Hey All!!
Had to be the nicest day in Melbourne today, could see the $$$$ signs in the rays of sun, stepping outside for the first time in 30 hours hehe..
Anyways to a more important note, I found a very good IP, +ive cashflow, crunched it out after buffering to make 15% return and best of all the potential for CG in the future (5-10 years) is enormous, whole area is being funded by the government for major tourist/shopping/art/residential makeover. Anymore and I think i’ll give it away [
]Oh yeah back to the point, I want to approach the RE agent now with my interest. The property is listsed as “Not Yet Priced” does that mean it could become an auction?
In any case I wrote something to the RE agent which I’ve pasted below, I haven’t sent it yet but wish to hear everyones input on it. I just want to notify them that i’m interested and once I receive the vendors sale price that I may wish to negotiate.
“” I am looking to purchase in the local vicinity of xxx and have shortlisted this property along with another, both having fit my criteria to date.
A few questions to ask, I noticed that the vendor has yet to put his offer on the market. I was wondering if they would be willing to forward me their market price so we may proceed with the jousting.
If the price is somewhat within range of my budget then a formal offer will be laid on the table.
Look forward to hearing from you.”””
With regards to all the paperwork, building inspection etc. I thought it best for all that to be organised after I received the price to see if it was within my budget. In saying so the average CV of similiar houses in the area were definately in my range. Should I be saying or mentioning anything else in my first contact to the RE Agent? Your comments and thought would be greatly appreciated
CiaO and Success to All!
Christian
Wow Christian, the numbers sound good… good on you… is it residential or commercial?
If I were you I’d get on the “dog and bone” as soon as possible and have a good long talk to the agent. Writing letters is good, but personal contact is even better (at least that’s in my limited experience!!)
cheers
rSorry about that it’s a residential property. One of those that when you look at and I mean after looking at several hundred finally see something that with a bit of work would be worth a million dollars in a few years, it has the shape, it has the size the area, the street name, the perfect driveway, the perfect surrounds and settings, all it needs now is just a bit of colour in the right places some professional landscaping and there you have it the next big thing… we’ll to me anyways =p
Oh yeah I sent an email being Sunday and all, RE’s Closed, couldn’t wait till tommorow to call [
][Just Do It] – “For The One Priceless Commodity an Investor Can Never Replace is Lost Time”
is it in oz or nz?
Hi there,
good on you,
in my experience RE agents don’t always get back to their emails and letters quickly enough especially if they have bona-fide cashed up buyers ringing. The phone gets faster results, though scarier the first time. Don’t forget that they can’t see you, though! Which can be a plus!If you are not feeling that confident, why don’t you practice by ringing some different real estate agents about different properties you’re not even interested in just to practice asking stuff and getting them talking. That’s what I got my friend to do the afternoon she put in her first offer – we did three ‘practice runs’ before we rang the real one!!
re: this part
>A few questions to ask, I noticed that the vendor has yet to >put his offer on the market. I was wondering if they would be >willing to forward me their market price so we may proceed >with the jousting.
try not to sound too accommodating, too low status, too unsure – and ‘may proceed with the jousting’ says to me you already KNOW your offer is gonna be too low and be refused.
OK – that usually happens (but sometimes it doesn’t!!!) but i think it’s better not to show them that you’ve already given in mentally to your offer being rejected…So what you could do is ring them up – get the price – get the CV – even if they don’t know the price yet you could still make an offer based on the CV and your knowledge of similar properties in the area. Talk to a lawyer before you sign it though. Make sure you put conditions in so you can get out of it if it’s a lemon.
cheers-
MiniHi YoungGun,
Don’t want to “shoot you down in flames”, but I agree with MiniMogul. The bit about “Proceed with the jousting”, says to me that you are prepared to go higher. It doesn’t come across as someone who knows the value.
I also wouldn’t be putting it in writing before I personally spoke to the Agent. With the amount of interest in ppty at the moment, you either have to be there in person, sitting at the RE Agent’s desk convincing him, or at least on the phone charming him.
Just my opinion.
Good luck, sounds like a good deal.Del
Ah Mini…
Always there to lend a helping hand, */me bows to your wisdowm* [
] Come to think of it your the one that persuaded me to think “beyond the square” and inevitably got me going out and around NZ. Also I was born and raised in Otaki & Auckland so here was a chance to say sorry for betraying my home land and moving to Australia hehe.With regards to the advice, I can’t thank you enough. It sure is a lot easier following in your footsteps rather then going it alone and inevitably going broke! Maybe I could become your student? are you accepting at the moment? [
]I know it’s asking for a lot and I hate to impose but I would be so grateful If you could forward me an email address where I could contact you directly if I get stuck & it’s somewhat urgent. If you can’t then that’s okay no problems I guess I can’t expect to be fed off a silver platter but then again it’s always better to have & see all the angles.
Thank’s again, oh yeah by the way do you know any good mortgage brokers who can find me a low doc/ no doc loan ? I have about 30% deposit available but am not currently employed.
Thanks!!
Christian
[Just Do It] – “For The One Priceless Commodity an Investor Can Never Replace is Lost Time”
Hi
I apprecaite your comments, regarding the phrase I inputted namely the “jousting” aspect. I came to the conclusion that I didn’t want to appear too conservative, formal and uptight in sending an offer in case the RE agent categorised me as one of those “buyers who love to waste my time by making sure every legal clause is read thrice over & signed perfectly on the dotted line x this many photocopies for their personal records, and this that etc.” only to pull out at the last minute because according to their calculations that miniscule rise in whatever rate now made it uneconomically feasable (if there is a word) for them to continue…
I also didn’t want to phrase the whole offer so casually as to make me look like i’m some uneducated wishful thinking bum who even though may have the capacity to purchase wouldn’t have the first clue as to how to implement a working strategy thereby wasting even more time.
Thereby I decided to combine a bit of both, a bit excessive maybe, it’s only a preliminary finding right? but then again.. it’s about time we started messing with their minds not vice versa..
I think I came off as genuinly interested and serious about the property, but at the same time eased the prospective buyer/agent tension in one remark and in turn showed an understanding of one of the most important aspects of purchasing property – the game of negotiating, you know it’s even considered in some places as an honourable profession..
But then again am I even making sense? it’s like when you play too much tetris and all you see when you close your eyes and watch tv are blocks. Right now it’s just property, numbers and that stupid Windows Calculator. I think it’s time to go bed, actually I won’t but I won’t write nonsense anymore until I’m properly rested!
Hope that helped / made sense / explained everything. Power to the Property!
Christian (over & out!)
[Just Do It] – “For The One Priceless Commodity an Investor Can Never Replace is Lost Time”
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