It is usually considered the best time for sellers to hit the market with their properties, as buyers defrost from Winter, obtain tax returns or financial advice and decide to get into the market and buy a property before Christmas, but the spring property season has started early this year in Brisbane. In the last 2 weeks our team at Hot Property Buyers Agency have been in multiple offer situations on 3 properties of interest with mixed results.
Just last weekend we were 1 of 9 offers on a property located in Geebung on Brisbane’s Northside, with the property selling for over our best and final offer, to an emotionally driven home buyer. Home buyers at the moment are the single biggest driver of prices in the areas we are purchasing for clients which might surprise some readers.
As investor buyers need to be cautious to not get caught up in the hype of a warming market and getting into an emotional bidding war which could result in you overpaying which isn’t ideal but still secure a good property to add to their portfolio, this is why I have developed some tips for investors to identify what properties to fight it out for and which to let go.
- Location, Over the years I have seen property experts go on about location, but there is a good reason why, I have seen two properties of similar level of finish, and configuration sell for 5-10% difference in price in a space of a few weeks just because one was in a “premium pocket” of a suburb. Knowing what streets, or pockets of a suburb are the right ones can make a massive difference to buyer demand, not just when you’re buying but if you consider selling in the future.
- Condition of the property, well maintained properties sell for more money, it’s as simple as that. Just last weekend I watched a 3 bedroom 1-bathroom semi modern home sell for the same price as a 4 bed 1 bath fully renovated home just because the 3 bedder was so well presented and clean, it was dated but people didn’t mind paying a premium due to its condition.
- Consider the renovator, as mentioned above a lot of people buy into the fact something is presented nicely, but what some buyers don’t understand is that renovations can be done quite cost effectively and quickly if you have the right team around you. It could be as simple as post settlement trimming some trees, washing the house and painting some walls and you have turned an average house into a presentable home for prospective tenants.
It is important to consider each property individually and undertake your research prior to submitting your best and final offer, but it’s also very important to know when enough is enough and place a limit on your negotiations and walk away.