Advice on negotiating price in Melton, Vic.

[kristy77]

We are looking at buying an IP house in Melton, Vic. Looking at a loan of around $190-$200,000.
Anyone have any advice as to what priced properties we should be looking at and at what price to start negotiating?
Also, is it worthwhile talking to some RE agents re: any properties not listed yet.
This will be our first IP, so a little scared.

 

[MichaelSyd]

Good onya

When I bought in Melton a few months ago, I started with around 80 free standing houses I printed off realestate.com.au that were of interest ranging from $170K to $220K. I worked that down to about 15 that I would really buy depending on the deal (you can only see so many when you make a flying visit from interstate).

In a buyers market like Melton, you can afford to make low-ball offers and see what happens, you never know the motivation of the seller until you shake the tree a bit.

The one I got was asking $215K - I went in at $199K and ended up paying $204K after really pushing...but the agent let slip that the owner occupier had a new job on the other side of Melbourne and was travelling each day with tolls and family pressures adding up...

So my advice for Melton is to go hard and buy on the dollars not on the emotion for the houses you will see - I still believe the price increase ripple will work its way out from central Melbourne at some stage soon, and then the game will change for this area.

Best of luck!
cheers

 

[Prakman]

Definitely agree with Michael, go in low and see what the agent has to say. Remember that in a slow market, a poorly skilled agent is desperate to get paid so work them.

Good luck and happy buying.

 

[Prakman]

Definitely agree with Michael, go in low and see what the agent has to say. Remember that in a slow market, a poorly skilled agent is desperate to get paid so work them.

Good luck and happy buying.

 

[pieman]

hi
why dont you look at a bedsit in st kilda? Much more chance of growth there as they aint building any more suburbs by the bay. There's a ton of land out melton way however.
pieman

 

[mystery]

hi
why dont you look at a bedsit in st kilda? Much more chance of growth there as they aint building any more suburbs by the bay. There's a ton of land out melton way however.
pieman

Don't hold back pieman, tell us what you really feel ... lol

Look without wanting to repeat myself over and over ..... we have gained 10% - 12% growth since March 06, not brilliant but steady and this is with new land releases and house and land packages opening up in that time. The properties are affordable ... the area is growing and has a good infrastructure.

Kristy77, .... MichaelSyd and Prakman are right .... plenty of properties on the market, so don't be afraid to go in hard. Have a "walk away" figure if the sellers won't negotiate. I always try to have at least 6+ properties on my list when I start to submit offers.

Good luck

Martin

 

[tiger]

Thats what I'll be doing. I'm not afraid to offer 20k or more under advertised price. There's plenty of other properties and I'll bet there's nothing worse than coming across as desperate

 

[kristy77]

Thanks guys.

 

[IndexFund]

Melton is an island of land in the middle of nowhere, go in low.