The good news for Kyneton with the falling property prices

*this article first appeared in the Midland Express in February 2019

If you have been anywhere near print news or digital media lately, you are sure to have been exposed to stories about the falling house prices in Australia, with Victoria forecast to be the hardest hit.

We are told that house prices are falling, and mortgage interest rates are rising, so anyone doing anything with property are likely scratching their heads and wondering what it means for them.

The good news is that it seems that Kyneton and the Macedon Ranges are one of the few regions in Victoria that is and will continue to experience buoyancy and growth.

Property data firm CoreLogic’s latest Pain & Gain report showed that every house or unit sold in the September quarter of 2018 within the Macedon Ranges made a profit, bucking a state-wide trend of tumbling prices.

So what makes Kyneton and the Macedon Ranges in particular seemingly bulletproof from a nationwide plummet in house prices?

Regional country areas like Kyneton, Bendigo, Ballarat and Geelong are still experiencing considerable growth, in part to still affordable stock and access to metropolitan areas. The outperforming of the Melbourne market is also due to the value for money buyers get in regional areas – larger homes, larger plots of land and more cost-effective living.

As a regional town, Kyneton offers a sophisticated culture unlike any other. Events like the Lost Trades Fair and The Kyneton Music Festival not only attract tourists and day-trippers but appeal to individuals buying in the area who seek out a like-minded community of creatives and culture makers.

Growing communities also mean a fresh opportunity. With the relative affordability of housing compared to metro areas, low crime and access to infrastructure means the demand for stock will increase. The potential in this region is continuing to reveal itself, particularly for those in the market to buy or sell.

In short, don’t worry about the market downturn if you are thinking of selling in Kyneton

 

 

Buyer beware: It’s better to inspect than to be sorry

*this article was previously published in the November Midland Express

Buying a home or investment property is likely to be one of the biggest investments most of us will ever make.

We all want to know as much as we can about the condition of the property before we buy, right? We want to avoid problems and extra costs down the track, ensuring that the home or investment is fit for purpose and of sound value.

So why is it that many people agree to purchase without getting a pre-purchase property inspection report?

Building and pest inspections can help safeguard property buyers against investing in fault-ridden properties, as the reports reveal any hidden problems a property may have.

A pre-purchase property inspection building report is a written account of the condition of a property. It will tell you about any significant building defects or problems such as rising damp, movement in the walls (cracking), safety hazards or a faulty roof to name a few. It is usually carried out before you exchange sale contracts so you can identify any problems.

While a building inspection report should identify any visual damage that may have been caused by termites, it usually won’t include the existence of termites or other timber destroying pests. It is advisable to get a separate pest inspection report to ensure you are not buying something riddled with pests.

Here are a two key reasons to get a Build and Pest report before you buy:

  1. so you will know in advance what the problems are
  2. so you can get specialist advice about any major problems and how they will affect the property over time.

Of course, the building inspection report will be one of many things you will need to consider before buying a property. It is a small cost for a lot of peace of mind.

 

 

 

TIPS FOR DECIDING TO SELL OR RENT YOUR PROPERTY

* This article originally published in the February 2018 Midland Express

It’s fair to say the property market can feel like an obstacle course at times.

Everyone has their own bit of advice on real estate, but what is right for your situation may not suit the next person at all. Some key things to consider when tackling the decision of what to do with your existing property when the time comes to move on – should you sell it or rent it out.

Let’s not get emotional

Although difficult, it is critical to making smart and informed financial decisions. Be objective and try to understand why you are considering the options.

Downsizers whose family have left the home might want to keep the family home as it still hold great emotional attachments. Basing decisions about such a large asset can be dangerous territory and can lead to poor financial decisions.

Don’t rush it. Without prudent advice and a thorough understanding your individual financial situation, trying to sell quickly this may not be the right decision either.

Your Cash Flow

Holding on to an investment property could give your finances an injection in the future and present tax incentive, but consider your cashflow in meantime? If your investment is dependent on the projected rental income from the property, consider things like maintenance costs and upkeep, body corporate costs and council rates depending on the property or what if the property is vacant for a period of time for whatever reason. All these things could impact the viability and manageability of your investment.

Investment

Remind yourself why you purchased the home in the first place. Was it a home to live in long term or a financial decision based on market opportunities? If you have strong, reliable information to support the investment, the benefit of turning your home into a rental may outweigh the associated risks.

Are you more confused then ever? Here are our top considerations when deciding whether to rent or sell your existing property.

 

For more on real estate in Kyneton and surrounds, head to jenniferpearce.com.au

 

The Checklist for Evaluating a Home

When house hunting, it can be fun to look through homes that you could potentially call your own. But keep in mind that you are not doing this just for fun. Try not be distracted by decorative tricks that might otherwise hide a structural anomaly.

My recommendation for prospective buyers is to use an Evaluation Checklist to keep track of the most important aspects of the homes you see.

Use the Evaluation Checklist (Link here: The-Checklist-for-Evaluating-a-Home-Feb-2018-2.pdf) when you become seriously interested in a house. It will support you from seeing the property from a less emotional position and make a better and more informed decision.

Do not use this list as a substitute for hiring a Building and Pest Inspector to check out the house thoroughly.  Engaging your own building and pest inspector should be part of your own due diligence before committing to a sale.

Mistakes you need to avoid when putting your house on the market

*this article first appeared in the October edition of the Midland Express 

When selling, a few simple mistakes may leave your home flailing on the market. Fortunately these are easy to avoid and can be managed with some prudent changes.

Don’t ask for too much money. Your house is only worth what the market will pay for it so ensure that you are prepared to list your house at or just around that mark. Pricing your home too high will discourage interested parties from making an offer, and your property could sit for months, which isn’t your goal.

Pick the right agent. Sure, a big brand and nice logo might appeal to you as a seller but when it comes to selecting the right agent, looks might not translate into the best person for the job. Can the agent support you during the stress, help you focus on what matters most and be clear in meeting your needs? If not, find someone who can. Immediately.

Don’t skip the marketing. Everyone wants to cut costs and save some money for other things in life. However cutting costs on marketing is like stopping a clock to save time. You’ll always have to make up for the deficient somewhere else. Marketing is an investment on the bigger return of a house sale. So don’t get your nephew with the good camera to take the photos of your property, pay for the professional who can showcase your home in the best light possible.

Fix the broken. It’s common sense, really. If it’s broke – fix it. Prospective buyers want to envisage themselves moving in and settling immediately, not spending their time fixing damaged and broken fixtures and fittings.

For more on how to get the right sale for your house, head to jenniferpearce.com.au