Waterfront Investment For Sale

This cant be a real agent bashing - I havent even been involved !

Another good CE thread - Mike I see your point re details - it would be nice (and more transparent if they were posted initially) yet we dont expect real estate agents to play fair, even if they are one of the "good guys"

At least it wasnt as bad as some of the other sales threads in CE.

Kev - nice works on all the "re butt als " (for sim) your replies showed you were serious about posting an opportunity and not just looking for another method for flogging property (even if there was lots of agent speak in there)
 
I don't want to support one side or the other here, just put forward my own perspective.

It seems to me that often we are trying to get those people posting deals to also do some of our due diligence for us. I don't know where one should draw the line.

I guess that because this is a forum for property investors one can fully expect that many of the due-diligence issues are going to get addressed. The amount of negativity surprises me (the new posters cop it most - perhaps justifiably).

Mike has a very good post. The salient point is that the person advertising the deal has virtually put themselves into the shoes of a prospective buyer. Very few seem to do this on Caveat Emptor. But how much info can a seller give before they are not acting in the vendor's interests, but rather the buyer's interest? Is posting recent sales information acting in the seller's interest (maybe, if the house is a dump and other sales give the impression it's a cheap buy - maybe not, if other sales in the area are $100K below this asking price).

That would suggest that sellers should realise more "what they are letting themselves in for" and have a reasonable understanding of what they should be posting. So, are the guidelines for Caveat Emptor actually adequate?

Certainly I would suggest that in any RE agent's case they are going to have to put a lot more preparation into trying to sell on this forum than in the local paper. Essentially you must provide a. only the facts, and b. lots of detail. A big ad.

The way "buyers" address Caveat Emptor is in some ways incompatible with the ways "sellers" address Caveat Emptor. Sellers want to sell, and they will use that same selling language as you'll get in the newspaper. Buyers want facts. In fact buyers on this forum want more facts than the agent may actually present them with face-to-face.

Where does the selling stop and the due-diligence begin? I can clearly see why nearly every deal on Caveat Emptor gets a thrashing.

PS: with respect to Mike's post, I can almost imagine that, if it were posted here, we'd be getting comments like: "Who determined the realistic rental for each unit?". At the end of the day, sometimes a seller can't provide all the details without the buyer being skeptical, simply because they *are* the seller.
 
mulitple offers to choose from ?

did they take the highest offer ?

or were they one of those - i want it to go to a nice family type ppl ?

fill us in when its unconditional :)
 
Originally posted by XBenX
mulitple offers to choose from ?

did they take the highest offer ?

or were they one of those - i want it to go to a nice family type ppl ?

fill us in when its unconditional :)
Sorry Ben, not sure if it is your post or just me being stupid. What is your post suggesting.

There was more than one offer and they chose the one which suited them the most. As you would expect that is the one which was in fact the highest in price.

Should be unconditional in around 12 days.

Kev

www.nundahrealestate.com.au
 
This sale proved to be one of the 2 most difficult in my career. On both of those occassions one particular bank seemed to be at the centre of the controversy. I'm not going to mention Westpac's name either. This time it took 22 days to approve finance and only after much pressure was applied. Approval came through just yesterday and we are supposed to settle on Monday. Valuations weren't ordered until last Friday, 2 days after approval date. Then 2 days later they order more vals after saying they wouldn't need them. The last time I had to deal with them it took 6 weeks for approval of finance and the buyer was a high ranking govt official. When they did the vals that time, after 4 weeks, they valued the wrong property.

I don't mind making these statements as this time the buyer has recorded everything and is making an official complaint after settlement. Someone needs to be accountable from the banks.

The property has now gone unconditional and it was sold for $550,000. There was some strong lessons learnt in this sale, none more so than your first offer is often the best, even when it is just hours after going to the market. 2 properties were undersold close by and had a detrimental effect on the sale of this one but the eventual sale price was my original estimate. Mind you I sold one today for $295k and I thought it would go around $270k. There was another offer for $280k so a property is worth the highest price a buyer is prepared to pay.

Kev

www.nundahrealestate.com.au
 
Hi Kev

Congratulations on the sale !

WeSuck as we affectionately call them are no better or worse than the other big 3.

The common problem is a lack of pro activity from whomever is obtaining the finance, however to be fair there are instances where it can take 14 days max to get finance put to bed if its driven.

YEP, Scream and document since the buggers need to know what their inaction is causing their client base.

Ta

rolf
 
Originally posted by Rolf Latham
Hi Kev

Congratulations on the sale !

WeSuck as we affectionately call them are no better or worse than the other big 3.

The common problem is a lack of pro activity from whomever is obtaining the finance, however to be fair there are instances where it can take 14 days max to get finance put to bed if its driven.

YEP, Scream and document since the buggers need to know what their inaction is causing their client base.

Ta

rolf
Thanx Rolf,

I have only ever had "major" problems with 1 bank. I do have a lot of experience in establishing a buyers capabilities in getting a loan, my wife was 16 years with a major and I have always taken an interest in this area so I could establish how much time I need to spend with a buyer. This loan was not a difficult one, there was no LMI to start with. This isn't about how long it took but the incompetency which forced it to take so long. I don't accept that they are no worse than the other 3. If the loan at that bank goes through Adelaide the problem levels appear to significantly increase.

I accept that sometimes it takes all 14 days and on rare occassions a little longer, but in this instance it shouldn't have and for what reason would you not order the vals until after finance date. God forbid anyone who uses this avenue for finance in my opinion. The trail of devastation which has been left behind has been a disgrace.

Kev

www.nundahrealestate.com.au
 
Dear Kev,

Likewise congrat's on making the sale and thanks for making a real effort on this one. Credibly letting us know the opportunity and the eventual outcome is appreciated.

Cheers,

Sunstone.
 
ahh.. Hindsight

What a great thread. Some very revealing posts here.

I would say whoever bought this house would be VERY happy right now. And would I be right in assuming that like all quality/luxury property within visible range of water this 1x550k house would have outperformed the higher yielding 2x275k properties or 5x110k properties a few streets back within the same timeframe?

I just love reading the negative/sceptical comments in this post! It's true you could hand a treasure map to a room of people and some will ask how hard they will have to dig!
 
With regard to what is absolute beachfront, IMO absolute beachfront is absolute beachfront, no road or anything else.
Also my version of beach means sand not mud. :rolleyes: :)
All things considered and from what I have seen of Sandgate, I would not argue too much with absolute mudfront!. :)
 
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An intersting thread. I've just finished reading it.

Remind me to never post any properties that are for sale on SS!! :p

Kev, what would you consider this property to be worth now, almost 2 years later??

Cheers
 
Sultan of Swing said:
An intersting thread. I've just finished reading it.

Remind me to never post any properties that are for sale on SS!! :p

Kev, what would you consider this property to be worth now, almost 2 years later??

Cheers
Jeez,

Glad I brought this up again :D

Sadly only a month after moving them into a lovely villa and Glenn got to buy his new car he passed away. I am still in touch with Thelma.

Price now, damn sight lot more than it went for back then. Prices have now hit the million mark. The property next door has since sold for $907,000.

Who gives a flying f... (toss) whether it is absolute or whatever the bloody hell ya want to call it. Its waterfront with "absolute" clear views which can never be built out.

I came so close to walking from this forum over this post so lets not go here again.

Kev

www.nundahrealestate.com.au
 
Well?

So was I right with my assumptions about it's performance Kev compared to less well placed property in the same area?

My observation of the Gold Coast is that while all property has done well nothing has done as well as the really quality stuff with water views that will never be built out.
 
Kevin Hockey said:
Jeez,

Glad I brought this up again :D

Sadly only a month after moving them into a lovely villa and Glenn got to buy his new car he passed away. I am still in touch with Thelma.

Price now, damn sight lot more than it went for back then. Prices have now hit the million mark. The property next door has since sold for $907,000.

Who gives a flying f... (toss) whether it is absolute or whatever the bloody hell ya want to call it. Its waterfront with "absolute" clear views which can never be built out.

I came so close to walking from this forum over this post so lets not go here again.

Kev

www.nundahrealestate.com.au
Doesn't seem to be unusual. Peter Spann came on here and provided a whole range of fantastic posts and personal insights as an investor; all for free. And some people thought he was just here to boost book sales.

Human nature.
 
XBenX said:
This cant be a real agent bashing - I havent even been involved !

Another good CE thread - Mike I see your point re details - it would be nice (and more transparent if they were posted initially) yet we dont expect real estate agents to play fair, even if they are one of the "good guys"

At least it wasnt as bad as some of the other sales threads in CE.

Kev - nice works on all the "re butt als " (for sim) your replies showed you were serious about posting an opportunity and not just looking for another method for flogging property (even if there was lots of agent speak in there)
Whilst Ive mellowed in my "old" age - I think this post sums the thread up well... (maybe a few additional :p 's are needed)

Everyone asked the hard qn's and Kev did a stand up job of answering all the q's (even the provocative from my "old" mate brains =P)

Kev -there were a few posts in the thread letting you know we appreciate your contributions - everyone was just asking the hard questions like all investors do. Im sure you ask the same qn's when you purchase an IP.

It is a hard thing to allocate our investment choices in the most efficient manner to minimise opportunity cost.

Not that I even considered buying the property but even with hindsight I wouldnt have bought it - my money could have been used more effectively elsewhere...
 
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