I am looking into buying a strata title townhouse in Marsfield at the moment. One thing really worries me is that 3 other townhouses next to the one I am looking at have all been sold in the past a few months. I have conducted a building&pest inspection and a strata report search, but did not find anything major. Probably someone will call this a coincidence. What do you guys think of this? Thanks a lot.
Could be the owners were starting to feel the rate rises and sold.
Look on re/com.au at the sold properties for the area, find the properties in question (they should be there) and then call the agents and ask them what's been happening.
Thanks L.A. Aussie.
I have been doing that actually. While most agents wouldnt give me straight answer since those properties have been sold. The agent of the townhouse I am looking at told me exactly the same answer like yours. It is so werid. I am buying No.16, while No.15, 17, 18 were all sold in the past 2 or 3 months. Two of them were apparently investment properties. And the other one was renovated before sold.
Thanks anyway.
If the strata search did not reveal anything (check what it did reveal) then it is probably coincidence. Marsfield is a good area – close to Macquarie Uni (and new private teaching hospital), shopping centre, new train line (late 2008), high tech industrial area.
How big is the block ie 4 units in 20 may be high but were there similar numbers 2 or 3 years ago?
Thanks Scott.
It is a 25 unit block actually. I am thinking of doing a section 149 search for proposed and draft development plans from council. The only thing I can think of (if there is anything under table) is there might be some proposed plans affecting the land, coz it is a Crown Grant title land. But on the other end, even if there is anything against the land, it should be against the whole land which belongs to owners of the 25 units collectively and wont only affect those 4 units individually, is this right?
Thank you for your input.
There should be a 149 certificate attached to the contract of sale (short form should be sufficient – as this shows all of the planning instruments & zoning) – your solicitor will requisition a full S149 from the vendor upon exchange.
Take a copy of the S149 down to the council town planner and get them to explain away any 'nasties' or queries.
It may be worth contacting Railcorp http://www.railcorp.nsw.gov.au if the block is near the new underground rail line or visit http://www.tidc.nsw.gov.au/ for any new/planned lines (there is a map of the Chatswood/Epping line running thru Marsfield on one of the links).
If you need to contact the secretary of the body corporate or speak to some of the residents – they may be able to let on if there are any issues in the block
Thanks Scott.
The new rail line is a good thought. I have checked the map and found it is nowhere close to the property. And I have spoken to a few residents but did not find anything major either. The 149 certificate attached to the contract was done nearly one year ago, so probably I will do a latest 149(2)+(5) search, which is not cheap but worth the money if giving me a peace of mind.
I could be too paranoid but anyway, really appreciate your suggestions.
Put the 149 back on the owner to produce, after all he is selling it (and your solicitor would requisition one from them during the cooling off period anyway).
Thanks mate. I am expecting the 149 certificate now. Will keep you guys posted.
Have got the Section 149 reprot. Cannot find anything major, only minor things like Tree Preservation Order. I start to believe it is just a coincidence now. Any other ideas?
Have you any hope of contacting the owners of the units that sold to ask them why they're moving?
It could be simply that once owners saw the prices the other units were receiving they decided to sell too.
It is the same with different streets. The street behind ours had seven houses sold within 3 months, after several years of inactivity.
Margto Ian: I wish I had that opportunity. Do you have any idea how I can contact them?
to Marg4000: You r probably right. Coz the whole street has been booming. People get tempted by the money that their neighbours got.
Many streets are tightly held, even within a complex there may be very few sales for a number of years. Depending upon how old the block is, it may just be part of the cycle that several owners have decided to liquidate their assets (more-so the case with absentee owners), also some may have reached the point where interest was no longer bearable, changes to superannuation and other factors could also contribute to the spate of recent sales.
If you have done all of your investigations and found nothing, then there is most likely nothing to worry about.
xpine73 wrote:to Ian: I wish I had that opportunity. Do you have any idea how I can contact them?/quote]
Won't the selling agent tell you? How about RP Data? I guess it's easier for me cause I live in a coastal community and know my local agents quite well so it wouldn't be difficult to find out who the past owners were.
Good luck, Ian
Thanks Scott for giving me a peace of mind. I think I will go ahead with this deal.
To Ian: Those properties have been sold through different agents. And even I can find previous owners, are they willing to reveal some story under table( if there is any), which would probably put themselves in a worse position (something like scams)?
xpine73 wrote:Thanks L.A. Aussie.I have been doing that actually. While most agents wouldnt give me straight answer since those properties have been sold. The agent of the townhouse I am looking at told me exactly the same answer like yours. It is so werid. I am buying No.16, while No.15, 17, 18 were all sold in the past 2 or 3 months. Two of them were apparently investment properties. And the other one was renovated before sold.
Thanks anyway.
Maybe no sales had occured for a while prior to these 3 sales and as soon as 1 sold the other Vendor's may have been surprised of the growth and decided now was a good time to cash out. Happens quite often. We often see 1 unit sells in a group or 1 house in a street, then a flow on occurs.
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