Buying in the right market means you need to perhaps pay that extra $5000 initially or make sure you are not being too fussy because if you buy the right apartment the market will do it thing for you.
What is frequently seen is when you wait for the ‘perfect’ deal and continuously miss out, you become a buyer that is too fussy. In the time you miss out the values can increase by thousands and thousands as the market moves. Buying a desirable apartment rather than looking for the one that is five to ten thousand less. However, by talking to Apartment Specialists we can take away some of this frustration and help you reach your goal of finding the right apartment for you.
Good day, Andrew Murray here from the Apartment Specialists. How to buy in a moving market? How to buy when you know the values are going upwards, but you want to find the best deal? You want to get the apartment for the lowest price, but what do you do?
The thing with a moving market is – I see this over and over again -You might fall into this trap, but this is where you wait for that perfect deal. You try to get the apartment for the lowest price, and you miss out again. You become too fussy and you take time to purchase. In that time that you have taken, the market’s moved $30,000, $40,000, $50,000.
I have seen buyers wait for that perfect apartment for two years, and in that space the market’s moved $100,000, $150,000. Now, that is a $150,000 mistake, as I have put it. I will give you another personal example for myself. I bought an apartment for $340,000. At the time, it was really difficult and I thought, “I’m a real estate agent. I should be buying well below market,” but I was buying at market minimums. And I knew this one was bought out, but I really wanted this apartment and I loved this apartment. I just got an evaluation the other day and it is worth $500,000 now. This is in two years.
The fact that I agonized over this, even some of my peers said, “You’re paying too much.” The market did the movement, not me. So, it comes down to buying the right apartment, and it comes down to buying a desirable apartment. If you buy the right apartment, which is desirable, then the market will do the rest.
Trying to get that apartment for $5,000, $10,000, $15,000, $20,000 less than what they ask can actually hinder you. The important thing here is not so much as getting the lowest price, it is getting the best apartment. For example, one that is favorable and that is not going to leave. It does not have any issues and it is in a good location.
I hope it helps, because I know it is very stressful. In the next three to five years, this market is really going to be moving. I know. It is something that I have struggled with. I am sure a lot of buyers struggle with this as well.
The best way to tell if your apartment is being marketed well is by initially going on to Trade Me.
Check out how many photos are on your advertisement, there needs to be at least 10 top quality photos. These need to be done professionally and you will be able to tell this by comparing them to others on the website.
Then assess whether or not you are drawn into the ad or not – put yourself in the buyer’s shoes.
Trade Me is where all properties are sold in New Zealand and every agent uses the website.
G’day. Andrew Murray with Apartment Specialists. Today I’m going to be talking about, ‘How can you tell if your apartment is being marketed to its potential?’ This is a very good question and a really good one for international owners.
The best way to tell is, actually, to go online and on a website called Trade Me. Overseas, especially, I’ve got a whole lot of Australian owners that I work for, and in China, Russia, all over the world, England and Ireland, etcetera. How are they supposed to know what this, so called, Trade Me is? Basically, Google “Trade Me New Zealand” and go to the property section, and then look up the name of your agent and then you’re going to be able to tell how your apartment is marketed. Because, there are so many examples, when I see apartments, I just think, the owner must not have seen this.
A good way to find out if your apartment has been marketed correctly, is to go online, are there more than two or three photos? Are there at least, sort of, 16, 17 photos? Are there photos of the apartment? Have they been done professionally? And – the big one – put yourself in the buyers’ shoes. Would you buy that apartment? Do you like the ad? Is the ad drawing you in? Does it make you want to enquire about the apartment? That’s really, really important.
Every single apartment that’s been sold in New Zealand is always put on Trade Me. That is where every agent gets most of their leads from and if you’re not on Trade Me, well, that’s just ridiculous. There’s not an agent that’s not. So, you know your apartment is on it. You know that’s where most of your buyers come from and you know you’re going to be able to find your apartment on there.
Search your agent, you’ll see your listing, and just ask yourself, ‘Would I click on that listing? Would I buy it?’ That kind of thing. So, pretty easy and it’s a good way to tell. If you have any issues or you think that your apartment isn’t being marketed to its potential, tell your agent that. Tell it how you feel because it’s affecting how many enquiries you’re going to get on your apartment which is going to affect the result. I hope that helps and talk soon.
I believe that the apartment market can be done a lot better and at Apartment Specialists we are going to change things up a bit in this industry.
Coming from an apartment selling background and the going out on my own I now have the autonomy to be creative with this industry so that it works better for all involved – you and the agents whether you are buying or selling.
I am lucky enough to have found my passion and have the energy and drive to start this up.
I believe a key factor to effective apartment real estate is ensuring there is sound communication all the way along the buying and selling process.
A way of communicating to the public is through the information provided on my website and by watching the many blogs I am going to create.
If you would like any further information, please feel free to contact the Apartment Specialists Team!
Good day, my name’s Andrew Murray from the Apartment Specialists and welcome. Today I’m going to be talking to you about what the Apartment Specialists is all about; why I created the company; and why you should be listening.
The whole reason for Apartment Specialists coming about is things can be done a lot better in this market in regards to the service to the owner. And I don’t mean when you’re just selling the apartment because that’s what I do, I mean it’s looking at every single owner in the CDB as already a client and educating them, so they know what to do that’s best for them.
So I’ll give you an example. Now, as an owner, to be able to make the best decision regarding your investment, whether it’s a house, whether it’s an apartment, whatever you wanted to do, you’ve got to have the right information. And if you don’t have the right information, it’s very hard to make the best decision.
Now, in the Auckland apartment market there’s over 20,000 apartments, yet most of the owners don’t live in these apartments; they’re either in different city, different part of Auckland, different island, different country. So how are they supposed to know:
What the apartment’s worth?
What they can actually get for their apartment?
Are the steps they’re looking at actually relevant to the market now?
Okay, what’s the best strategy to sell your apartment, i.e. should it be auction, should it be listing with a price, should it be tender? What are the previous record prices? What kind of method of sale were they achieved?
So, there’s so much an owner needs to know and how are they supposed to know this? They have to rely on one person. And I’ve seen it time and time again, and I’ve got a very strong belief that the owners aren’t receiving the information that they need to make the best decision for them. I’ve seen owners sell when they shouldn’t be selling. I’ve seen owners sell for far less than they should be selling.
There’s a huge trading business going on, this is where people buy apartments off owners and then sell them at a profit. Now, in some cases this is needed, when there’s emergencies, when they need a quick offer and things like that, but in a lot of cases my feeling is that the owner’s losing out here. They haven’t been made aware of or they aren’t aware of what their actual apartment is worth. Because some prices I just see them being sold at I’m just like, “What’s happening here?”
And so that’s just not part of it, it’s also about the realisation that a top agent, it doesn’t mean they’re getting the highest prices; it just means they’re doing a lot of sales. I love this industry, I’ve got a huge passion as you can probably tell and I’ll give you a brief background. Basically I left the company I was working for in the middle of last year, 2012, where I was the top apartment agent for the whole of New Zealand. To my knowledge I was achieving on average higher prices than any other agent, and that’s because I was doing it differently.
Then a lot of this stuff was getting restricted on how I could do business due to the nature of the real estate industry and the CBD market, and I butted heads. So I wanted to start my own thing and I wanted to do it better. I know I can do it better, I’m doing it better. And it sounds very arrogant, but when you’re really passionate about something and you really enjoy something, it’s not work. And it may be a little bit unhealthy at times and I think about apartments and working in industry, but hey, I’m that age when got the energy. I’m 33 and it’s my passion and I know I’m very lucky to have found it.
So anyway, back to why you should be listening. It’s about communicating to you an owner or a prospective buyer or somebody who wants to get into industry or a developer or whoever, just to educate yourself and get the knowledge so you know what the best decision for you is. And so this podcast is about giving you that information. So twice a week I’m going to be talking about a particular topic and going into some depth. And so this podcast is about giving you that information, so twice a week I’m going to be talking about a particular topic and going into some depth and opening your eyes in a market that it’s very hard to see what’s actually going on.
So the next one I’ll be doing will be on leaky buildings, and there’s a huge grey area around that. What is a leaky building? If a building does get labelled as “leaky” what should an owner do? Should they hold, should they sell, should they wait it out? Is it leaky? What actually means leaky? What’s the difference between maintenance and leaky? And everybody has maintenance. Every house has maintenance. How should it be sold if you do need to sell? If you do need to buy more? There’s a huge facet there, and this thing called a pre-contract disclosure which is supposed to disclose all the issues occurring in a building so a prospective owner can confidently purchase. Now, they’re supposed to be helping industry. Does it actually declare what needs to be declared?
So those are some of the topics I’m going to be going over which I think is key to every single owner because it’s a risk of every single owner in regards to the building and every building needs maintenance from time-to-time. So I’ll be talking to you about that in a couple of days. And in the meantime what I’ve done is, I’ve put together a report of 10 brief points that every owner needs to be aware of.
And this will really open your eyes, I mean, I’ll probably get a bit of flak from the industry for sharing some of this information, but it goes along the lines of why agents pay more to auction a property than they are to list with a price in regards to percentage received by the listing agent; how are you supposed to know what rent you should be receiving and what difference does this rent make in regards to what your apartment’s worth? There’s 10 things that have really made a huge difference. And how do you know if a trade is buying your property, things like that.
So just go to www.ApartmentSpecialists.co.nz and put your email in and download the report, and I hope it helps. Anyway, I look forward to seeing you next time. Talk soon.