I follow this story on SMH about some family bought a single level old house in Mona Vale, NSW for 755k, spent 472k on renos and make it dual levels.
the money spent is about 1.2 mil already, excluding finance cost, holding cost however the family did saved on rent.
the property is listed for auction from 1 mil, if you read the article some comments (from the REA ?) did hinted that the 1mil may be under quoted and the owner really wants 1.2 mil at least to recoup his cost.
However based on the features of the house and recent sale price of 1-1.2 mil properties in that area, their house, with renos, is still overpriced.
for example, with 900k you can get a dual level house in narrabeen, nawareena etc which is closer to city.
the result ? the property was withdrawn from the auction on 1-Dec and still not sold.
http://news.domain.com.au/domain/re...lesson-in-market-research-20121122-29skk.html
for me it is a failed marketing exercise from the REA, even SMH did not help, the market has spoken !
the money spent is about 1.2 mil already, excluding finance cost, holding cost however the family did saved on rent.
the property is listed for auction from 1 mil, if you read the article some comments (from the REA ?) did hinted that the 1mil may be under quoted and the owner really wants 1.2 mil at least to recoup his cost.
However based on the features of the house and recent sale price of 1-1.2 mil properties in that area, their house, with renos, is still overpriced.
for example, with 900k you can get a dual level house in narrabeen, nawareena etc which is closer to city.
the result ? the property was withdrawn from the auction on 1-Dec and still not sold.
http://news.domain.com.au/domain/re...lesson-in-market-research-20121122-29skk.html
for me it is a failed marketing exercise from the REA, even SMH did not help, the market has spoken !
