Good on you Lisa. The more you do it, the better you get – but you already seem to have it mastered.
We bought our home at auction back in 97 when the auction process was still rife with dummy bidding. We bid, then were beaten. Turned out to be a dummy bid, so agent came back to us and tried to get us to go up. We refused. A very tense 48 hours followed. I was so tempted to call and raise our offer, but didn’t.
Eventually the agent called, sweet as pie as if nothing had happened, with contract ready to sign at our price.
Lesson – know the true value and hold your ground. And if you miss out, it’s all great for that ol’ learning curve.

cheers,
Carlin

Hi all,

I just want to say BIG THANKS to all those generous enough to share the details of their deals. Not only are your experiences invaluable to novices like me, they are also very good reads.

Dazz, I will tell my story once I have one to tell.

Gatsby – thank you for telling your story. I am truly sorry to hear about your loss. Yes, we do need to know what we’re really chasing when we’re chasing those deals.

best wishes,
Carlin

Correction has barely begun here in Adelaide, so how can it be tipped to end?

Or are we indeed just talking about Sydney again (although even here I’m confused. One day I’m reading the Sydney market’s not likely to recover until 2008, the next it’s already on the mend. Who to believe in all this crystal ball gazing????)

Carlin

Just to return briefly to the article that triggered this thread re-Sydney leading the real estate market down.

I am VERY sceptical about any article that bases itself on data collected by real estate agents (in this case LJ Hooker).

While it’s obvious the Sydney market is heading slowly south, it is also clear that real estate agents have two very solid reasons to talk the market DOWN.

First, they want to put pressure on the Reserve Bank so that it doesn’t increase interest rates AND second, in the case of NSW, they want to put pressure on the Carr govt to revoke the vendor tax.

I think it’s really amusing to watch the real estate industry tie itself in knots trying to achieve the above, while also trying to convince buyers that they should still be paying premium prices. Y

Yes, they want to argue it both ways – that the market’s falling, so Dear Reserve Bank Board please don’t increase interest rates because people will be forced to sell the family home….AND, the market’s really strong, so Dear Potential Buyers you’re going to have to open your wallets ever wider.

I for one am enjoying the ride right now.

By the way, Dmichie, if you’re having agents calling you and dropping the prices, have you bought your family a new home yet? Or are you waiting for that bell to ring at the bottom of the market?

cheers,
Carlin

Here in olk’ Adelaide, auction clearance rates are hovering between 40-50% and places are staying on the market for months as sellers hangout for yesterday’s prices. Plenty of places to rent, so a renters dream time. So, no, couldn’t describe the market as “ticking along” here either.

cheers,
Carlin

Hi Leanne,

I’ve sold 2 properties myself and think it’s not hard at all, but you do need to have the right approach and the right personality.

I found a good conveyancer, who drew up the contract and – when it came to the sale – guided both myself and the buyers through the process.

I advertised in both the main city paper and the local area rag (it’s called The Messenger here in Adelaide).

There’s plenty of good info around about making sure you present your property well. And you should present yourself well too.

I had the floorplan drawn up, had a sign made for out the front. All pretty easy stuff. I think the place where agents often earn their money over private sellers is at the negotiation stage. I think some private sellers lack the skills here and either lose a sale or sell too low. So I advise you to try to get some advice, perhaps read something about “bringing in the deal” so that you don’t make mistakes.

If you’ve done your research and therefore come up with a realistic price, you should be confident to stick to what you want (of-course, your asking price needs some room for negotiation but don’t lower too quickly or you’llhave possible buyers thinking your real price is much lower that what you’re asking).

I’ve saved myself thousands selling myself, and I’ve got as much as the agents said they could have got for me without having to pay their commission or exorbitant advertising costs.

And, contrary to what some agents will have us believe, I haven’t found people to be reluctant to negotiate with me as a private seller. Perhaps because I make it clear I have no emotional attachment to the property so they can run it down to me as much as they like as they try to get a lower price. It’s all part of the game.

all the best,
Carlin

Hi All,

An article in API mag a few months ago quoted an economist saying that developers in SA had been building something like 2.5 houses for every person (don’t quote me, but it was a figure like that), and that “this madness will eventually end in tears”, or words to that effect.

The latest house-building figures show that SA recorded the greatest drop. So perhaps the market is on the turn, but it’s a VERY slow turn.

Unless Adelaide has a sudden major influx of new residents (unlikely), it’s not hard to see that we’re heading towards the renters’ dream market. Certainly, friends looking to rent say they’re spoilt for choice and feel in a position to negotiate terms. In this kind of market, you can obviously say good-bye to high yields.

IMHO the only way Adelaide’s house prices are going to drop is with a significant rise in interest rates, not just another piddling .5% rise.

People may be overstretched to the max interstate, but I can’t see many being forced to sell here unless interest rates really head north (more than 10%).

Adelaide had a lot of catching up to do in terms of house prices, hence the doubling of prices over the last 5 years. But it’s still cheaper to buy here and will remain forever so, with correspondingly cheaper rents, lower yields etc etc.

regards,
Carlin