Property in Hawthorn

[alexlee]

sorry Y-Man, im not following..

so what you are saying is that it aeks 2.5-3 months to setup the selling process, of which you already have a price in mind at the very start....

but what I don't get what you are trying to say by "This means the market may have moved significantly in this time, and if it is down, it can means a significant revision of your expected sell price."???

so are you saying that if the market goes sour or if you think it is or about to be sour, you might lower your expectations?

What y-man is saying is that say a property goes on auction with a reserve of $300k. That might just be what the property was worth 3 months ago when the vendor signed the agreement with the agent and decided on what price they 'wanted' to sell at.

In these 3 months, the market may go up or down. In a hot market, you might be able to sell significantly about what you expected 3 months ago. If it goes down, then you might not be able to sell at what you expected.

As an extreme example, maybe the vendor doesn't know how much their place is worth. So the agent underquotes with a low figure, and puts that on the ad. Then the vendor is pleasantly surprised when the actual sales price comes in at so much higher than what they expected.
Alex

 

[Property Meister]

ok fair enough...

so assume it was set 2-3 months ago,

what are they thinking now./

 

[Property Meister]

Just a quickupdate,

the RE agent who basically told me, "im too busy call tomorrow"
has just emailed me with the sale of contract, just as an attachment, no message no nothing,

anywya, first thing I noticed was the font on the entire doucment, the headings etc is in like a 1920s font, and looks quite shabby,

is this how they are supposed to be???

 

[The Y-man]

Just a quickupdate,

the RE agent who basically told me, "im too busy call tomorrow"
has just emailed me with the sale of contract, just as an attachment, no message no nothing,

anywya, first thing I noticed was the font on the entire doucment, the headings etc is in like a 1920s font, and looks quite shabby,

is this how they are supposed to be???

Comes back to the vendor's soli who prepared the document....

Cheers,

The Y-man

 

[Guan]

Went there for inspection last Saturday. The unit was built in 70's. Small and crappy kitchen and bathroom. The living area is probably less than 70 sq m.

Personally, I think 300k would even be too high for an offer.

 

[Lake]

Went there for inspection last Saturday. The unit was built in 70's. Small and crappy kitchen and bathroom. The living area is probably less than 70 sq m.

Personally, I think 300k would even be too high for an offer.

That depends on the achievable rent though. If this could be rented above $300 p.w. without any work done, then 300k may be justifiable for some.

However, I suspect from your description, the kitchen and bathroom might need to be updated which could very well add another 20k to the price.

 

[Guan]

In my opinion, 300-330 per week of rent is achievable but remember that there is $3000+ (not sure about the exact amount) of body corporate needs to be paid every year.

 

[Property Meister]

HI Guan

My time spent on RE has taught me a few things,

I haven;t been to the property yet, however, the photos look good,

and then the first thing I asked my self, was , why no photos of the toiler/bath/laundry,

ahhh, it must be crap!, so if you take a close close close look at one ofthe photos, you can see a few glimpses of the toilet, and although you can only see about 10% of it, it looks quite shabby,

so thats what got me thinking....

I might have a physical look at it though...

don't know how much its worth, but Ill take a shot!

 

[Property Meister]

In my opinion, 300-330 per week of rent is achievable but remember that there is $3000+ (not sure about the exact amount) of body corporate needs to be paid every year.

PS. why is the BC so high???

normally is likte $600-$700 for that area

 

[Property Meister]

P.S i can't believe this hasn;'t sold yet

either the vendors have really high expectations, or they are going to wait until auction no matter what, or people are really scared about falling prices or there must be seriously somethign wrong with it.../

 

[Property Meister]

SOld at auction foir $317k...

not too bad, fair price,

but if there is more hard times to come, it might seem a bit expensive... but we'll see!

 

[Lake]

SOld at auction foir $317k...

not too bad, fair price,

but if there is more hard times to come, it might seem a bit expensive... but we'll see!

I agree, the price seems a tad high for what you get, especially considering the smallish size of the apartment, and the need to renovate the kitchen/bath to achieve half reasonable yield.