"All offers considered" - what the?

[Bradsdad]

thanks for the response guys - most helpful!!

Okies last week the property was advertised at $X, and now this week the price has gone up to $X+100,000......I assume that this has been because there has been some interest (demand pushing up the potential price)....

The place is very nice but I think they are asking too much - even if though they say "offers above $x+100,000" considered, is it worth throwing in an offer less then that? (Section 32 contract yet to be released, so will not be making any formal offer until we have read through it)

Ensure you obtain some recent sales data for the area. If they are asking over and above this well it may well be "too much". Either offer start lower than what you expect it's worth a work your way to you maximum or locate another property.
"too much" is in the eyes of the owner only. If someone comes along and pays "too much" it's then the right price for the vendor and only "too much" for youself.
Also remember that the RE is working for the vendor not for you. they are being paid to obtain the best price for their client (the vendor who's paying their commission).


Regards
Steve

 

[kort]

Are you sure that the Council's valuation isn't an unimproved valuation? (They often are.) In other words, the valuation often relates to land only, and it wouldn't necessarily be of concern if it's half (or even less) than the market value.

In the section 32, the council valuation was broken up into "land" and property" components.

Also found that the previous REA they used got the boot because they bought in an independant valuer and the valuer valued the house at a price the seller didnt like......... so she sacked them and got another REA who I guess told her what she wanted to hear.....

either way I am walking away from this property....some serious concerns in the section 32 that makes me realise why the seller actually wants to sell.....

 

[wylie]

either way I am walking away from this property....some serious concerns in the section 32 that makes me realise why the seller actually wants to sell.....

Would be curious to know what you found, if you care to share...

 

[josko]

A property is worth what the buyer is willing to pay for it.

regards JO

 

[essence]

In the section 32, the council valuation was broken up into "land" and property" components.

Also found that the previous REA they used got the boot because they bought in an independant valuer and the valuer valued the house at a price the seller didnt like......... so she sacked them and got another REA who I guess told her what she wanted to hear.....

either way I am walking away from this property....some serious concerns in the section 32 that makes me realise why the seller actually wants to sell.....

There is no thing more useless to determine true value of the property than Council's vals. To be precise, RPData even worse.

I have seen "valuation" from RPDAta on a property which was 2 storey brand new house at less than half of true value. Owner has bought termite damaged shack, knokked it down, rebuilt, landscaped. RpData extrapolated current value form the last sale price and median dynamics in the suburb.
Same goes for Council. There is someone on $35K pa punches numbers in the computer without leaving their desk.

Half of "professional valuers" are also as hopeless and clueless - but at least you have a chance to get some value of $400 spent.

There is only one method that works - it is Jan's Somers 1:100 method. See 100 properties to buy one - this is how you never make mistake as to the true value (unless you do not know of the Council's plan to build public toilet across the road).