SUNDAY BLOG

We get this question often. Prospective property investors typically focus on the amount of funding that that they may have at their fingertips, closely followed by the number of properties that they could buy. So many make the incorrect assumption that more properties in their portfolio equate to greater wealth. The reality is; every property…

Yesterday was a two-auction day for us, and while neither auction went our way, both were intriguing to participate in. Each showcased a remarkable example of social impact theory. The first auction was that of a four bedroom, triple fronted brick 1960’s house in Sunshine West. The area is well represented by many of these…

One serious burden that buyers face when shopping for a property is the expense of the due diligence. From legal reviews to building inspectors, the costs can really rack up. So many buyers lament the “money going down the drain” when the auction sale result flies past their budget. We often hear stories about buyers…

So often, we find that buyers have been searching the listings and attending the open for inspections, only to find that the properties they thought were in their grasp are flying past their budget. Some blame the agents. Others blame underquoting. The reality that in most cases in the early weeks of their searching, they…

We talk a lot about comparable sales analysis, but unlike shares, no two properties are identical. Even similar apartments in a tower have slightly different vistas, elevations or orientations. It is absolutely essential to conduct a thorough analysis of recently sold, comparable properties before submitting a bid or an offer, but how do we determine…

When it comes to strata subdivisions, Owners Corporation activity and courtyards challenge many buyers. Strata is ill-understood by many, and even agents can get confused by the concept. Strata developments vary, and some may exhibit shared land, while others can offer a title without any element of shared land. When land is shared, however, a…

Yesterday’s auction in Brunswick was not a regular auction at all. A charming and well-kept Californian Bungalow dripping in gorgeous ornate timber fretwork inside went under the hammer yesterday. Sadly we didn’t get the keys, but the meaning behind the sale was very special. The couple who had lovingly owned the house had a strong…

Auction quoting regimes is always a hot topic, but it raises its ugly head in the media when market conditions get tough for buyers. In the last month, more than a few journalists have asked for comment about under-quoting, and whether it’s rife. The short answer is, yes, it is happening, and it is rife,…

Only ten months’ following our last credit-inspired downturn, COVID-19 struck our shores and tipped cold water on a reasonably vibrant market. Unsurprisingly, the lockdowns, immediate panic about job losses and the state of the economy, and news out of Europe rattled many a buyer. Many of our searches were placed on hold. One of the…

Yesterday was a tough day for buyers in many cities, not just Melbourne. Our preliminary auction clearance rate sat at 90% as at 7pm Saturday; a sure sign that many hearts were broken. By any measure this is a stellar auction clearance rate and indicates a wildly heated market. Historically, Melbourne’s auction clearance rate has…

Every buyer out there knows it’s a tough Seller’s market right now. The ratio of buyers per property is much higher than the historical average, and in the popular, established locales it isn’t a shock to see more than ten bidders making a play for a property at auction. The problem with high competition in…

I was reflecting on a few of my recent and memorable prospect meetings yesterday while I drove down to Geelong. I started thinking about the key things that so many investors get wrong, and when I categorised the conscious-decision based mistakes, I recognised five clear variants. That is, five critical errors that investors consciously decide…