Real Estate News


7 QUESTIONS TO ASK AN AGENT WHEN SELLING


  As we head into Spring, there will be an inevitable surge in real estate listings. As the boom fades and more challenging market conditions emerge, the vendor’s real estate agent is either an asset or liability in negotiations. These must-ask questions have been extracted from the book, Inside Real Estate to ensure you employ the best agent.   What evidence did you rely on when valuing our property?   We are all susceptible to believing what we want to hear. If an agent quotes a high price for your property, it's natural to want to believe them. However, if an agent cannot justify their price to you as the owner, they will have an even harder time convincing a buyer!     If the property sells below your quoted price, do we still have to pay full commission?   When you sign an agency agreement to sell, the agent must provide a written assessment of value. You, as the seller, enter into the agreement in part based on the written as...


Why Higher Rent May Not Equal Higher Income


  Most experienced investors understand that $500 a week for fifty-two weeks a year means more money in their pocket than $550 a week with several weeks vacancy during the year. So if maximising income from rental property investment comes from keeping their properties occupied, why do some landlords charge such high rents that their tenants move on whenever they get the chance and new tenants are slow to move in?   It is a fact of life that some investors fail to see the big picture and only look at the money in their pocket 'right now'. They are blind to the possibility of rent loss down the track and don't see that they might create dissatisfied tenants who move on when they find a better value option, thereby creating a cycle of high turnover and increased vacancy.     The problems don't stop there... Investors whose properties are 'good value' get more enquiry and can afford to be more selective when deciding who will rent their property, while thos...


Why You Should Consider Rentvesting


    Eager to enter the property market, but can’t afford to buy where you want to live? It might be time to consider rentvesting. With headlines in the media often touting rising living costs and housing un-affordability, it's no surprise that many young people feel like it's impossible to enter the property market. While entering the market has become more difficult in the last few years, it certainly isn’t impossible – you just have to think outside of the box.   Enter rentvesting...     So what is rentvesting? Rentvesting refers to purchasing an investment property while continuing to rent in your desired location. Young home buyers often do not want to give up their inner-city lifestyles, yet they can't afford to purchase in their desired area. Rentvesting is great option for young people to retain the lifestyle they have become accustomed to, while still having the opportunity to enter the market.     What a...


Rejecting The First Offer


  High offers often come early during the selling process, however owners will often hold out in the hopes of a better deal coming along. Sellers can be lulled into a false sense of security making the assumption that a good offer in the early stages of selling can mean an even better offer will come once more people have viewed their property. Unfortunately, holding out for a better price generally leads to price discounts and lower eventual sale price.     Think Like a Buyer To understand why good offers often come early during the selling process, it’s important to place yourself in the position of the buyer and consider the journey that they have been on. Reasonable or above market offers often come from a ‘heart buyer’. A ‘heart buyer’ will fall into one of two categories – either they have been searching for their dream property for months on end or they have stumbled across your property and have impulsively decided they ne...


Should You Renovate Before Selling?


  With TV shows such as The Block and Reno Rumble gaining immense popularity in the last few years, many homeowners have been inspired to carry out their own makeovers and add value to their homes. A question our sales team at Pennisi Real Estate often get asked is...   "Should we renovate before we put our home on the market?"   Sellers are often under the impression that if they extensively renovate their home, they'll be able to make a tidy profit when it comes time to sell. While renovating often does add value to a property, many sellers overcapitalise on their renovations. Improvements can add value; however, the outlay can often exceed the return. For example, major renovations such as kitchens and bathrooms can cost anywhere between $10,000 to $30,000. While it may add some value to your home, you are unlikely to recuperate, let alone double, the costs and efforts that were involved with the improvements.   It's important to acknowledge that...


3 Red Flags to Watch For When Buying a Home


  It’s easy to get swept up in the excitement of buying a house and overlook the finer details of a property. While the wooden floors in the bathroom might look rustic and chic on inspection, exposure to moisture will eventually cause the wood to rot if not treated properly, and guess who's left to replace it? Here are 3 more red flags to watch for when buying your next home or investment property:     1) Amateur Repair Jobs If a home has been in a family for an extended period of time, there’s a higher chance of DIY repair jobs, particularly when it comes to electrical and plumbing. Carefully inspect properties for what may look like an amateur or short-term fix, and if in doubt about the safety or integrity of the work, request an expert opinion.     2) Water Leakages What might be easy to pass off as an innocent little drip (because you’re head over heals with the rest of the house) might actually turn into ...