The Market - What's Happening Out There?

In writing this article I have looked back on my predictions for 2012 which were published in this magazine at the start of the year.

So far it seems that, unfortunately, those predictions seem to be fairly accurate.

On a positive note, the RBA has dropped rates several times and the general consensus seems to be that there will be another one soon, possibly in September’s meeting. This continued downward trend has certainly helped the market and the affordability of property everywhere, however other influencing factors have not been so kind.

Market confidence generally seems to have maintained a largely negative trend, primarily due to the continued instability of the Eurozone and its effects on the global economy and share markets. Let’s face it, having doom and gloom on the news every night with stories of further bailouts for Spain as well as Greece and share prices rising and falling daily, tends not to install a lot of confidence that many consumers need to “take the plunge” and take on a new large debt.

The other side of this is that there is generally a shortage of new properties being placed on the market as many people elect to stay where they are at the moment and play it safe.

On this basis I doubt that many areas of the state will see price growth over the latter half of the year, but hopefully this stock shortage we’ll keep a floor under house prices and we will not see falls either.

An area bucking this trend appears to be the lower end of the market with first home buyers and investors reasonably active in most areas.

Rentals still appear to be the most positive area of our business going forward with continued, but slowing, growth in rents and definitely more buying activity from investors in most areas. The surety of that extra cash flow for the office in these tight times is what many wise agents seem to be focusing on at the moment.

There is no doubt a pent up demand building in the market, people want to buy their first home or move into a better one and in many cases can already afford to, but that confidence is lacking. If we can see out this quiet period I am sure that some very good times lie ahead as that pent up demand is released in a flood of activity as soon as Europe can cure its woes.

 
Hang in there and EAC will hang in there with you, giving you the tools to make the most of whatever market we have to deal with.

Testimonial...

Thank you Deb Cummins for meeting with us and your hard work in answering our questions.

A special Thank You to Dale Whittaker. Your communication has been outstanding in enabling us to purchase with ease.

We look forward to further dealings with your office in the very near future. Keep up the wonderful work.

K. & N. Aldridge (Oak Flats)

Why Use A Full Service Agent?

Private sales of homes have always been around, we have all heard stories of owners who have supposedly sold their own home and avoided paying an agent commission. The big question is – have they really saved money, or have they actually cost themselves money as well as the time and hassle involved?

When selling what is most likely your biggest asset you want to be sure you get the very best price, and this is exactly what a full service agent is trained to do and they have the tools for the job.

Some of the factors that help him do his job are:

1. He works with property and people every day, he knows the market, what is in demand and what is not.

2. He has access to the latest accurate sales data, he knows what other properties actually sold for, this is often very different from what they were advertised for or what the owner may tell you he sold it for in order to save his pride.

3. He has access to this magazine and its sister website, the leader in the Illawarra as well as realestate.com, the largest property internet site in the country, both of which do not accept private ads. This alone dramatically cuts down a private sellers’ ability to connect with a potential purchaser who will probably never know their house was for sale.

4. He is a trained negotiator, he can be the middle man that gives you advice and time to think so you get the best deal, it is very hard to do face to face with a buyer who may well be more skilled at negotiating than yourself.

5. An agent keeps a data base of qualified clients that he can tap into immediately, people who he knows are genuinely looking for homes, not just ‘tyre-kickers’.

6. He looks after the sale once it is negotiated through until settlement. There are often 2, 3 or more issues that come up after a sale is made that need to be resolved and may require further negotiation.

The peace of mind that these factors bring to people who engage a full service agent can be compared to the pitfalls a private seller will face:

1. Firstly it is pricing the property correctly. Sure people can check the internet and compare it against what you think are similar properties, but they have not been inside those homes to be able to properly compare them to their own. They also don’t know what they actually sold for, unlike an agent who has the data. Overpricing can be just as damaging to a potential sale as underpricing.

2. Their avenues of advertising are limited and expensive, they don’t get access to the major internet sites, the dominant publication and will potentially miss their “dream buyer” because they never knew their home was for sale.

3. The time it takes to show prospective purchasers through, they often want to come through while you may be at work which may be inconvenient for you or on the weekends when you have other plans.

4. If buyers know you are selling privately usually the first thing they want to do is reduce their offer by the amount of the commission because they know you are saving it, they want the benefit of the saving you are supposedly making.

Think of it like this, if you had to go to court would you represent yourself or get a good solicitor? Even solicitors rarely represent themselves, they know the value of good advice from a third party. They have a saying, “a solicitor who represents themselves has a fool for a client”. The same goes for selling property, a good agent will usually negotiate enough extra to cover their fee plus save you all the hassle.

Why would you put yourself through it and usually cost yourself money as well. Get a professional and have them earn their fee.

Extremely Impressed!

Testimonial...

We are extremely impressed with the service Dougmal Harcourts Oak Flats has provided us. They are very professional and knowledgeable when it comes to selling houses. Their service is outstanding and we would recommend them to our friends and family.

K. & D. Alchin (Albion Park Rail)

Amazing Job!

WOW! Deb, you have done it again! We sold our first house with Deb and she did an amazing job by finding a buyer within 2 weeks. She made it so easy that when we decided to sell again there was no hesitation as to who was the best person to sell it. Then Deb outdid herself by finding a buyer within 2 days, not only did she make it easy again but she also negotiated a great price. If you're thinking of selling we would highly recommend that you go with Deb, not only is she very professional at what she does , she is a beautiful person as well.  Thanks Deb for all you have done for us, you have made our dreams come true again!

From The Gillis Family (Oak Flats)

Very Professional

Testimonial...
We were more than satisfied with the level of service provided by Deb and her associates. Selling our home of over 30 years was always going to be difficult for us, but the transaction was certainly helped by a very professional and sympathetic real estate agent. Your reputation is certainly very well deserved. Many thanks Deb.
A. & V. Mielke (Barrack Heights)

Only One Real Estate Agency

Testimonial...
When it was time to sell my property in Oak Flats, basically nothing was in my favour. The real estate market was far from buoyant; my one bedroom cottage was in need of considerable attention prior to sale; and I resided interstate unable to spend the necessary time in 'sprucing' the place up in preparation for sale.
However, what I did have in my favour was my choice of Real Estate Agents - Dougmal Harcourts Oak Flats.
The team at Dougmal Harcourts at the outset advised me of what the current market price would be and how long it would take to sell. Every week, like clockwork, I received from them a copy of the latest advertisement and also a phone call from my dedicated agent to update me on all aspects of the sale. The weekly advertisement (text & photograph) was regularly amended to ensure the optimum interest in my property by potential buyers.
My property sold well within the predicted time-frame and in my expected price range. But of great importance to me was the manner in which the Dougmal Harcourts Team went about the business of selling the property. I never felt neglected, indeed, quite the opposite. It was a totally stress free experience. And upon settlement, my agent even removed the name plaque from the front of the property and sent it to me because he thought it may have sentimental value to me. That's what I call service.
The bottom line for me is that there only one Real Estate Agency I would ever engage in the Illawarra, whether buying or selling, and that's the Dougmal Harcourts team at Oak Flats. Well done guys!

Greg Robertson

Spot On About Everything

We were introduced to Deb Cummins of Dougmal Harcourts Oak Flats by a family member who was completely satisfied with the sale of their house. Deb was spot on about everything she promised us in regards to the sale of our house in Mount Warrigal. We are very pleased with the service and will recommend Deb to everyone who will be selling or buying a house.

A. & M. Farrugia (Mount Warrigal)

More Than Happy

Testimonial...
Just want you to know that my husband and I are more than happy with the level of service given to us by Deb Cummins. She went all the way, even outside of working hours, to ensure we were satisfied. I would highly recommend, not only Deb, but Dougmal Harcourts Oak Flats as well.
G. & V. West (Flinders)

Testimonial

SOLD - Ash Avenue, Albion Park Rail

SUPERSTAR!
Deb, I already knew you were a superstar but this has sealed the deal! Offers after the first few days on the market and then a price that we were very happy with. We were prepared to have the property listed for a few months to wait for that great price but you achieved it in a couple of days. Thank you so much!

E. Marr (Albion Park Rail)

Testimonial for Deb Cummins & Dougmal Harcourts Oak Flats

SOLD - Urana Way, Flinders

Thank you to Deb Cummins for her professionalism in dealing with our property in Flinders. Her attention to detail in marketing the property with photos & advertising is of a very high standard as well as her negotiation skills. I would recommend Deb to anyone who is thinking of selling. My wife & I are extremely happy with the outcome.

R. Deacon (Flinders)

Testimonial for Deb Cummins (Dougmal Harcourts Oak Flats)

SOLD - Johnston Street, Warilla

"Deb Cummins is a fabulous agent. She kept me sane through what was a very stressful period for me. Outstanding service and an amazing lady. Thank you."
C. James

Stunning New Listing in Blackbutt

INDULGE IN COMPLETE LUXURY!

Just some of the many features:-

• Enviable one acre block in a picturesque setting with deep landscaped gardens
• Modern island kitchen with quality stainless steel fittings
• 4 car garage plus vast under-house storage rooms and wine cellar
• 5 double-sized bedrooms
• Expansive wraparound balcony capturing intimate views
• Formal living & dining areas
• Ducted vacuum and ducted air conditioning
• Wood fireplace
• Multiple outdoor entertaining spaces
• Theatre room with projector
• 14m swimming pool plus pool house with bathroom
• Sound system, back to base alarm, intercom, video camera surveillance

For more information, photos and floor plan, go to www.dougmaloakflats.harcourts.com.au

Testimonial from another Happy Client...

SOLD - Westwood Drive, Blackbutt

"When we decided to sell our house, we got a couple of valuations and was surprised at the difference in both. Dougmal Harcourts Oak Flats provided us with a valuation that we thought was right on the money and 3 weeks later the house was sold at our target price.

We could not recommend Dougmal Harcourts Oak Flats high enough, their staff and manner was of the highest standard."

H. Harrison

Explanation of a Current Market Appraisal

A Comparative Market Analysis will help an Agent decide the fair market value of a home in the current market.


This comparison is called a comparative market analysis (CMA). It uses the most current and reliable market information from various sources including their Office listings and from EAC Red Square and realestateworld.com.au. The properties included in this analysis are a sampling of properties in the area that are currently for sale or that have recently sold. They provide a base line from which to begin the comparison. Other factors considered in this comparison are the property features, land size, location, amenities and the physical condition of the property.

At times, the term "fair market value" causes confusion. The definition has three basic parts – particular house – current condition – time frame (usually 30 to 90 days). Put simply, fair market value is the price at which a home will sell within a reasonable amount of time. The CMA will allow the agent to figure out, using the above information, the fair market value for the home. Remember this is just an estimation and the price could vary up or down depending on the motivation of the buyer, seller and any fluctuations in the market.

Once the price is decided on and it has been tested it in the marketplace, changing market conditions over time may require adjustments to the price to remain competitive.

For more information, please contact our office at Dougmal Harcourts Oak Flats - 02 4256 6666.