Forum Replies Created
- Quote:
well, how about "shill bidding" at some auctions?
Friends of the seller or of the realestate agent who offer fake bids just to show more interest in properties?
I should search a news about this, it was found to be popular in Sydney.
Clearly you have a dislike for real estate agents, that's fine, however by carefully building working relationships with Selected Agents, you can profit.
Dummy bidding no doubt occurs at some auctions, although steps have been taken to rid it some states.Real Estate investing is not that different from a lot of areas of investment.
You have to Speculate to Accumulate. There is risk involved, you have to do your homework, set your limits (price/return/capital growth) and act accordingly.If you are bidding at an auction, and the price goes higher than you believe the property is worth, its not hard to make the right decision, and stop bidding, regardless of whether your competitors in the auction are genuine or not.
Whilst I don't agree with a lot of the negative comments earlier in this post, there has obviously been a slow down in the market, and that presents a major opportunity.
In a nutshell, investors need to research and buy wisely. Or, you could leave the money in the bank for 3 to 4 years at minimal return, but chances are in 3-4 years you'll wish you had bought when the value/prices were much better. How many properties do you wish in hindsight you had bought 5 years ago?
It's not rocket science.
Quote:I disagree, I have been dealing with lots of agents and everytime there is an open inspection they claim there is already an offer on the house, sometimes even 2 !!Then 2 months later the house is till there unsold and at a cheaper price!
This confirms what I said, ultimately it is the market (buyers) who determine the sales price of a property. The real estate agent can put any price on it (generally upwards pressure is put on the agent by the vendor) but supply/demand & market conditions will dictate eventual price movement.
Linar wrote:Hi Katherine"In 10 years time you will look back at the investment property you bought and think that it was a bargain and you should have bought more of them".
Property goes up in price. Sure it may go up and down along the way but it will always go up, just like the share market. Property today is worth more than it was 10 years ago. In 10 years time it will be worth more than it is today.
I don't have a problem at all with Adelaide (I live here). House prices in other cities may increase in value more than Adelaide or Adelaide may see better growth. I don't know. But GENERALLY SPEAKING, properties double in value every 7 – 10 years, whether it is in Adelaide, Sydney, Bunbury or Mt Isa.
If you can afford, get in the market.
Cheers
K
Excellent advise. Or you could listen to the doomsayers, wait 3 years and pay 20-30% more.
Too much negativity and not much common sense/fact in a lot of this thread, personal opinions, often from people who have no idea of the Australian market, in some cases not even residing in the country, hence no first hand knowledge.
ItalianDragon wrote:The most annoyning thing is that REALESTATE agents are the number 1 people who inflate prices and they keep trying to pump and pump despite the market is collpasing.The market (Buyers) determine the actual sale price, not the real estate agent.
Quote:I thing realestate agents should NOT be paid in % but on a fixed income.
If you were selling, you would think differently, you would want the agent striving to maximise the sale price on your behalf, the % commission is an incentive.
4.5% +GST is very high.
Personally i hate to see tiles painted over, its rare to see it ever looking good after a short period of time (particularly in a shower recess)
I think you would be better off replacing a few tiles even if the colour/patterm match isn't perfect, at least it's more functional.I inspected a cheap property the other day, I couldn't believe they had hand painted the inside of he bath to cover flaws.
Skip
In relation to Mortgagee sales in Australia
Scamp wrote:. Remember that when you buy a foreclosure ( at an auction ) you have to :
– Pay cashMany people buy mortgagee properties at auction with pre-approved finance (yes an auction is unconditional in terms of finance clauses in the contract, but it is often done in the background utilising pre-approval) after outlaying a 10% deposit on the day of auction.
Quote:– Sometimes will not have the possibility to inspect the houseGenerally you will find real estate agents acting on behalf of the mortgagee are happy to arrange access for your building inspector prior to the auction.
Quote:– Risk buying a double-mortgager : You will auction off the first mortgage, then you find out that in order to GET the property you need to pay off a SECOND mortgage. This can be especially painful.this statement is totally incorrect, the holder of the first mortgage by law has the power to sell the property, in the event there are insufficient funds recovered to pay out a 2nd mortgage if applicable, the loss is incurred by the holder of the second mortgage, not the new purchaser.
Quote:What you can do is you can ask some local banks ( local ones, not the big 4 ) and tell them you're looking to buy a foreclosure. Banks usually use a RE agent or a Auctioneer to sell the houses, but some newly foreclosed houses might not have been processed yet. If the bank has a buyer 'ready to buy' , that will help them out and they might give you a discount on the house ,Banks have a duty of care to attempt to maximise the return on the property, and to be seen as impartial as to who buys it, that's why auction is generally used, its transparent, and generally no under the counter transactions are done
Quote:All in all, you should be able to get a foreclosed house at about 30% less than the 'market value'.
The 'market value' at this moment is 30% less than the 'asking price'. So yes, ask 50% less than the asking price if you go for a foreclosed price.I wish this was true, unfortunately in reality properties sell for as much as people are prepared to bid, and most mortgagee properties sell for no less than 15% below market price. From my observations banks would pass in a property at auction rather than sell at half asking price.
Quote:Remember that the crisis in the USA started 1.5 years earlier than the crisis in Australia. We have a long way to go ( down ).No doubt we'll continue to see an increase in mortgagee sales, but no where near the extent of whats been occurring in the U.S.
What happened in the U.S. occurred for different reasons to the pressures facing Australian borrowers.Skip
Yes you can buy a property with $100, in hard times vendors may accept it (what have they got to lose?) But in a strong market I would be wary offering a $100 deposit on a property I really wanted, most vendors would reject your offer in favour of an offer with a larger deposit that they considered to be a serious offer by a genuine buyer likely to proceed with the sale.
Note: default fees do not nessecarily occur in all states.
Also, some agents will accept electronic funds transfer (internet banking) but others will not.
Assuming that the purchaser has signed the contract first (which is not always the case) the date of the contract is the date the vendor signs the contract. This is the date that may have taxation implications etc.
I use Julie Schreiber, phone 08 82811553
These Ex Housing Trust semi’s/duplex’s are Torrens title, so there are no shared or strata fees.
Development is a likely option in years to come, but your neighbour is under no obligation.
There are free standing brick houses avaialble in the area at $130 to $140k, rent returns $170 to $180 per week on blocks typically 7 to 800 square metres.
PM me if you need more details.The only drawback with the semi detached homes is that you cannot demolish your semi to build villas or units unless you work in conjunction with the owner of the adjoining property.
Semi’s in the Elizabeth & Davoren Park areas have been a good investment over the past 5-6 years, semi’s purchased for $40,000 to $45,000 in the year 2000 are now selling for $110,000 to $125,000 and demand is high.
Best areas based on quality of area and rent potential are:
1) Elizabeth North (Rosewood Village)
2) Elizabeth Vale
3) Elizabeth East
4) Elizabeth South & Elizabeth Grove
5) Elizabeth Downs & Davoren ParkBut remember theres good & bad streets in all neighbourhoods in the north.
Watch out for cracking, these semi’s are 40-45 years old, some have serious cracking, but most are only minor.
Whilst short term rent return is important, the long term returns will be in the potential development of the land up the track. These semi’s are generally sitting on 480 to 750 square metres each.
Pairs are a good investment if you can get them for a fair price.Don’t be put off by reports of bad tenants, it is a lower social economic area, but thats why rental demand is so high in the area. As always you need a good property manager if you’re not local.
In summary, I wouldn’t be put off by the party wall, It’s unlikely you’ll have any difficulty selling for a good profit in the future.
Good luck
To answer this question, a few more facts are needed.
Has there been an easement registered on the Certificate of Title granting access rights to your neighbour?Is this the only method (not just the quickest) your neighbour can get access to his land?
