The selection of the agent you’ll trust to sell your home is the most important decision you make in the selling process. Statistics suggest that almost 20% of sellers choose an agent who is a friend or a relative. However experience has shown that this isn’t the wisest way to select the person who will represent you in one of the largest transactions in your life. There are better ways to ensure you receive top dollar, encounter few problems and sell your home quickly. To begin with you want to hire a full time agent that appears to have a strong record of success in the area in which you are selling. Professional “out of area” agents may be able to do a good job and then again they may just keep you property on the market too long or unintentionally under sell your place as they don’t have the volume of enquiry a local agent would get.

Determining the price is a sellers “catch 22”. Rarely do people pay more than the asking price. It does happen occasionally but the terms of the contract are non standard or you are lucky enough to have more than one person wanting it at the same time. So setting a “high” but realistic price is the way to go. The catch 22 is if the price is too high and your place lingers on the market it could get “the lemon tag”. Everyone begins to assume there is something wrong with it because no one is buying. Buyers rarely expect to pay the asking price but they do expect to pay something close to that price. If your asking price is way over the fair price then you don’t get offers.

Once you make the decision to sell, it is critical that you view your property through the eyes of a prospective buyer. Remember your buyer will be comparing your home to all the others that they may look at. Buyers either emotionally connect to a home or emotionally disconnect with a home. Feelings are generated when they first see your home from the street, or first step inside. These first impressions are extremely powerful.

Your home once listed should be promoted through a number ways agreed upon by you and your agent. The most common methods involve “just listed flyers”, signage, the agent’s website, other internet and paper advertising, open houses, agent window advertising, and promotions to the existing buyer’s database. Within days you should then be getting inspections from buyers. If you have allowed ready access for your agent you will get more inspections than if the access has been restricted. It is important you get feedback from your agent. Often your agent will provide you with the words that a buyer said. Buyers often “clothe” their language to avoid negative feedback to owners.

Reviewing and Negotiating a Contract When a buyer decides to try to purchase your home the agent will normally guide a buyer to put the offer in writing. Often this is in the form of a contract to purchase. With your agent the significance of each part of the contract will be explained. You then have the option to respond in one of three ways: 1. Accept the offer 2. Make a counter offer 3. Reject the offer

A home inspection is something a buyer requests and the cost of the inspection is paid by the buyer. In most cases the buyer has 5 to 7 working days from the date of signing the contract to arrange to have someone inspect the home. A home inspection is an objective visual examination of the physical structure and systems of a home, from the roof to the foundations. The same or a separate inspector may check for damage done by pests such as termites too. The standard inspectors report will include an evaluation of the soundness of the home and may include some opinions as to the general maintenance, current condition and compliance with current council requirements. It is not an appraisal, which determines market value. A home inspector will not “pass” or “fail” a home, but rather describe the physical condition and indicate what may need repair or replacement.

Moving is a hectic and expensive experience and the best tactic is to prepare early. Firstly you must decide if you are going to do the move yourself, whether you need to rent a truck or whether you are going to use a moving company. Obviously using a moving company is by far the easiest way to move but it can be costly. Begin by packing everything yourself. The more you pack the more likely you will be able to find the essential items at the other end. Unpacking usually takes longer than packing itself. And losing things that you absolutely do need is very frustrating.

Clearly in order to buy the home that best suits you; you must determine what you want and what you need. This is more difficult than many people believe it is. Experience has shown that only when a buyer is clear about what kind of home appeals to them that effective work can be done in finding that perfect home. Your home should fit the way you like to live, with spaces and features that suit the whole family. So before you begin looking at homes you should create a list of priorities- things like location and size. Should your home need to be close to certain schools...your job...to public transport? Exactly whatamenitiesare you looking for? And then on your list of minimum requirements should be items you may like to call your “wish list”. Your “wish list” covers things you’d like to have but in the cold light of day are not essential.

It used to be that when someone wished to purchase real estate, they looked at Saturday’s paper and called the agents that had the advertisements that appealed. Or you drove around the suburbs of your choice looking for “For Sale” signs, writing down addresses and calling the agents to ask the listing price and any other relevant details Today it couldn’t be easier. Through the internet you can view the properties and their specifications quickly. You can also check out the suburbs, schools, churches, shopping and also the demographics of the post code of your choice. You are bound to find your initial search often eliminates a large number of properties and neighborhoods that are less suited to your needs.

Once you find your new home you will be ready to make an offer. In order to get your offer accepted (particularly if it is a lot lower that the listed price) you will need some “ammunition” to help you get a better deal. An important part of the process is to arrange to have a pre-approval letter. Being pre-approved makes you a stronger buyer. It signifies to the seller that you are able to purchase based on your assets and income. Plus in a competitive market, it is not uncommon to have multiple offers. Should that situation arise your pre-approval will most likely help to make your offer the most advantageous.

Professional real estate agents have agood knowledgeof the properties for sale in their area. This can be to a buyer’sadvantage. You see trying to personally view every available property in your price range in the area of your choice can be an overwhelming experience. Arranging times to suit all parties can mean that you see far fewer properties per week than you imagined. And then the one property you thought would be good sells before you get to see it. Because you have previously determined your needs and researched the internet you will find that you can zero in on just a few properties. A professional real estate agent can also help by discussing what might be coming on the market, or what has been on the market and withdrawn. Obviously these properties aren’t on the net but may ideally suit your needs too.

Congratulations your offer has been accepted! What next? If you haven’t selected a solicitor to represent you then should. The solicitor's name should be entered on to the contract so that they can receive a copy as quickly as possible. Your solicitor will review the contract and perhaps make some legal modifications if required. They cannot make any changes to dates, prices or terms without permission in writing by the other party. Your solicitor will make sure every legal aspect of the contract is taken care of from purchase through to settlement. They will attend settlement for you and explain all of the settlement documents to you.

Moving is a hectic and expensive experience and the best tactic is to prepare early. Firstly you must decide if you are going to do the move yourself, whether you need to rent a truck or whether you are going to use a moving company. Obviously using a moving company is by far theeasiest wayto move but it can be costly. Begin bypacking everything yourself. The more you pack the more likely you will be able to find the essential items at the other end. Unpacking usually takes longer than packing itself. And losing things that you absolutely do need is very frustrating. Remember tochange your address. Not only do you need to contact the post office to arrange the forwarding of your mail but you will need to contact your credit card companies, car loan company, insurance company and any other companies that you make payments to. You need to send change of address cards to magazine subscriptions, other organizations you do business with, your family and friends. This way, you will not have to rely on the post office to forward all your mail and there will be no delay in receiving it.

Before settlement it is usual to have a final walk through. A few days before settlement you make a final inspection of your soon to be new home. It is wise to “look over” the home to make sure it’s in the condition you expect and to make sure that any repairs agreed to by the seller have been done. You also make sure that any items included in the purchase are there and any items that need to be removed are gone. If anything needs to be addressed, it should be dealt with straight away, so it can all be sorted before settlement.

Investing? Read How Financial Leverage Works financial leverage - site-ezy "Give me a lever and I will move the earth" is an apt metaphor for what real estate can achieve. More than any other form of investment, owning real estate gives you the leverage to use other people's money ... to acquire more real estate. Basically, if you incur the debt, then you profit from all the benefits of owning property (such as rental income and any capital gain) despite the fact that the property value does not reflect your equity in it. Borrowing makes you richer Even better, if the net financial benefits of owning this property are more than the financial costs of interest payments, then borrowing is more profitable to you than owning a debt-free property! This strategy has been used to make people's fortunes! Take a few minutes to do the sums and compare Strategy A (buying property without debt) with Strategy B (buying property using debt). Let's assume the following: Amount to be invested is $290,000. Returns are 5% capital gain, 6% rental income, less 2% outgoings, which makes 9%. Cost of funds is 7%, and your cash deposit is 10%.

This is not the site to learn about cash and shares. They're OK, but Metrocity Realty is not a financial advisory service. We'll tell you right now, we are biased towards property ... we sell real estate! We believe the path to wealth is by using the advantages of well-located property. This site will give you information on how to use property for wealth creation. History has shown the inner suburbs have had the highest capital gains because that's where most people want to live. Like to know more about acquiring investment property? Check out our listings, especially our House of the Week. Fill in the auto-email and we'll help you find your heart's desire.

Choose Something With a Distinctive Feature A single block may contain hundreds of units, so there could always be several in your block on the market at one time. Keep the next potential buyer in mind as you look at it, and see if the unit you choose has that special advantage not enjoyed by other units simultaneously being offered for sale in your block. Think of a better view, a more accessible car-space/garage, a more attractive courtyard, greater privacy (e.g. fewer common walls), being located on the sunny/shady side of the building, or some pleasing architectural detail.

What's the Best Investment: a House or a Unit? Conventional wisdom has it that houses are better investments because they also have land. However, individual units automatically "own" a proportion of the land that the whole building stands upon. So a property's size has little bearing upon its capital growth potential. It's location and building style are much more significant. Think of a one or two-bedroom unit in selected inner suburbs of large capital cities (read "high land value area"). An investment like this could realise higher rates of capital growth than a four-bedroom house on a large block, in the outer suburbs or regional areas. Choose your investment property for its scarcity value and high underlying demand.

Investing? What's the Outlook For Brisbane? Several well-documented factors affect the Brisbane property market, including interstate migration and relative price differences. But a new wave is expected in the coming years, revealed in a study by National Property Research: a surge of international students. The same source quotes a rise from 11,000 to 17,000 over the next three years. And what of the predicted over-supply of units in inner-city Brisbane resulting from the current boom? If this student influx happens, it will give a great boost to the rental market, especially units in the CBD. Apartments are expected to increase to a total of 2,500.

Some Observations ... * The median prices illustrate the "ripple effect", where property prices are highest close to the city, and gradually reduce further from the CBD. * Medium and high-density properties are more affordable for people wishing to live in inner-city areas of major capital cities. This trend will continue as cities get larger. This makes it important, particularly to investors, how these dwellings are designed and where located. The astute investor in such markets will be looking ahead seven to ten years, and will buy a dwelling with a good floor plan and location, within easy reach of major employment centres and leisure facilities. * Brisbane, Perth and Adelaide look relatively cheap, compared to Sydney and Melbourne. Smaller populations mean cheaper houses, townhouses, flats and apartments. But all cities have had strong growth over the past few years, although nowhere near that of Sydney and Melbourne.

Investing? Buying's the Fun Part. But Plan For No-Fun Fees! Buying property can be very exciting, but the associated taxes, fees and charges can add thousands to the cost. Plan ahead to avoid unpleasant surprises or hardship. Lending Nearly all lenders charge an establishment fee of between $600 and $1,000 on new home loans. Some will waive this fee to get your business (so you could pay in some other way, there being no such thing as a free lunch). Most banks also charge monthly or annual account fees. Inspections Before purchase, it's wise to get inspections for the building and for pests. Building inspections cost from $250 for a small house or flat, to more than $1,000 for a large property. Pest inspections cost around $250. Stamp Duty Stamp duty is payable on real property acquisitions AND on the contract of finance you have with the bank. For Queensland property, there are three rates: non-owner-occupied, owner-occupied and concessional. Legals "Conveyancing" is the term for the legal transfer of ownership, and solicitors, professional conveyancers or estate agents generally do this, for a fee of $600-$800 for an average-priced home. You can do it yourself with a special kit, costing between $70 and $150, and available from ...

Investing? See How Negative Gearing is Positive! Here's your choice: which would you rather pay? * 7% interest, which is tax-deductible, or * 48.5% tax, which of course isn't. The word "negative" seems to be so pessimistic, and the perception is that you need to lose money. But think about these tax deductions which are not an expense: * Depreciation on your building cost; * Depreciation on contents; * Borrowing cost over three to five years Think about the benefits of these, also: * Capital gains; Prepayment of interest; * Borrowing interest against your own home, which can be set up so your tax is reduced while increasing your wealth. This is how negative gearing becomes positive gearing.

Investing? The Difference Between Rental Value and Capital Value Did you know that the best investment properties grow in CAPITAL value faster than they grow in RENTAL value? This is because rental income rises at a different rate to capital value. Low rental returns can indicate high capital value and high capital return potential. Don't believe it? Take a few minutes to go through these two examples:

Investing? It's Wise to Know What Retirees Want It's no longer possible (or smart!) to ignore retirees, because their needs are starting to affect the property market. Think about this: * Australia's population is aging. * The number of retirees will double in the period to 2021. * By then, they will represent 11-16% of the population. * By 2030, Australians aged 65 or over will number five million. * The Baby Boomers are starting to retire NOW. Older, But Just As Stroppy For decades, this well-educated, active, politically-informed and assertive group has greatly influenced TV, movies and music. Now this huge customer-base will start to want certain things from the property market, either as tenants or investors.

Investing? What To Bring To the Loan Interview * 100 points of identification, e.g. passport, driver's licence, two credit cards etc. * Tax file number. * A letter from your employer on company letterhead, stating your position held, annual income and length of service, or three pay slips with YTD figure (If you are self-employed, contact your branch for details). * Tax returns for the past two to three years. * A copy of your group certificate for the last financial year. * Savings history-minimum three months of statements per account. * Record of investments, e.g. shares, unit trusts. * Existing loan account history-minimum 12 months of statements per loan. * Credit/store cards-last statement of account showing current balance. * Statement of life-insurance/superannuation. * Evidence of cash gift (if applicable). * Declaration, if you cannot supply income details. * Contract of sale for purchase of property, if already contracted. * Receipt for deposit paid for purchase of property. * Letter from real estate agent, confirming rental income, for investment loans.

How we help you with additional services You've read our policies on all the regular aspects of property management-but we also have a policy to do whatever else we can to make your investment really work for you. "Going the extra mile", you'll agree, makes a big difference! You may expect us to ... Negotiate lease renewals and complete this paperwork at no additional cost. Automatically review rents on the renewal of tenancies. Check rental arrears daily, and send appropriate notices. Attend the Small Claims Tribunal, when necessary, on your behalf. Mail you a statement at the end of every month, with any current correspondence attached. Show valuers through your property.

How we help you to advertise your vacant property A vacant investment property, no matter how desirable the property is, can be a source of worry. No tenant equals no rent coming in. No rent means you worry about your investment future. You will only feel peace-of-mind when a good tenant is settled into your property and begins paying for the home-provision service you're continuously supplying. But take a moment to check out our amazing guarantees.

How we help you get the best tenant You've heard the horror stories of the Tenant from Hell-the person who present as a charming and attractive human being, then turns into a monster, wrecks property, defaults on rent, and ruins the neighbourhood peace ... At Metrocity Realty, we drastically reduce the odds of this happening to you. Sure, it may happen if you don't take the trouble to ask people for references, or fail to check people's background. But we know what information may be gathered about potential tenants, and then do this for you.

Helping you with property maintenance You've no doubt heard more alarming stories about agents who do absolutely nothing to look after properties beyond writing receipts for rent. Even that they do grudgingly! For them, property management is regarded as the "nuisance" factor in their business. For us, property management is our main focus! So you'll feel reassured to know that because property management forms the main part of our business, we jealously guard our reputation for efficiency and integrity. You believe that property management should be more than just rent-collection. So do we! Management, to us, means fixing problems before they become disasters. It means knowing WHAT SHOULD HAPPEN AND WHEN in a planned maintenance regime.

The investor's dilemma: furnish or not? Advantages of furnishing your property include ... 1. Depreciation over a five-year period; 2. Higher rental can be charged; 3. Attractive to those "house-free" professionals who move frequently because of their jobs; 4. Furniture is essential in short-term and up-market accommodation properties. Disadvantages of furnishing your property include ... * Items may be stolen; * Wear and tear; * Tastes differ, so finding tenants who both need and like your furniture could be difficult; * It attracts transients, which means increased turnover costs; * In outer suburbs, there is less demand for furnished properties; * Old furniture brings down rental yield; * Financing furniture packages can be a problem.

Helping you with vacating tenants Happy endings don't just belong in fairy tales. They are just as important when your tenant decides to move house. It's so easy to focus on the exciting future rather than the mundane present. In the case of tenants, having mentally said "goodbye" to your property, they may overlook certain obligations. Our job is to make sure they know what their obligations are, and to make it as painless as possible for them to do the right thing by you.

Our surprising guarantees to you "Client focus" (anticipating and filling your needs) is the cornerstone of Metrocity Realty's property management services. You'll feel very reassured with the following guarantees: Performance guarantee ... We guarantee that you will recognise and appreciate our ethical, hard-working approach to the management of your property because we undertake to do the following: * During the first six months of our professional services, if you feel in any way let down, then we will refund all the management fees collected-without hesitation. * Also, we will pass over all information we have on file about your property to the party of your choice. This will be done in a professional, courteous and pleasant manner. * To ensure a smooth transition, we will likewise assist any other property manager with any relevant information for an unlimited period.

Our fees are amazingly low! At Metrocity Realty, we charge at the low end of the scale, which amounts to 8% of the rent plus GST. We feel that this is a fair and reasonable recompense for our services. Low fees DON'T mean poor service. BONUS: WE SHARE THE PAIN OF VACANCY! Here's how we minimise it: * Free advertising in the Courier Mail; * Listing your property on two websites; * Free court fees if vacancy is caused by defaulting tenant.

Investing? The A to Z of tax-deductible items against rental income (Note: we are providing a guide only. To be absolutely sure, consult your accountant as tax laws may change.)

Investing? The GST and property management The GST's relation to property management can be confusing. You pay GST on most of the goods and services associated with holding a residential investment property, such as: * property management and associated fees; * materials and labour for repairs and maintenance; * body corporate fees, if your property is a strata-titled unit; * insurance. You DON'T pay GST on council rates, water and sewerage fees. Nor is GST paid on rent. Most businesspeople can separate their GST expenditure from the actual cost of the expense, then claim it back in full at the appropriate time. But residential property investors are input-taxed. This means that while you pay GST on most goods and services for your property, you can't claim it back separately.

If you're a landlord, here's my tip for the future: A good way for landlords to increase their rent ... and an idea that costs nothing ... is to persuade a body corporate to vote to allow a pet, for example, a single pet at less than 6kg. This weight restriction cuts out potential headaches (like St Bernards or Irish wolfhounds) for neighbours. Make it legal and you'll have a hungry horde, and $10 or $20 a week extra rent.

Worried about vacancy? What is the effect of vacancy on your investment return? Many people "over-worry" about vacancy. But the prime concern for an investor is to obtain property in an area that rises in capital growth, and not worry about how good a bargain it is at the time of purchase. For reassurance, check out the figures below, and also go to my Joan and Steve example (in BUYING).

What some of our clients say about Metrocity's property management services Metrocity Realty have managed my unit at St Lucia for some years, and I find them very helpful. I'm happy with them being our agents. - Ellen Irving,of Burleigh Heads. I've dealt with Sue May and Greg Jackson, and they're great, but I can honestly say that I have mainly dealt with one person, Kylie Jackson. She knows my needs always responds quickly. When I've needed tradespeople to come, Kylie has always met me at the property. She's very efficient-wonderful, really! -Helen Trifyllis, of Greenslopes, whose West End unit has been managed by Metrocity Realty for several years.

What tenants expect nowadays when they lease your property The days of old, unmatched carpeting, tired bathrooms and primitive kitchens for a tenant are gone. Tenants now expect a clean, tidy property. If there's a choice between paying more for a nice place with better quality fittings, or paying slightly less for a poorly presented property, they will usually go for "nice". Twenty years ago, your typical older tenant usually rented an affordable property alone. Today, people are more prepared to co-habit in a superior property. The one whose name is on the lease often rents out at up to $140 per bedroom with two or three other people helping to pay the rent..