wide range of potential buyers through tailored marketing strategies. This included focusing on the property's potential for renovation or modernisation, presenting it as a blank canvas for the buyer to create their dream home.
Our unique approach began with launching the property as a "Forthcoming Auction." This allowed us to gauge buyer interest and decide on the best course of action: continue as a private sale or proceed with an auction. This flexibility helped us adapt to the market's ever-changing landscape and ensured that we were always one step ahead.
Throughout the campaign, we prioritised open communication with buyers, using various channels such as phone calls, emails, and social media to keep them informed and engaged. We also held weekly Zoom meetings with the vendor to keep them informed and in control of the process. This constant dialogue fostered trust and transparency, ensuring that all parties were on the same page throughout the sale.
The auction day was a rollercoaster of emotions, starting slow and ultimately falling short of the reserve price. However, our story doesn't end there. During post-auction negotiations, the vendor was willing to sell at a lower price, but our relentless pursuit of the highest possible offer paid off. This perseverance demonstrated our commitment to achieving the best outcome for our client, rather than merely settling for a quick sale and achieved a price over the reserve.
Our keen understanding of buyer needs uncovered a critical requirement: the buyer wanted to move in within 60 days, while the lease ended in 120. We negotiated with the renters to end the lease early, sealing the deal and delighting both the buyer and vendor. This vital negotiation underscored the importance of truly understanding each buyer's unique circumstances and being willing to go the extra mile to meet their needs.
This campaign showcases the importance of adaptability, determination, and a touch of humour in turning challenges into triumphs. By employing innovative marketing strategies, staying connected with all parties, and going the extra mile, we achieved a happy ending for both buyer and vendor. Success and failure in the world of real estate largely depend on paying attention to the details. This emphasises the significance of considering every factor involved in the process. Through a combination of innovative marketing, open communication, and tenacity, we were able to turn a challenging property sale into a triumphant success story, proving that with the right approach, even the most difficult sales can have a happy ending.
SOLD - 28A Taylor St Brighton East (click to view)
Last weekend, the auction clearance rates in Melbourne dropped to around 75%. This is a significant change from the almost 85% of weeks prior, so it might seem that the market is changing for the worse, right? At face value, it would appear that prices are on the decline but I think that a closer analysis reveals that things are actually simpler than they appear. Indeed, I think it is even possible to improve things (the clearance rate, that is) with the right strategy. Let me explain.
During the lockdown(s), people have had nothing else to do, so they turned their interests toward making a move to either another home that better suited their needs or to a different area. Stock levels (properties on the market) were very low because Vendors were concerned that COVID (yes, that word again) would be detrimental to their property sale, but the opposite happened. In the last Melbourne lockdown, prices went crazy! This was a clear example of the basic principle of ”supply and demand” at work. There was high demand, but very little supply. Vendors who were poorly advised to hold off selling during those times likely missed out on those high sale prices.
“Make it simple for buyers to attend and bid.”
Once restrictions were eased, the number of properties on market soared to record levels overnight. Supply was no longer an issue. Indeed, within a few weeks, oversupply was starting to become the concern! After having conducted so many successful online auctions during the lockdowns, I personally didn’t feel that going back to onsite auctions (just) on Saturdays was going to benefit sellers and here’s why…
There were 46 properties on the market in Brighton East last week but with a limited number of buyers, it’s just not possible for those buyers to get to see all the properties on the market in a short time. When there are 7 auctions on the same day, there is no way that they will all sell. Of those 7 properties, 4 (more than half!) were passed in. What is more, 3 were without any bids at all! So, how do we fix this?
Make it simple. It is easier for buyers to inspect the glut of property by holding inspections on days that other agents are not. It is less effort to attend an auction conducted over Zoom and bid from an armchair at home. Ensure that every interested buyer can come to your auction by holding it on a day and at a time with little competition, e.g., Monday night at 7pm.
“Ensure that everyone interested can come to your auction by holding it on a day and at a time with little competition.”
I implemented this “Forthcoming Auction” strategy for a recent sale at 28A Taylor St. Brighton East to great success. The property was SOLD for $75,000 more than the identical property next-door only months earlier. Of course, each property and seller benefit from a tailored approach that takes time to develop and explain. If you'd like to know more, reach out.
For now, I'd like to wish you a very Merry Xmas and a Safe New Year, until next time.
There is no question that from a sellers perspective the market is presenting some challenges at the moment, buyers are reluctant to commit waiting for the market to bottom (as if you’ll ever really know when that is unless it turns and it’s on its way up!). Knowing how to best approach a property sale is difficult and requires some careful thought. In this blog post I’m going discuss my view on the best method of sale, what’s working in our office and how vendors can minimise the discounting that is occurring to greater extent than necessary.
Traditonally, in Melbourne & Sydney (especially in the inner suburbs) auctions have been the preferred method of sale and I personally am a big believer that a well conducted auction campaign i.e. well marketed, handled and auctioned on the day is the best way to extract the highest price from the market in a given time frame (3-4 weeks). however, auctions work best when there is competition and without it, the outcome can be quite disastrous! Typically an auction clearance rate (which is the percentage of homes/properties that have sold at or very close to the auction day) of 60% or greater is an indication that there is some competition that should produce a favourable outcome for the vendor, of course 70-80% is really the area that produces the greatest competition with the highest results. You may ask the question, why are agents still selling by auction when the clearance rates (Melbourne wide) are below 50%? In fact in some areas the clearance rates have been as low as 15% meaning that 85% of all properties that have gone to auction did not sell! They say the definition of insanity is doing the same thing over and over again and expecting a different result, this is exactly what many agents are doing in the current market. I have attended a number of auctions in this market and on the occasions where there has been some competition, all be it very lacklustre, the auctioneers have announced the property on the market when there is very week competition only to sell the property under the hammer at the same price that it was announced on the market! Clearly in those instances the agents were just looking to make a sale and not maximise the returns for their clients as the best strategy in those situations is to pass in the property to the highest bidder and negotiate.
“The definition of insanity is doing the same thing over and over again and expecting a different result!”
In addition to the low clearance rates, the major real estate portals are overloaded with unsold properties making the typical marketing packages almost obsolete as properties now don’t get the exposure that they had when properties were on market for around 20-30 days, with properties staying on market for up to 60-90 days, a property just becomes a “small fish in a big pond” the opposite of what most major portal packages were designed to do!
“With properties staying on market for up to 60-90 days, a property just becomes a “small fish in a big pond””
So what is the solution? Well there isn’t any one solution, it’s important to consider the type of property that is being sold and the likely demand that the property will have in the market place. In a market cycle where prices are dropping it’s always a balance between the Vendor’s expected time frame to achieve a sale and price. I believe that when competition is lacking in any market it’s extremely important to increase the level of service to the buyers, after all they hold all the cards. When competition is not present, a private sale campaign is most probably the best method of sale and considering starting the campaign “softly” using social media reach and even Google is a great way to “feel out” the market before committing to large marketing expenses typically associated with the major realestate portals. I usually like to have a multi stage approach whereby the property is first offered to buyers from our large database (direct marketing) then exposed to social media channels such as Facebook & instagram (passive buyers), Google (targeting - “I’m ready now” buyers) and then finally the major portals like realestate.com.au (active buyers).
By staggering the exposure of the property there is a greater chance of finding the “right buyer” which is the critical factor in a soft market, “spray and pray” marketing strategies just don’t work and only increase vendor (and agent) anxiety.
When a market is tough, and by tough I mean buyers are slow to make decisions, banks are not lending as easily, competition is low and prices are declining it is imperative that the correct method of sale is deployed and that the agent heading that sale is highly skilled at identifiying, nurturing and negotiating with the buyer to achieve an outcome that is satisfactory and most importantly the best that is available in the given time frame.
If you’ve been watching the property results lately you can’t help but notice that the auction clearance rates have been quite low, in fact last week in Melbourne, the average clearance rate was 41.6% with some areas such as the inner east falling below 40%! But what does all this mean? is it really as bad as what the media make it out to be? It really depends, read on and I’ll try to explain my view on the current market play.
If your property doesn't stand out from the rest it will just get lost in the crowd and will take forever to lease out. When this happens most agents inevitably ask you to drop the price so that the property can be leased out, however, there would be no reason to do this if the photos were good in the first place.
One of the simplest things you can do to make your property stand out from the crowd is to have it cleaned from top to bottom so that it sparkles like a gem! Particular attention should be paid to showers & bathtubs (especially soap scum) and kitchens as these are the areas that most prospective tenants look at first.
