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Yamba Real Estate Buyers flock to Open Homes!

Mon, 23 Jan 2012 08:43:00 +0800

If you believe all the reports that are flowing from some sections of the media lately, you would have some serious concerns about the state of the economy and where we are all heading in the next couple of years. According to them there is doom and gloom around every corner and it's inevitable that we are about to plunge into another global financial crisis.

Real estate 'experts' who are predicting a collapse in the Australian real estate market can be found espousing their views in newspapers and their scaremongering can be easy to swallow if you don't seek out balanced alternative views.

These predictions of collapse seem to run counter to what is happening in the market at present. Sure there are some good buys to be had after a flat year in 2011 with prices easing in many areas. The drop in prices is part of a normal real estate cycle and leads to more buyer interest in the market. Rental properties in Sydney are still attracting large crowds of potential tenants at each viewing with prospective tenants offering above the advertised rent in the hope of gaining a result. Hard to see any collapse happening there any time soon.

Here in Yamba over the weekend there were plenty of signs that things are starting to turn. Normally on a Saturday there are about ten open houses in Yamba each week but this last weekend saw over twenty. The really interesting thing was the attendances at these open homes. It was a continual procession of prospective buyers at each one and the agents were run off their feet. That is a complete turnaround from last year when many open homes were lonely places with the only inhabitant being a lonely discouraged agent.

It's always good to remember that the real estate market is a cyclical one. It will always go up and down, which is why it should be viewed as a long term investment. Right now it seems the lower prices are starting to attract more and more buyers out of their hibernation to seek out a bargain. They know that if you buy well and hold on to the property long term, it becomes a good investment.

Need some help? A professional Buyer's Agent can give you the edge to make sure you get it right. The sellers have a professional agent working for them to get the most money they can from you.

It make sense to even the playing field by using your own Buyer's Agent like Home Buyers Advantage.

Cheers

Dave

Yamba and Northern Rivers Property Update!

Tue, 03 Jan 2012 09:50:00 +0800

The current question on the minds of many home buyers and investors is this . . . .

Has the market already hit the bottom and started to turn?

The situation in Europe, which has caused a recent roller-coaster ride in the share markets, seems to be settling down which is raising the sentiment and interest of many investors. House prices around the country seem to have stabilised and in many instances are on the rise again.

Could the market have bottomed out? Capital City house prices finally on the up!

If it has turned, and we'll only know with hindsight when the statistics come out in a few months, now could be an ideal time to pick up a great buy. Interest rates are expected to ease more over the next six months, it's still a buyers market and there are some terrific properties on the market in Yamba and the Northern Rivers area.

Imagine if you were one of the current sellers. How you would be feeling right now? Property prices have been declining for the last year or so and you still haven't sold. You had great hopes of clinching a sale over the holiday season, and yet here you still are, waiting, and getting more frustrated by the day. If only a buyer, any buyer, would come along and at least make an offer . . .give you something to consider!

Not so good for them, but on the other hand if you're a prospective buyer . . . .well that's a whole different perspective. Then what you're seeing is stable or dropping interest rates, a market that is showing signs of bouncing off the bottom, and frustrated sellers looking for someone to help them move on with their lives.

That could be you!

Any investment comes with a degree of potential risk, so you need to have as many factors in your favour as you can. It's the first time since the GFC that the factors that influence the real estate market have been lined up as they are now. It's enough to make some buyers take the plunge which may turn the tide even quicker. Property the best investment - past, present and future?

If owning a piece of real estate paradise like Yamba or the Northern Rivers is one of your New Year's resolutions, then now could be the time to act. Don't have the time or energy to do all the required market research? The drop us a line to see how easy we can make it for you.

Cheers and Happy New Year!

Dave

Yamba & Nothern Rivers Property Market - Xmas wrap up!

Thu, 15 Dec 2011 10:37:00 +0800

Another Christmas is quickly approaching and soon we'll be into 2012. It's an appropriate time to wish you all a very Merry Christmas and to look back over the year and see how the real estate market has been performing, especially in comparison to all the predictions by the experts in the media. There has been large amounts of negative commentary coming from economists and politicians in the last 12 months and as a result a lot of fear has existed among the general population which has resulted in many potential buyers keeping their hands firmly in their pockets. Who could blame them with the constant barrage of negativity on the news every night.

The reality though has looked somewhat different from the predictions. The Australian economy is still strong, unemployment is lower than predicted, the resources sector is still booming with more multi-billion dollar projects on the board, and many areas have had relatively strong property markets with housing finance figures on the rise in the latter part of the year.

One thing that has been missing from the markets, and perhaps the most important thing, is confidence. Finding the truth of matters has become one of the biggest problems facing everyone. These days even if you see it there is no guarantee you'll believe it! It's no wonder confidence has been low.

In spite of all the negative predictions, things have really turned out ok. Interest rates did not rise, in fact we have had two recent drops. Housing values did not collapse as were predicted many times, mines did not close and we didn't descend into another GFC.

In the Northern Rivers area property prices have come back a bit but sales are still happening and are in fact picking up. The Yamba property market remains resilient and is poised to take off when buyers realise what is on offer.

Many of the elements that influence the real estate market are starting to line up and it all suggests a stronger market performance in 2012.

Here's some facts . . . . . .

Home finance commitments have risen for seven consecutive months.
Mortgage brokers report a strong rise in inquiry from first-home buyers and investors.
The RBA has cut interest rates twice, passed on in full by most major lenders.
Affordability has improved thanks to lower prices, lower rates and rising incomes.
The national economy has recorded two consecutive strong quarters of growth.
Unemployment continues to be low.
The construction boom arising out the resources sector is only just beginning.

If you've been waiting for the bottom of the market before you jump in, be careful . . . . you may have missed it! The buyers are returning already. At present it's only a trickle but it could soon be a flood because there are some excellent buying opportunities available.

Merry Christmas

Dave

DUPLICATE Opportunity is Knocking!

Wed, 14 Dec 2011 11:43:22 +0800

They say that opportunity is a fleeting visitor!

You may find it staring you in the face or, more likely you will just catch a glimpse as it passes by. Sometimes the opportunity is gone before you even realise you were interested in it. Someone else has grabbed on to your opportunity and all you're left with is that hollow feeling of missing out again on your desires and needs.

This is especially true when it comes to buying property. Many home buyers miss out on their dream property because they are dragged back by feelings of fear and anxiety. Procrastination creeps in and the opportunities slip on by.

All buyers are driven by certain emotions, regardless of what they are buying.

The two most common emotions are pleasure and pain, and buyers will always ask themselves certain key questions to help them decide between the two.

Will buying the item give you pleasure or will it relieve an existing pain?

In real estate terms it can be a new holiday home for pleasure, or the need to relieve the pain of too many people living under one roof.

Will it be worth it if you do buy it?

In other words, will your investment of time, effort and money be worth it in the long run? Will it bring you pleasure or pain over time?

What will others say?

This is a big one for many buyers. Will your family and friends agree with you? How will they view your decision? Will their reactions give you pleasure or pain?

Do you really need it now?

After all, it's so easy to procrastinate even if it seems like a great deal. The potential risk of pain outweighs the desire for pleasure and the opportunity is gone!

The reality for many real estate buyers is they don't have the knowledge to overcome the fears that arise when making one of life's major decisions. They become paralysed with indecision until they can gain more knowledge to make the decision less fearful.

This has been especially prevalent recently with many investors and home buyers sitting on the sidelines fearful of entering the market. The share market has been shaky and the usual flight back to bricks and mortar has been slow, but it is starting to change as the opportunities become greater.

Recently released statistics are showing an increase in the number of property investors taking advantage of the opportunities that exist in the current buyers market. The country's largest mortgage broker, Australian Finance Group, reports mortgage sales at an eighteen month high with 38% of mortgages going to investors. Owner occupier loans and approvals to first home buyers are also on the increase.

The obvious conclusion is that increasing numbers of property buyers are seeing a more stable outlook for the market. Interest rates have been stable for many months and the indications are that the next move in rates may be down. Tensions in the European economies seem to be easing with more confidence returning to the market. House prices have eased in many parts of the country and there is still a higher than average number of properties on the market to choose from. Underlying it all is the Australian economy, which continues to purr along, bouncing over the obstacles that have recently faced so many other economies.

All of these factors have helped an increasing number of buyers to overcomes their doubts and fears and start focussing on the opportunities that currently lie hidden among the myriad of properties on the market. They know the underlying strength of the market and the search is on for the best opportunities.

What should you look for?

When buying real estate, great deals occur when opportunity meets preparation. That's where we can help each other!

Here at Home Buyers Advantage, it's our job to dive into the real estate market, and come up with the best opportunities out there. By constantly studying and watching the property market we can quickly spot these opportunities when they first surface and you can be the first to know. Remember that knowledge will help overcome the fear of buying. The good news is you don't have to gain the knowledge yourself. You can have the knowledge and experience gained by our constant research to help you decide.

Opportunity is the first stage to a great property deal, and opportunity 'knocks', but sometimes not very loudly and usually not for long.

Simply tell us what's on your wish list and we can do all the looking for you and help shortlist the perfect property.

It wasn't long ago that the buyer pool was empty. But the water is trickling in again and the flow is increasing. Pretty soon everyone will want to be in the pool! The clever buyers will be sitting on the side by then, watching all the commotion with a smile on their face and their own opportunity tucked safely away.

Some Northern Rivers areas are shaping up as a perfect Real Estate storm.

Golden opportunities already exist and are sure to be the first targeted by the coming influx of buyers.

Like to know where these locations are . . . .Get a free report!

Cheers

Dave

Christmas present for real estate buyers!

Wed, 07 Dec 2011 11:13:00 +0800

It's the Christmas present all homeowners were hoping for – the Reserve Bank of Australia (RBA) has lowered the cash rate to 4.25 per cent in its final meeting of the year. It's the second drop in two months making the property market that much more inviting to the many potential buyers who have been sitting on the fence in recent times. It seems many buyers are waiting for the market to bottom out or for some other magical signal that tells them it's ok to buy again.

Property markets are affected by many factors including interest rates, unemployment, inflation, etc. The majority of these issues lead to one thing: consumer confidence. This is the most influential factor on the property market – and the economy. If we feel happy and confident, we're more likely to spend money. If we're feeling unsure and remain cautious, we're more likely to save money.

Right now the signals are flashing brightly for those who are looking in the right places. There are signals of improving activity – such as six consecutive months of rising home loans and increased loan inquiry from first-home buyers and investors – but a consumer sentiment survey has found ongoing hesitance to get back into the market.

Recent interest rate cuts, high savings and low mortgage stress, mean prospective home buyers are in a relatively good position. Reticence about buying property seems linked to the perceived state of the economy, not to the personal financial state of consumers. The Australian economy is quite strong when compared to the rest of the world. It's the fear of 'what might happen' that is keeping markets in turmoil and the herd of potential real estate buyers aimlessly wandering and unable to make independent decisions.

The trouble is, you can only tell where the bottom of the market was after it has passed. Statistics on sales will always lag a few months behind the reality of the marketplace. I've written before about the best way I know to pick the bottom of a market but it remains an elusive thing to get right.

For some markets in Australia the bottom has already passed and yesterday's interest rate drop will increase the number of buyers willing to take the plunge and jump into the market. Not long after that the rest of the herd will start to take notice and pretty soon the best properties will be snapped up.

Currently, there are some excellent buying opportunities available from distressed sellers who have been waiting for the market to turn, so if you have been waiting for the bottom you had better get busy before the herd comes trampling along.

If you have any questions about real estate in Yamba, Clarence Valley or Northern Rivers simply drop us a line and we'll help however we can.

Cheers

Dave

Maclean Property - Acreage in town!

Tue, 29 Nov 2011 11:34:00 +0800

Working as a Buyers Agent you get to meet all sorts of people, both buyers and sellers, and occasionally you stumble across a gem of a 'silent listing', one of those properties where the sellers are not quite ready for the hassles of the open market, but are getting prepared. It usually starts with an innocent question like, "Hey Dave, have you got a buyer for our home?"

"I wish I did, it's a great property!" is what flashed into my head, but I replied with, "I'll have a check and get back to you. Are you serious about selling?"

"Yeah," they replied, "We're heading back home, down south as soon as we get things sorted. You know the place and who it would suit, so if you think of someone, let us know. Whatever we can save on agents fees we can pass it on to the buyers."

"Ok, sound good, I'll ask around." I replied.

Yeah I know the place, I remember thinking when they bought it "What a good mix of ingredients for a property!"

Nestled on the slopes of a hill in the Maclean township, it's a lightly treed, grassy 2 acres, only a 10-15 minute stroll into Maclean CBD. With a sweeping driveway that leads to a two storey, 3 bedroom home, balconies on both levels looking out over the valley and town to the river beyond. Plenty of garden beds for vegies and herbs, plenty of room for kids to run, a creek down the back and an in-ground pool to cool them down.

Inside the living areas are open plan, with atrium ceilings to take in the view, and a fireplace to keep warm in winter. There's even back to the grid solar power!

It's a great property all right, with plenty of peace and serenity, but the clincher for me was the location! A two acre property, within walking distance to the Maclean CBD, with the potential to subdivide in the future, (subject to council approval), of course, in a town that's basically run out of land.

Maclean is a town that has a proposal on the board to redevelop the CBD and riverfront precinct into boardwalks, with coffee and specialty shops, and a marina. It's also a town that has run out of land and new buyers are being forced further out to Gulmarrad to find bigger blocks of land.

That's what makes this home one that will always be attractive when it hits the market! When it does in a few short weeks, it will probably be listed at $440k -$450k.

Right now it's not on the market, except to anyone I can find who might be interested in saving at least $10k-$15k off this price!

If's that's you, and you would like to know more about this short term opportunity, just drop me a line here!

Cheers

Dave

Yamba and Northen Rivers Property update!

Tue, 22 Nov 2011 09:38:00 +0800

The holiday season is fast approaching again and areas in the Northern Rivers are getting ready for the influx of tourists. Along with the arrival of the holiday makers comes an increase in real estate enquiry and sales.

While it's been a buyer's market in real estate in places like Yamba, Maclean, Iluka and other Northern Rivers towns for most of the year, there are more sold stickers starting to be plastered across 'for sale' signs around the area. The fact that many potential buyers are still sitting on the sidelines indicates there's still some speculation that prices may fall further. However it's unlikely, as there is no indication vendors are prepared to drop any further - many are in a position they don't need to.

Speculation on future trends is unwise considering the problems facing Europe, however providing our economy continues to perform well and unemployment doesn't rise (of which there is no indication) - and taking into account that the RBA have also left the door open for further interest rate drops - historical data tells us that at some point house prices will start to rise again.

At present smart buyers realise that they can negotiate a terrific deal on a quality property because there is little competition from other buyers. It's a scenario that comes around only once every property cycle. You can pick and choose the best of what's on offer before everyone else catches on!

There are many major decisions in our life, where we often engage the services of experts. We get help recruiting staff, with financial planning, medical advice, home renovations, the law and accounting – so it makes sense to turn to a property expert for perhaps the biggest purchasing decision of our life.

To begin with, it saves a lot of time. Having a buyer's agent search for ideal homes means you can keep your weekends free to relax and enjoy time with your family and friends.

But you also save yourself a lot of hard work! Searching for the right place, filtering all the options, analysing the merits of potential candidates, then bidding or negotiating for "the right one”, can be a complex and sometimes intimidating process.

A buyer's agent like Home Buyers Advantage understands it all implicitly, and can apply their experience and knowledge to every aspect – so you get the result you want, without the back-breaking effort and stress.

The benefits go beyond time, effort and stress, though. A buyer's agent can also provide a detailed report that informs you of the benefits of your investment. And of course a buying agent is much less emotionally connected to the purchasing decision, so is better able to coolly negotiate the best possible price, bringing balance to the purchasing process.

While it's standard practice to pay an agent to sell your home, we have – until recently – been on our own when it came to buying them. And that can be fraught with danger. It's interesting that about 96% of all sellers use a real estate agent to help when selling their property, whilst less than 2% of purchasers use a professional Buyers Agent when buying real estate. The irony is that many more problems occur when purchasing, as opposed to selling real estate.

If you're dealing with a professional sales agent, trained and driven to entice buyers into paying the highest price for a property, why wouldn't you want a skilled property consultant & negotiator to stand up for your best interests?

A buyer's agent like Home Buyers Advantage is the best way to ensure that your interests and needs are considered at all times.

So if a property in the Northern Rivers area is on your wishlist for 2012, drop us a line and find out exactly what we can do to make your life easier, and how much time, effort and money we can save you!

Cheers

Dave

Recent happy clients!

Fri, 28 Oct 2011 07:43:00 +0800

Here's a few short notes from some recent clients!

Just a short note to thank you for your invaluable help in purchasing my new home at Gulmarrad. I was beginning to think I would never find a suitable place until you got involved.

Having "someone who knows the ropes" with me during those inspections and negotiations certainly removed a lot of the stress for me.

I have settled in quite well now and you were right about the neighbours – I almost never see them. Thanks also for keeping me so well informed along the way.

All the best

Mr C Grey

Dave Grams, from Home Buyers Advantage was instrumental in assisting my wife Kerrie and I in the purchase of our property in Maclean.

We had already located our property to purchase, but living in Brisbane and not knowing the true market value of the area we decided to engage Dave to research the property and negotiate on our behalf with the real estate agent.

Dave negotiated successfully for us and then looked after the required inspections and conveyancing with our nominated companies, through to the final inspection just prior to settlement.

Kerrie and I found Dave to be totally professional in his approach, and to the degree of detail he went to in assisting us with our purchase. Home Buyers Advantage proved very beneficial to us.

Regards

P. Thompson

I highly recommend Dave Grams as a buyers' agent. His local knowledge and connections, coupled with his years of real estate experience combine to provide a thorough and professional service.

Dave listens to what you want, does the leg work, advises from a position of on the ground knowledge and negotiates for a successful purchase.

I am delighted with my new property. I was not the easiest buyer but Dave persisted for several months to land one that was just right!

L Stewart

Opportunity is Knocking!

Wed, 19 Oct 2011 12:05:00 +0800

They say that opportunity is a fleeting visitor!

All buyers are driven by certain emotions, regardless of what they are buying.

The two most common emotions are pleasure and pain, and buyers will always ask themselves certain key questions to help them decide between the two.

Will buying the item give you pleasure or will it relieve an existing pain?

In real estate terms it can be a new holiday home for pleasure, or the need to relieve the pain of too many people living under one roof.

Will it be worth it if you do buy it?

In other words, will your investment of time, effort and money be worth it in the long run? Will it bring you pleasure or pain over time?

What will others say?

This is a big one for many buyers. Will your family and friends agree with you? How will they view your decision? Will their reactions give you pleasure or pain?

Do you really need it now?

After all, it's so easy to procrastinate even if it seems like a great deal. The potential risk of pain outweighs the desire for pleasure and the opportunity is gone!

What should you look for?

When buying real estate, great deals occur when opportunity meets preparation. That's where we can help each other!

Opportunity is the first stage to a great property deal, and opportunity 'knocks', but sometimes not very loudly and usually not for long.

Simply tell us what's on your wish list and we can do all the looking for you and help shortlist the perfect property.

Some Northern Rivers areas are shaping up as a perfect Real Estate storm.

Golden opportunities already exist and are sure to be the first targeted by the coming influx of buyers.

Like to know where these locations are . . . .Get a free report!

Cheers

Dave

Why would you buy a Yamba / Northern Rivers property now?

Fri, 30 Sep 2011 13:19:00 +0800

You'd expect a Buyer's Agent to be on the same bandwagon as some property experts that are always pushing the 'it's time to buy now' theory. After all, it's a Buyers Agent's aim to help property buyers to buy the right property at the right price, but they have to want to buy in the first place!

So let's have a realistic look at the present market and see how it stacks up.

As I write this on a sunny spring morning in Yamba, the town bustling with smiling holiday makers, the underlying sentiment of property buyers is one of some confusion and wariness.

After all, they have recently had to contend with rising living costs across the board, a government in crisis struggling to gain ground, and international turmoil in the world markets. The markets are rising and falling with each crisis and then proposed bailout of a European economy.

The media loves feeding this rising fear with stories that are continually focussed on the negative aspects of the current economic situation, yet at the same time, from an international perspective, we have the 'world's best treasurer' who was awarded for steering us safely through a particularly rocky period of economic crisis.

No wonder property buyers are wary! They don't know what to believe.

But after being bombarded with a torrent of negative media coverage, human nature eventually leads us back to the view that life is still ok for most of us, and that life is still marching on.

Occasionally, those big life decisions still have to be made. Baby Boomers are starting to retire in larger numbers than ever before, families are still moving to larger homes to accommodate growing families, and investors are starting to weigh up whether bricks and mortar is a safer bet than the volatile stock market.

Northern Rivers property prices, like a majority of areas around the country, have come back in price this year. For example in Yamba you can buy a low set brick home with 3 bedrooms, 1 bathroom, single garage, for around $310k. That is similar to prices in 2007/2008, pre GFC.

The lower prices go the more buyers that are attracted, right up to the point where the market bottoms out and the upswing follows. Picking this turning point is impossible as market statistics are always lagging the reality of the marketplace. You can only see where the turning point in a market was after it has passed!

If you want to know the best way to get close, here's a previous blog I wrote about it.

The Yamba property market is the same as any market where goods are bought and sold. The price of any product at any time depends on two things . . . supply and demand. If there are more buyers for a product than sellers, the price goes up. Likewise, if there are more sellers than buyers then the price goes down.

A large percentage of buyers for the Yamba and Northern Rivers Real Estate market come from outside areas like Sydney, SE Qld and country NSW. This percentage is likely to increase rapidly as the impact of still high Capital City prices combines with a rapidly growing number of retiring Baby Boomers looking to escape the hustle and bustle. With less retirement savings courtesy of the Global Financial Crisis, the Baby Boomers will be looking favourably at property prices in areas like the Clarence Valley. They can sell the city home, buy in the Clarence Valley and top up the retirement nest egg.

That's a big tick for the demand side!

The climate, lifestyle and environment of the Northern Rivers area creates a demand on their own. The uncrowded beaches and abundant wildlife are a magnet to big city dwellers looking for the next real estate hotspot like Noosa or Byron Bay.

The new Ballina Bypass opens next year which reduces the travelling time for SE Qld buyers. Quicker access creates more demand. It becomes easier to reach that coastal or hinterland dream while still maintaining close contact with friends and relatives in SE Qld.

The number of properties reported being sold by agents is starting to trend slightly upwards. This could be put down to the usual spring increase we see most years in the real estate cycle or it could be the start of something more long term. Only history will tell us!

All I know is that towns like Yamba and Maclean, which both have a shortage of available land, are firmly in the sights of many property buyers looking to escape the hustle and bustle of city life.

You only have to walk round town and chat to the tourists and holiday makers to find out.

A shortage of land creates a scarcity factor which is a great driver of real estate prices. Couple these factors together with a growing number of potential buyers, stable or dropping interest rates, and an economy that's really not performing as badly as the media keeps portraying, and the recipe for the real estate market looks pretty good long term.

That is if you always go in with the view that any property purchase should be looked at with a ten year view. Remember what property prices were like in 2001?

While it is becoming clear that property values are slowing, it's shaping more like a correction than a crash. This means it's a great time to consider property investment, if you spend the time to do your homework that is. While many latecomers only think of purchasing when the market is overheated and the newspapers are full of very high sale results – professional investors stay away until prices have fallen and then search for the best buys.

It's the herd mentality that governs most markets. Most buyers buy when the rush is nearly over and most sellers jump into the market when prices have softened. The most successful investors are seldom pack animals. They break from the herd!

With an increase in homes on the market, hiring your own Buyers Agent to sort through them can be the most beneficial step you can make. Get someone else to do the hard work! It will save you time and effort and you can rest assured that you will be the first in line to know about any new homes on the market.

This is the sort of edge Home Buyers Advantage can give you!

Contact us!

Yamba and Northern Rivers Property Update!

Sun, 28 Aug 2011 12:11:00 +0800

Property markets around the country are presently suffering from a crisis of confidence more than a crisis in prices. With the media constantly focussed on negative reporting of every possible topic lately, it's no wonder that average Australians have kept their hands, and their wallets, in their pockets and have stopped spending. Retailers around the country are suffering as a result.

It's been a constant barrage of negativity from the media about a country, that in reality is a boom nation, but hasn't quite realised it yet. It won't be long before people get sick of the negativity and start searching for something positive to focus on. The volitility on the share markets has seen days where $100 billion, or 4% has been wiped off in 24 hours. In contrast overall the Australian property market has remained fairly stable.

According to the Australian Bureau of Statistics the weighted average across the eight capital cities showed a decline of only 0.1% in the June quarter and the year- on- year result was a decrease of 1.9%. That hardly adds up to a property crash! Even in the Brisbane market, which suffered the devastation of the floods, it has only fallen by 3.6% over 12 months.

So although there has been a lot of negativity and forecasts of doom and gloom on every corner, the property market is holding up well. That means someone must be buying property or prices would really be tanking. Who's doing the buying?

It's the 'Warren Buffets' of the real estate world. Those who can see the opportunities in the current market that the rest of the herd just can't see. Buffett has made himself one of the world’s wealthiest people by acting counter-cyclically. Like many successful people, he buys when everyone is selling. Amongst all the panic selling on share markets recently, Buffett was out there buying strategically. It was only just announced this week that he has invested $5 billion in Bank of America Corp.

I have written before about herd mentality where sellers want to wait for the price to peak before they sell and buyers want to wait for the market to bottom before they jump in. Usually they both miss out. Buyers especially, follow the herd and wait for some magical signal that says the market has hit the bottom. By the time they act the market has moved and they miss the best opportunities to buy at the lowest prices.

Getting in before the rest of the herd gives you greater choice in the market, and many times you can pick up the best properties at a good price. A great property in a great location will always be a better investment than the 'bargain' sale that feels too good to be true. These are the targets for the smart buyers and investors. . .the properties in the right locations, at the right price, that will attract a better type of tenant, and give a better return as a result.

These are the sorts of properties that I have noticed having 'sold' stickersplastered across the 'For Sale' signs in the front yard. It's happening in Yamba, Maclean and other areas across the Northern Rivers. Obviously some buyers have realised there are some gems to be found amongst the increased number of properties on the market. You just have to sift through the dirt to find them, and that means proper research.

With the spring buying season just around the corner and interest rates seemingly on hold, or coming down, there are sure to be an increase in the number of buyers thinking the same way. It will be those who ignore all the background noise, and focus on doing their homework away from the rest of the herd, that can profit from the current state of the market.

Getting professional help is a great way to get ahead of the herd. Having the right research and market comparisons all done for you! Think of the time and stress you will save!

More and more buyers are starting to realise the benefits of using their own professional Buyers Agent like Home Buyers Advantage. We can be your feet on the ground, doing the hard work of sorting through the market to find that special property that's just right for you. Find out more. . .

Kind Regards

Dave

Yamba and Maclean Real Estate - New Developments Approved!

Fri, 29 Jul 2011 10:31:00 +0800

I remember holidaying at Noosa for many years through the late 70's and early 80's. It was a place of crystal clear surf breaks, a pristine National Park, a scenic peaceful river and friendly locals. It was busy most weekends with the influx of surfers and families from Brisbane and beyond, but come Monday morning you could walk down Hastings Street and only pass a few people.

Upriver from Noosa was a sleepy little town of Noosaville curving around the bank of the meandering Noosa River. There was only a couple of motels, a few shops and the obligatory fish and chip shop.

With time comes development, and the Noosa story is one that rivals Byron Bay in terms of real estate development and notoriety as a long term real estate hotspot.

There are many similarities between what happened in the Noosa area and what is starting to unfold in the Clarence Valley, with the towns of Yamba and Maclean. At the mouth of the beautiful Clarence River, Yamba is gaining in popularity and continues to rate highly on lists of real estate hotspots.

Maclean, like Noosaville, is a sleepy little country town nestled beside a beautiful meandering river. But recent new development approvals have been raising eyebrows and making homebuyers and investors sit up and take notice.

Clarence Valley Council has recently approved the development of a new shopping centre for the centre of Maclean township which will link to a proposed new cafe style precinct on the riverfront. With the township of Maclean, like Yamba, having a shortage of available land, new developments have been approved for Gulmarrad and James Creek. These new property developments will total around a thousand new properties for the area and increase the population by around 3500 people.

It seems times are about to change here in the Clarence Valley, and with travel times to SE Qld getting shorter as each new stage of the Ballina bypass opens, you can bet the number of eyes watching the real estate markets in towns like Yamba and Maclean will continue to grow.

Real estate prices in both towns have softened a little like many areas around the country, and it remains a buyers market. But the shortage of available land in both towns gives a good support base for prices. There is nothing better to drive property prices than scarcity.

While the number of properties on the market remains elevated, there are still buyers around and sales are still happening. I have seen some properties lately that stand out from the pack as being great properties and can be bought for an attractive price. I have also seen some of these properties snapped up by buyers who realise the potential of the area, and are grabbing the better properties when they come along.

I remember saying many times, to myself and others . . .'Gee I should have bought that place in Noosa back in the 80's!'

The ingredients for the perfect real estate recipe are coming together in the Yamba and Maclean areas. It's only a matter of time before they cook up a storm of interest in the property markets. How long? Well, home buying and property investment should be looked at as a long term project and not a get rich quick scheme.

The only way to pick the bottom of a market is after it has passed and prices have started to rise again. You have to work with the facts you have at hand, and the indicators are that Yamba and Maclean real estate has a positive outlook.

Cheers

Dave

Real Estate AU - Looking to buy Real Estate in Australia?

Fri, 15 Jul 2011 09:45:00 +0800

Real Estate AU

Are you looking to buy Real Estate in Australia?

Buying real estate in Australia can be a difficult experience if you are trying to do it from overseas or interstate!

How do you buy well if you are limited by what you can see on a computer screen?

How do you know if the price is right if you don't have a good knowledge of the local market?

Wouldn't it be nice to have someone to do all the groundwork for you? Someone with only your best interests at heart! That's what you get with Home Buyers Advantage! You get your own professional buyers agent working just for you, searching for that special home that suits your needs perfectly!

A Buyers Agent specialises in buying property! That's all we do! Buying a property is one of the most significant decisions you will ever make. The decision may only be made a few times in a lifetime and can involve a significant amount of time, money and emotion. It's simply too important not to engage professional help!

Currently the majority of buyers go directly to a real estate agent for advice, however these selling agents are engaged by the seller and may not act in your best interests.

At Home Buyers Advantage we represent you, the buyer, in devising and implementing appropriate strategies and tactics to successfully purchase a particular or suitable property at the best possible purchase price.

We can do all the searching and inspections for you, organise all the building and pest inspections for you, and best of all, negotiate the best price for you.

You'll save all the time, stress and probably money as well!

It's easier to change your lifestyle when you get the right help!

Why not find out how much we can help you? Just contact us.

Yamba holds its value well!

Fri, 08 Jul 2011 07:48:38 +0800

LAND values across the Clarence Valley are holding steady, with a few good sales in Yamba, a recently released land report shows.

Local agents support the data in the PRD Nationwide Clarence Valley Land Report, describing the current market as "flat”.

The report stated that median house prices across the area had risen by 4% for the six months to December 2010, compared to the same period in 2009.

That was just over the five year average growth rate of 3.7 % per year.

Relocation Grant to help Northern Rivers Real Estate!

Fri, 01 Jul 2011 10:10:21 +0800

IN a bid to encourage Sydney families to relocate from the city to the regional areas, the NSW Government has introduced a $7000 relocation grant. The grant which also applies to other metropolitan areas in NSW starts on July 1st and applies to purchases up to $600,000.

For many people looking to escape the hustle and bustle of city life, the new grant will spur them into action. Real estate on the coast and in the country of the Northern Rivers area of NSW is expected to be targetted by buyers who take up the scheme.

This will be especially true for baby boomers who are likely to retire to regional areas. They are already seeing the cheaper property prices in these areas as a way of topping up the retirement fund after selling the metropolitan home. The extra $7000 is an extra bonus.

The biggest difficulty for many prospective buyers is conducting their property search from a distance. While the web can provide some information and pretty pictures, there's nothing quite like a detailed inspection to sort out the wheat from the chaff when it comes to buying real estate. That's why more and more buyers are seeing the value of using a professional Buyers Agent.

A Buyers Agent specialises in buying property. Buying a property is one of the most significant decisions you will ever make. This decision may only be made a few times in a lifetime and can involve a significant amount of time, money and emotion. It is simply too important not to engage professional help!

Currently the majority of buyers go directly to a real estate agent for advice, however these selling agents are engaged by the vendor and may not act in the buyers best interests. At Home Buyers Advantage we represent you, the buyer, in devising and implementing appropriate strategies and tactics to successfully purchase a particular or suitable property at the best possible purchase price.

We carry out an extensive search across your target market to see how many properties meet your criteria. Once we locate any property that meet your requirements, a personal inspection is carried out and a report prepared and sent to you. We'll point out the good and the bad points. This will save you an enormous amount of time, as you won't be disappointed by viewing properties that do not suit your requirements.

We do all that for you!

This report will help you short list any properties with further potential. Then we conduct a thorough market analysis on these properties which will give you a good opinion of what the property is worth and what the expectations of the seller may be. Then we can begin to develop our negotiation strategy.

All of this can happen without you leaving home!

If you decide to inspect these properties (which is always a good idea), we can arrange to pick you up from the airport and accompany you on the inspections. It's all part of the friendly service provided by Home Buyers Advantage.

Think of the time, effort and stress you'll save!

Now, with the new $7000 relocation grant, many buyers will see the logic in using this free money to engage their own Buyers Agent to make the transition so much simpler.

Contact us today to find out about our special relocation grant offer!

Cheers

Dave

Ph 0432 614 725

Home Buyers go against the herd!

Wed, 29 Jun 2011 12:04:00 +0800

Astute property buyers should be looking to buy now rather than wait for the market "herd” to change its outlook, prominent agent John McGrath has argued in his latest blog post.

Quoting investment guru Warren Buffett's aphorism "Be fearful when others are greedy. Be greedy when others are fearful”, the McGrath Real Estate CEO urges buyers take "the umbrella view” and buy while the rest of the market is holding off.

"If you're looking to purchase for the long term, which I always recommend, then a 2.1% decline in prices in the March quarter of 2011 is not going to matter in 2021 when property prices may have, once again, doubled,” he wrote on switzer.com.au.

"If you wait for the herd, there's one thing I can guarantee. When the herd starts buying again, prices will go up, and you'll be kicking yourself you didn't grab this current window of opportunity,” he says.

McGrath also argues that current market weakness – 30% more properties available for sale across Australia than at this time last year, according to RP Data – will not prevail.

"I can tell you with confidence that the weakness we are seeing now is not the beginning of a downward stretch. The fundamentals of our property market are still very good, but right now, we have a little uncertainty going on.

"This relates to volatile global economies especially in Europe, uncertainty relating to interest rates, a more conservative approach to debt and recent natural disasters. From a property market perspective, these are circumstances that are temporary and will resolve themselves,” he says.

McGrath concludes by saying that overall, the market is still heading up and that the market fundamentals (strong population growth, a massive undersupply, increasing rents and a stable economy) will keep property prices strong in the long term.

Picking the turning point in a property market!

Wed, 22 Jun 2011 08:30:00 +0800

Picking the turning point in a property market can reap big rewards for those buyers who jump on the Capital Growth train in the early days of a rising market. Picking the right time to buy is what separates these purchasers from the rest of the pack, most of which get on board when the train is slowing down or pulling into the station. They miss most of the ride!

But how do you know when the train is leaving so you can jump on at the beginning?

You need to find a quick easy way to gauge what is happening in the market right now!
A way to pick the start of an upsurge in interest in a particular property market when it is happening. A way to find out when things start moving before it's reflected in any reports or figures released by the data companies. Historical sales reports are just that . . . History!

You want to know what's happening now!

Well one way to try to find out is to contact all the agents in the area. The reply most will give you is 'Everything's going great, it's a great time to buy or sell.' That's not much help usually, and nor are the figures put out by real estate sites, because they are usually a few months behind the times. You can follow the Auction results in the major Capital cities, but that's not much help if you're in a different market.

So what can give you an up to date, accurate guide to what's really happening in a market?

One way to get ahead of the pack, while the pack sits on the sidelines, is to use the skills and knowledge of your own Buyers Agent like Home Buyers Advantage .

or

Find out how busy the local building and pest inspectors are!

These guys are the first point of call for a buyer after they have agreed to buy a property. Most buyers get the property inspected for structural and pest problems within a few days of agreeing to a price. So who better to know what's going on right now?

Yamba and Northern Rivers Real Estate - Property Update

Tue, 14 Jun 2011 09:16:00 +0800

Yamba and Northern Rivers Real Estate

Property Update.

It's still a buyers market across the country with more property for sale across Australia than at any time in the last three years. But recently I have noticed more 'Sold' stickers appearing on real estate signs throughout Yamba and the Northern Rivers area. Obviously some buyers are starting to realise there are some great buys to be had at the moment.

The latest Domain newsletter says. . . 'double the number of home loans were approved in April than what the market was expecting. The number of home loans approved in the month rose 4.8 per cent, to a seasonally adjusted 47,347, official data shows.

Economists' forecasts had centred on a 2.3 per cent rise in housing finance commitments for the month. JP Morgan economist Ben Jarman said the data was much stronger than he had expected. Generally, it seems pretty strong across the board - Victoria, NSW, Western Australia all posting pretty solid gains.'

For home sellers,trying to sell in a flat market is tough and I often wonder why more and more properties come onto the market at these times when it is harder to attract a decent offer. On the other hand it is baffling to watch buyers ignore the opportunities the current market presents.

It's the herd mentality that so often controls many markets. Sellers want to wait for the price to peak before they sell and buyers want to wait for the market to bottom before they jump in. Usually they both miss out. Buyers especially, follow the herd and wait for some magical signal that says the market has hit the bottom. By the time they act the market has moved and they miss the best opportunities to buy at the lowest prices.

Many buyers are waiting at the moment because of the threat of rising interest rates.

But as Terry Ryder from 'Hotspotting' explains. . . .

It's not interest rates, it's a crisis of confidence - but not everywhere!

Media tends to blame interest rates for every scrap of adverse data from the Australian Bureau of Statistics. It's the fallback position for writers who don't understand their subject and lack imagination, but would like to appear knowledgeable.

When ABS figures released in early April showed a decline in housing finance approvals, economists rushed into print, attributing the fall to interest rates. In reality, it had little to do with interest rates.

It's become fashionable for commentators and writers to say that the real estate market is flat, that there will be little capital growth this year and that it's all because of interest rates.

As is so often the case, the research proves them wrong. The most recent surveys show that the level of interest rates is not the key issue in the minds of consumers.

The surveys confirm what the ABS statistics tell us. Consumers are not spending because their confidence levels are low. Consumers feel battered by a series of recent events:

a federal election that has given us a government without a clear majority, resulting in a lack of decisive leadership.

a series of natural disasters, both within and outside Australia, which have left people feeling less than secure in the world

big increases in petrol prices and family food costs that are straining family budgets

the prospect of big increases in electricity and water bills, causing more stress

concerns that the carbon tax will add further expense to their lives

negativity in the media about real estate (as well as everything else).

Compared to those concerns, interest rates have faded into the background. The last RBA increase was almost six months ago, the current levels are not particularly high and the RBA governor has made it clear he doesn't plan any more increases any time soon.

So the next time you read an "expert" telling you the property market is dead because of interest rate rises, turn the page.

Real estate is not dead. In many locations, sales activity has fallen and price rises have slowed down or stopped, but markets continue to do business.

In specific locations, markets are alive and kicking goals.

The problem is generalisation. Anyone who speaks about "the Australian property market" clearly doesn't understand the subject because there is no Australian property market. There are thousands of different markets across the nation and they are all moving in different directions and at different speeds.

Markets are continually moving and there are always some gems to be found at any time. You just have to sift through the dirt to find them. In a buyers market like now, it can get a bit tougher to find as there is so much competition for your attention. You have more properties to select from, which means you need more time and more effort to work out where the best buys are.

It means more phone calls, more inspections, more head scratching trying to get a clear picture of the real value of each property. Some sellers will be competing with each other to attract a buyer, while others are happy to sit on their price and wait it out. That makes it difficult to get a feel for the true market.

You need to spend a lot more time on your market analysis to help you work out an accurate market value for each property you inspect. It's the only way to uncover those 'hidden gems!'

Don't have the time or the energy?

Some people love house hunting and the cut and thrust of the real estate world, while others find it stressful,frustrating and too time consuming. If you fall into this category then Home Buyers Advantage provides the perfect solution. We can take away the stress and frustration and making finding that perfect property as simple as saying yes or no.

We find property for home buyers throughout the whole Northern Rivers area, both coast and country. So if you'd like to own your own piece of Real Estate in places like

Byron Bay, Lennox Heads, Mullumbimby, Evans Head, Yamba, Maclean, Grafton or anywhere on the Northern Rivers, then your first contact point should be to Home Buyers Advantage.

It's worth finding out just how much help we can be! Contact us.

Cheers

Dave

Northern Rivers Real Estate.

Tue, 07 Jun 2011 09:22:00 +0800

Looking for property in the Northern Rivers area of NSW?

In this one compact region, you'll discover the endless stretch of Pacific Coast beaches that gave birth to the Australian surfing legend; lush rolling countryside dotted with quaint and quirky townships; rugged cattle country; mystical rainforests; and deep river gorges disappearing up into the mountains.

You'll be more than spoiled for your choice of property in the Northern Rivers region!

What about a Sea Change?

There's beautiful coastal areas with fabulous places like Byron Bay, Ballina, Lennox Head, Evans Head, Yamba, Iluka and much more. Some of the best property is available in some of the best Real Estate Hotspots on the east coast of Australia. If you're thinking of a sea change and would like some free advice on the best spots contact us here at Home Buyers Advantage.

Maybe a Tree Change?

If you're looking for the quiet country life you can choose from scenic mountain views, or life on one of the many rivers, or maybe the community life in a village atmosphere appeals. You can take your pick from places like Mullumbimby, Bangalow, Maclean, Uki, Nimbin, Brushgrove and many more. If this sounds more like your lifestyle and you'd like some help simply contact us.

Amongst the vast choice of Real Estate options available in the Northern Rivers area is one that's sure to match up with your dream home and lifestyle. You just have to find it!

That's where we can help!

We can do all the searching and inspections for you, organise all the building and pest inspections for you, and best of all, negotiate the best price for you.

You'll save all the time, stress and probably money as well!

It's easier to change your lifestyle when you get the right help!

Why not find out how much we can help you? Just contact us.

Yamba picked as a Hotspot again!

Thu, 02 Jun 2011 08:05:00 +0800

It seems whenever someone goes searching for the 'new' Noosa or the 'new' Byron Bay, one northern New South Wales town keeps coming to the top of the list - Yamba.

When it comes to real estate hotspots, this is one to watch.

It was named Australia's Top Town in 2009 and has come to the fore again in an article in the Sydney Morning Herald on June 1st.

Here's a link to the article. . . click here.

The Clock is Ticking for some Yamba Home Sellers!

Mon, 16 May 2011 14:10:00 +0800


	The Clock is Ticking for some Yamba Home Sellers! Now is the time to pick up a bargain! As the old Real Estate saying goes 'you make your money when you buy not when you sell'. That means buying at a price which is below the current market value and picking up an immediate capital gain. But to do that you need to find the more desperate sellers amongst the many properties on the market. For home sellers around Australia the exiting days of putting your home on the market, being trampled by buyers in a rush, and getting more than you hoped for are over. Now, in most parts of the country, it's a buyers market.That means more properties on the market, longer days on the market, and prices which have slowed, plateaued, or in some areas, decreased. Home sellers are facing three choices at the moment. They can stick with the price they currently have and wait for the market to improve, all the while keeping their home inspection ready. They can lower their price to attract more buyers or they can take the property off the market. For some sellers, who urgently need to sell, it means selling for less than they paid and moving on. This is great if you are a buyer, but how do you find these bargains that are out there? Here's the good news . . .You don't have to, because we've already done it! At Home Buyers Advantage we've scoured through all the listings for sale in the Yamba area and come up with a list of properties that are for sale below their previous buy price and represent terrific value buying! These are great Yamba properties that are currently on the market well below what the current owners have paid for them, and that's before we start to negotiate an even lower price! All that is required is some savvy buyers who want to get ahead of the market! If you're interested in other areas we can do the same for you there. That's the advantage of having your own Buyers Agent working just for you to search out the right property at thr right price. Want to know more about where these properties are? Simply contact us here. Cheers Dave

How to take advantage of a Buyer's Market!

Mon, 09 May 2011 11:53:00 +0800

Media reports continue to come out around the country claiming that Australian Real Estate is firming as a Buyers Market. More and more properties are going onto the market each week, while fewer are being sold. That's the definition of a Buyers Market . . .more sellers and fewer buyers!

At present not many of the total potential buyers are actually buying. The simple equation of supply and demand is back in favour of the buyer and that puts clever buyers back in the box seat. They know there are opportunities just waiting to be found. It just takes research and discipline to sift through the real estate pile to find the gems that are always there.

With properties taking longer to sell, it's only natural that the more desperate sellers will start discounting in an effort to buy their way to the top of the buyer list. This is great for buyers! But remember, there will still be sellers hanging on to last year's price expectations, so you have to make sure you are comparing apples to apples in your price comparisons.

When it comes to setting prices in a buyers market, things get a lot tougher. Real estate agents aren't magicians. They don't do a 4 year course like a valuer. They make their best hunch on what the price should be, based on other homes that are on the market or other homes that have sold. In a seller's market, they can just chuck on a price and see what sort of response they get from the plentiful buyer supply. But when it's a buyers market, it becomes a lot more difficult for agents to set the list price, because if they set it too high the buyers won't show up at all.

Recent figures report that there are about 245,000 properties for sale across Australia which is a 20% increase when compared to this time last year. In 2010 approx 400,000 properties were sold which was down from around 500,000 in 2009. Things have slowed but not drastically, so diligent research is required to ensure a happy result.

While it is becoming clear that property values are slowing, it is not a crash, simply a correction. This means it's a great time to consider property investment. While many only think of purchasing when the market is overheated and the newspapers are full of very high sale results – professional investors stay away until prices begin to fall. It's the herd mentality that governs most markets. Most buyers buy when the rush is nearly over and most sellers jump into the market when prices are softening, like now.

It is important to ensure that you buy well. However, if like many, you are waiting for the market to crash – it is not looking like a possibility in the near future. The Australian Real Estate market is not a single market. It is made up of many submarkets which can be heading in different directions at the same time. That's why buying in regional areas based on capital city information can be a mistake.

Benefits of a Buyers Market.

A buyers market gives you a greater opportunity to choose. With more properties on the market you can select from a broader choice of homes. That doesn't mean you should procrastinate when you find one you like in the hope a better one will come along. Being decisive can reap great benefits.

Greater negotiating power. Naturally, with fewer buyers, more power is on the side of the buyer in any negotiation. We are seeing a more traditional market now where buyers have their share of homes to choose from. So the negotiation game among sellers and buyers has reached a new level of importance.

It's still important to avoid the temptation to toss out lowball offers, because sellers won't negotiate if they feel insulted. You have to be able to defend your offer as much as the seller has to be able to defend the asking price. If you're not making a full-price offer, it's not enough to pull a number out of the air. You need research and a plan.

You should be able to show that in the area, there are a number of comparable homes for sale, as well as a number of recent comparable completed sales. They must be ‘comparable' properties and not just homes that ‘look' similar. Just because two homes are priced the same and may even have the same layout, doesn't mean that they represent the same value. Different furnishings, fixtures, appliances and fitout could mean a difference of many tens of thousands of dollars.

Researching this information is the most important work you can do when buying real estate, yet so few buyers really go to the effort. They either don't know how to go about it or they simply accept the information provided by the selling agent. This can be a big mistake!

If you are armed with good research you should be able to present a case like this to the seller. ‘Although I like the property, it's priced 5 percent above the other comparable properties.' That gives you a better footing for establishing a winning outcome.

If you're a serious buyer in this buyers market, you really have to be quick to arrive at any reasonably priced homes for sale. These are the ones that are going to see a lot of action and you need to be early to the party. With so many homes on the market, hiring your own Buyers Agent to sort through them can be the most beneficial step you can make. It will save you all that time and effort and you can rest assured that you will be the first in line to know about any new homes on the market.

This is the sort of edge Home Buyers Advantage can give you!

Time's right for a sea change!

Sun, 17 Apr 2011 12:44:00 +0800

This was the headline in another report in Sunday's Sun Herald newspaper. It's seems the sea change movement, which went quiet during the global financial crisis, is set to make a strong comeback. According to demographer Bernard Salt, 'growing prosperity and an ageing population will be the two factors driving the surge towards the coast.'

The report goes on to say, 'With unemployment low and continuing to push down, and the outlook for the economy strong, baby boomers could be looking to shift from the city to the coast in larger numbers.' Where they go will be a matter of their level of prosperity after the financial crisis, and will result in areas with more affordable median prices being targeted.

There's no doubt that capital growth in most Real Estate markets around the country has slowed and many investors are now focussing strongly on their buy-in price. Recently Residex chief executive John Edwards told The Australian newspaper that 15 per cent of buyers are paying at least $10,000 above the real value of a property. Now I know 15% is not a large percentage, and as long as you're not a member of that club then everything is fine. The trouble is most buyers never know whether they are a member of the 15% club or not.

To determine the real value of a property it's important to analyse comparable sales in the area. Many so called 'comparative analysis reports' supplied by real estate agents tend to lean towards the high side which is in their favour. It's important to compare apples with apples when conducting a comparative analysis. That's why many buyers are now increasingly turning to independent advisers for help to secure and negotiate the real value of a property.

Using your own Buyers Agent, like Home Buyers Advantage, to represent your interests is a growing trend in Australia, and the new $7000 relocation grant proposed by the NSW government will add to the trend. Home buyers are switching on to the idea of having their own professional to shoulder the load and take the pressure off the whole buying process. They realise the cost effectiveness of having someone on their side to do the legwork, while they get on with their busy lives, safe in the knowledge that they won't become members of the 15% club.

Here's some tips on working out what a property is worth, or if you'd like some help you can contact us here.

Cheers

Dave

Yamba Real Estate Update

Wed, 30 Mar 2011 11:36:00 +0800

Yamba is fondly remembered by many people as a sleepy little fishing village, nestled cosily at the mouth of the Clarence River on the Far North Coast of NSW. Surrounded by the sparkling blue Pacific Ocean, Yuraygir National Park and the Clarence River, Yamba has long been a fishing and holiday destination for thousands of Australian and overseas visitors who return again and again.

Time has passed slowly and quietly in Yamba. It has not gained the popularity, or interstate and international recognition, like the more famous nearby holiday destinations of Byron Bay and Lennox Heads. It remains a peaceful place with beautiful beaches, fabulous climate and friendly locals. Yet it is still a secret to a large percentage of the population. But things are soon to change and time is quickening, especially if you'd like to own your own piece of Yamba Real Estate.

The Yamba property market is the same as any market where goods are bought and sold. The price of any product at any time depends on two things . . . supply and demand. If there are more buyers for a product than sellers, the price goes up. Likewise, if there are more sellers than buyers then the price goes down.

So, what's changing now?

Before we know what's changing we first have to have a look at where we are. Here's a quick look at recent Yamba Real Estate history.

Overall the median house and unit prices have been on the rise. In 2007 the number of sales in Yamba took a big jump after only slightly improving over the previous couple of years. Things looked like taking off but then the GFC hit and sales dropped significantly back to 2006 levels.

This was reflected around the country as home buyers and investors waited on the outcome of the crisis and what it would do to property prices. After all, the US and British and European markets were taking a hammering.

But Australian markets came through okay and the Yamba median house price only dropped about $40k before rebounding by $60k in 2009.The Government stimulus packages were washing through the economy and sales, as well as median prices, were on the rise again.Things looked to be on the way as demand picked up. But free money doesn't last long and the demand weakened again.

In 2010, regional markets around the country slowed as the first home buyer pool dried up and investors were wary of economic conditions both here and overseas.

This year started slowly with attention focussed on flood, cyclone and earthquake disasters both here and overseas, but things have been picking up in the last few weeks with numerous sales reported by local agents. The market is starting to move again.

What's happening to the supply and demand equation?

The increase in interest in 2009 coincided with the Channel 9 ‘Getaway' program running a segment on Yamba after Australian Traveller magazine named it ‘Australia's Top Town.' That created an upsurge in interest in the Yamba property market and put the town in the spotlight. That's a plus for the 'demand' side of the equation.

A large percentage of buyers in the Yamba Real Estate market already come from outside areas like Sydney, SE Qld and country NSW. This percentage is likely to increase rapidly as the impact of high Capital City prices combines with a rapidly growing number of retiring Baby Boomers looking to escape the hustle and bustle. With less retirement savings courtesy of the Global Financial Crisis, the Baby Boomers will be looking favourably at Clarence Valley property prices. They can sell the city home, buy in the Clarence Valley and top up the retirement nest egg. That's another tick for the demand side.

The climate, lifestyle and environment of the Yamba area creates a demand on it's own. The uncrowded beaches and abundant wildlife are a magnet to big city dwellers looking for the next real estate hotspot like Noosa or Byron Bay.

Recently, the first stage of the new Ballina Bypass was opened which reduces the travelling time for SE Qld buyers. Quicker access creates more demand.

Businesses around Yamba and the Clarence Valley have been getting ready for the expected growth. New developments have been completed or are underway in preparation.

There's the new Business Park, Coles expansion, the Yamba Shores Tavern and Pacific Hotel in Yamba and the riverfront development in Maclean edging closer. All this points towards demand for property in the area to keep increasing in future years.

On the supply side of the equation it is a different story.

What makes Yamba such a beautiful spot is also what will restrict it's growth in size. It is surrounded by ocean, rivers and National Parks, which leaves it lacking in one essential item for expansion . . .land!

There is very limited land area for Yamba to expand into before the ‘full house' sign goes up, and with a height restriction on new buildings in town, it can't turn into a highrise nightmare either.

It is the same story in the upriver town of Maclean where the council have just released a report saying they have reached the limits of the town's expansion.

As time marches on its seems certain that the supply and demand equation will be weighted towards demand outstripping supply in this area which is a recipe all home buyers and investors look for.

Add in the fact that property prices are more affordable in Yamba and the rest of the Clarence Valley when compared to other potential real estate hotspots and it starts to get more and more interesting.

Most of the real estate reports around the country focus on what's happening in the Capital Cities as a gauge to the whole market. That doesn't always ring true for smaller towns which can be influenced by more local supply and demand issues . . .just think mining town prices.

The indicators are positive for Yamba property, but I know many people would expect to hear that from a Buyers Agent. After all, our business is buying real estate. But the facts remain that the supply side of the equation is restricted by geography and the demand side is certain to blossom as the area is 'discovered.'

The phrase I keep hearing from recent buyers is that they are 'getting their foot in the door' to the property market. They believe the indicators and want to take their pick of the market before the rest catch on, and using their own Buyers Agent is making it easier for them to achieve the best results.

Why not find out just how much simpler the buying process can be with your own Buyers Agent doing the hard work for you. Here is what some recent happy clients have said. . .

‘Just a short note to thank you for your invaluable help in purchasing my new home. I was beginning to think I would never find a suitable place until you got involved.

Having "someone who knows the ropes” certainly removed a lot of the stress for me.

I have settled in quite well now and you were right about the neighbours – I almost never see them. Thanks also for keeping me so well informed along the way.'

‘Dave negotiated successfully for us and then looked after the required inspections and conveyancing with our nominated companies, through to the final inspection just prior to settlement.

We found Dave to be totally professional in his approach, and in the degree of detail he went to in assisting us with our purchase. Using Home Buyers Advantage proved very beneficial to us.'

Why not find out how we could help you?

Simply contact us here.

Cheers Dave

Interest Rates to stay on hold for now!

Thu, 24 Mar 2011 13:50:00 +0800

After digesting the minutes from the latest Reserve Bank board meeting, which were released yesterday, it seems most economists were predicting that rates will remain on hold.

In a Herald Sun report economist Roland Randall from TD Securities said the minutes from the Reserve's board meeting this month signalled there was "next to no chance of an interest rate hike in April."

Commentary in the minutes on Australia's investment prospects were "less ebullient than in previous comments", Mr Randall said, indicating that rates would stay on hold.

The central bank believed the "economic data was reflecting the effect of the summer floods." He went on to state "we have a rate hike pencilled in for May. This also looks increasingly less likely."

The minutes also reported that the economy appeared to be broadly growing at close to trend rate and the outlook for inflation in the year ahead was consistent with the bank's 2 per cent to 3 per cent medium-term target.

"Members confirmed that the board's approach would be to look through the temporary effects caused by extreme weather events and to continue to set monetary policy based on the medium-term outlook for growth and inflation," the minutes said.

"The staff continued to expect that floods could take about half a percentage point of growth in each of the December and March quarters."

Yamba and Clarence Valley Real Estate taking off ??

Wed, 16 Mar 2011 07:53:00 +0800

The last few weeks has seen an upsurge in interest in property in the Yamba and Clarence Valley areas. But it has only just started to happen, and it won't be reflected in any reports or figures for some time yet. After many months of below average activity in the Yamba market , it seems enough buyers have regained enough belief and have done the research to see that now is a good time to enter the local market.

How do I know this is really happening?

Well one way to try to find out is to contact all the agents in the area. The reply most will give you is 'Everything's going great, it's a great time to buy or sell.' That's not much help usually, and nor are the figures put out by real estate sites, because they are usually a few months behind the times. You can follow the Auction results in the major Capital cities, but that's not much help if you're in a different market.

So what can give you an up to date, accurate guide to what's really happening in a market?

One way to get ahead of the pack, while the pack sits on the sidelines, is to use the skills and knowledge of your own Buyers Agent like Home Buyers Advantage . . . (had to get a plug in!),

Find out how busy the local building and pest inspectors are!

These guys are the first point of call for a buyer after they have agreed to buy a property. Most buyers get the property inspected for structural and pest problems within a few days of agreeing to a price. So who better to know what's going on?

That's how I know the property market is showing signs of firing up here in Yamba, the Clarence Valley, and the Far North Coast in general. The inspectors I have been talking to are all saying that the last two weeks have been busier than any since last year. Sold signs are starting to appear around the area as well which indicates things are moving.

Who's buying?

Well it seems that the investors are leading the way back again. That's the normal cycle in property markets, especially since the First Home Buyer grants have been cut back. It's the educated investors who have been studying the market, looking at yields, looking at potential capital gains, and they are seeing that the numbers are looking better. Interest rates seem to be on hold for a while and that helps their decision.

The factors that drive the Yamba and Clarence Valley Real Estate markets are still strong. The buyers that have been distracted by so many things happening around the world are showing interest again. More than that, they are buying again while others are still waiting and watching.

But you don't have to believe me. . .check for yourself . . . .call your local inspectors and see how busy they are!

Cheers

Dave

Is our Real Estate the most overvalued in the world!

Mon, 14 Mar 2011 08:03:00 +0800

Once again the Economist Magazine has claimed that Australian house prices are the most overvalued in the world. Leading property commentator Michael Matusik had some very interesting thoughts on this – in his weekly commentary he said:

It seems that at almost every turn these days we are subjected to another ludicrous report, finding or headline. The latest is from The Economist, which last week issued a report purporting to demonstrate that Australian house prices are the most overvalued in the world. The proposition is based on a prices-to-rent formula developed for overseas markets.

It should be noted that The Economist has been getting it wrong on Australian house prices since their global house price index started in 2002; but dismissing their claim based on this bias, whilst fast and easy, doesn’t really cut the mustard. There is little doubt that Australian housing is expensive, affordability is low and current values are high when compared to household income. But that doesn’t equate to a housing crash; nor does it mean we have the most overvalued homes in the world. In the world!

Why? Because The Economist’s ratio of average house prices to average rents model is seriously flawed. According to The Economist our houses – based on their price-to-rent ratio – are overvalued by 56%, followed by Hong Kong by 54% and 48% in France. According to the journal, Australian house prices have risen by 215% since 1997.

This raises some interesting points.

Firstly, and somewhat obviously, rents have not risen anywhere near as fast as end prices. This supports our thesisthat Australia’s residential market, when measured correctly, is not as undersupplied as most believe. Hence rental growth remains subdued. Why, then, have prices risen so much when compared to rents?

There are several logical reasons why this has occurred, the sum of which dismisses The Economist’s claim.

Close to 70% of Australia’s dwellings are held by owner-residents, of which half are owned outright. A third of Australia’s dwellings are held by investors and are rented out.

We can sell our principal place of residence tax free. Investment property is subject to capital gains tax.

Two thirds of the Australian housing dollar is spent on renovations, a trend which has accelerated since the introduction of GST on new dwellings about a decade ago. Close to 80% of this renovation money is spent on owner-occupied homes. Very little is spent on improving investment dwellings. Improvements to Australian investment property are done to increase the rental return, not necessarily the sales price. Given the current tax laws, it makes good economic sense for owner-residents to improve their homes. Hence there is a large difference between the price of owner-occupied homes and investment property across Australia.

Whilst gross rental yields are on the slide, they still are in the mid-to-high 4% range – depending on dwelling type and location – across Australia. The median weekly rent Downunder is about $425 per week, suggesting that many rental properties sell for prices in the mid-to-high $400,000s. Most owner-occupied properties sell for much more, with close to 70% selling for prices over $500,000 and near to 40% selling for in excess of $600,000.

A quick survey of twelve suburbs across Brisbane found the following results. Within the inner city (5km from the GPO) dwellings sold by owner-residents in 2010 attracted a 20% to 25% premium over investment property sold in the same location and during the same year. This ratio was between 15% and 18% for middle-ring locations (around 10km from the CBD) and 8% to 10% for the outlying suburbs (about 20 km from the Queen Street Mall).

Owner-residents generally prefer detached houses over attached stock. The reverse is true for investors. Attached stock is, more often than not, cheaper than detached housing. More renters live in attached stock than detached product. This further exacerbates the reason why end prices – when pooled together – far exceed rents in this country.

So there is little wonder that the average price of Australian houses is much more than the average rent. Our rental stock is inferior – for the most part – to the dwelling stock held by owner-residents. A simple drive around any of our cities will illustrate such. It is a pity that some sections of the media, before jumping on the reprint bandwagon, don’t stop and think about what they are regurgitating. A simple look outside might explain a lot more than some report authored in Hong Kong.

PS And how do you figure this? Apparently we have the most overvalued homes in the world, yet whilst nobody really noticed, we pipped Norway, late last year, to have the highest standard of living in the world too. You just don’t know what to believe anymore.

"This report is republished with permission of Matusik Property Insights.”

Yamba and Far North Coast Property on the Rebound?

Tue, 08 Mar 2011 06:08:00 +0800

It appears the local Yamba property market, and other Far North Coast Real Estate markets may slowly be rebounding after so much attention being directed away towards the floods/cyclones/earthquakes. Recently, Northern NSW Real Estate markets have all but stalled.

Home buyers have been taking stock of the dramas unfolding in and around their communities lately, and have had little time left to ponder selling or buying a property. Indeed many around the country have had their properties destroyed by Mother Nature.

The problems have not been forgotten, but life moves on as the saying goes. . . and businesses are again focussing on getting back to a normal if they can. Over the last week I have heard an increase in positive comments from local businesses, saying that people were 'out and about again' and more money was changing hands. People were getting on with life again.

The 'Open for Inspections' that I dropped into on the weekend around Yamba and the Clarence Valley, had more lookers than I've seen in many recent weeks. Lately, agents at many Open Houses, have had plenty of time to relax and read the paper, but there was more interest on display on Saturday, and they weren't just looking, they were looking to buy.

I had to move quickly to secure a good property for a client, while other interested buyers on the day mulled over their decision. Money is not always the most important factor in a Real Estate negotiation, sometimes it's time that's critical, and that's where having your own Buyers Agent can give you an extra edge.

The Reserve Bank's decision last Tuesday to keep rates on hold again, together with indications that they may remain on hold for some time to come, has spurred more buyers into action. It's good news for smart investors who are usually the first to take the plunge back into the market after a lull. They know that getting in before the rest of the herd gives you greater choice in the market, and many times you can pick up the best properties at a good price. A great property in a great location will always be a better investment than the 'bargain' sale that feels too good to be true. These are the targets for the investors. . .the properties in the right locations, at the right price, that will attract a better type of tenant, and give a better return as a result.

Need some help in finding the right property?

At Home Buyers Advantage our personalised and professional service covers all aspects of the purchasing process - from finding the right property and determining its true market value to negotiating the best possible purchase price. We can also help with arranging conveyancing and building and pest inspections.

Are Interest Rates On The Way Down??

Wed, 23 Feb 2011 08:06:00 +0800

'Interest rates on the way down!'

This was the heading in a story in one of the weekend newspapers. It's the first one I've come across that is going against the general belief held by the pundits. Most economic forecasters have been saying that interest rates will stay as they are, until the second half of this year, before resuming their rising trend. This thinking has been based around the belief that the Australian economy is growing strong and will remain that way as long as we have minerals to dig up and sell to the Chinese.

'It is bringing huge wealth to the country which is good for all of us.' they say.

Well I don't know about you, but if you have been out talking to the average man on the street lately, one thing is plainly obvious. The average Australian family is on struggle street. They are hurting and it doesn't matter how much dirt the huge mining companies dig out of the ground, it doesn't make their life any easier. Recent increases in interest rates when combined with higher power bills, higher rates, higher water charges, higher food prices . . . higher everything, has left the average family struggling to make ends meet. That doesn't even take into account the recent devastating floods and cyclones which have added an extra burden to so many families.

This has been reflected in Real Estate sales around the country as well. Locally, the Yamba property market has recorded only 10 sales over the December/January period. This has to be divided up amongst 7 different Real Estate agencies which means that they must be hurting as well. It is a similar story in Real Estate right across the Far North Coast at present.

But what does that mean for you the Home Buyer?

Well, if you are one of the lucky ones who are not hurting financially at the moment then opportunity is knocking. Vendors are struggling to sell, yet the underlying factors which will support prices in the area remain strong. If the Reserve Bank decides to start easing interest rates then the buyers will start to flood back into the market. It may prove prudent to beat the rush and negotiate a great deal with a stressed seller before that occurs.

To find out which properties we consider great buying simply contact us.

Buyers Agents - More Clever Buyers are using them!

Tue, 22 Feb 2011 12:09:00 +0800

Here's an article from the Sydney Morning Herald. . . .

More and more buyers are getting professionals to act on their behalf.

Once upon a time, a house sale involved a "for sale" sign and a price. If the agent turned up for the inspection, all the better.

Now there are whole sales teams on the job with a marketing budget and campaign strategy geared towards forcing buyers to increase their best offer, usually in a high-stakes auction.

It's good news for vendors but buyers are often left at a serious disadvantage. Is it any wonder more of them are bringing in their own professionals to level the playing field?

"Selling agents are far better educated and sophisticated in their negotiation skills nowadays and many agencies are now providing ongoing training programs that ensure they get the best sales results," says the business development director with Rose and Jones, Stuart Jones.

"Given that everything about the campaign is geared in the vendor's favour, buyers need to be just as savvy and just as educated about market value. Or they need a buyer's agent.

"It's all been made that much harder now agents are shrinking what used to be a six-week campaign into four weeks to funnel people through in a shorter time, give the campaign more momentum and make the most of the hype at auction before buyers can think too long and clearly about it."

The principal of buyer's agent Good Deeds, Veronica Morgan, says the large sums being paid for property make a strong argument for buyers to seek informed advice.

"It would be very rare for someone to buy $20,000 worth of shares without any professional guidance and yet Sydneysiders are constantly spending more than that on taxes alone without any professional input," she says. "That leaves them so exposed to potential problems."

Niche market

When Janne Sutcliffe first started in 1997 sourcing and buying real estate for many of her contacts in Sydney's film industry, there wasn't even a name to describe the service she was providing.

"Those early clients in the film industry are good at delegating, so it worked well for both parties to just get on with the job of buying a new home," Sutcliffe says.

"Then along came the time-poor executives looking for more high-end property."

While the bulk of Sutcliffe's clients at her business are still predominantly executives or film-industry types, it is a far broader client list for the estimated 100 exclusive buyer's agents around the country who have since joined her ranks.

A consultant with Finders Keepers, Gina Machado, says high-end clients used to make up the bulk of her business "but that's not the case at all any more".

"Half of our clients used to be expats but that's down now the dollar is doing so well," she says.

"Investors are increasingly turning to us, as well as people who are moving out of an area."

To that end, Morgan says her Rozelle-based business proves buyer's agents are not just a luxury of the multimillion-dollar buyers. "Three-quarters of our clients spend less than $1 million," she says.

Is the fare fair?

For many, the idea of paying a second commission when they buy real estate - after having already paid a commission for their sold property - is difficult to grasp.

Given buyer's agents generally charge a commission of 1 per cent to 2 per cent of the purchase price or a set fee of between $6000 and $15,000 for negotiating a sale price (and as much as $400,000 for a full service on a $20 million property), it is no surprise they have a reputation as being a high-end luxury.

But some house hunters will think that's a fair price to avoid months of inspections, dealing with often elusive sales agents and turning up at countless auctions to see it sell well above expectations.

That convenience and market expertise should not be confused with assurances the agent will offset their commission by achieving a smaller sales price, says the president of the Real Estate Buyers Agents Association of Australia (REBAA), Byron Rose.

"That's impossible to prove so it's a baseless claim," he says. "If a property is priced at $600,000 and you get it for $575,000, have you saved the client $25,000 or was it overpriced to start with?"

"If you pay $625,000, have you done your client a disservice or found them the right place with good capital growth and investment yields? It's not just about saving money but paying a fair price for a quality home."

Then there's what Morgan tactfully refers to as "interpreting the selling agents".

"Selling agents are often accused of being liars and, in the sense that they don't reveal the full story to buyers, they are," she says.

"The difference for us is agents tend to give us the full story so our clients can make an informed decision."

Not quite mainstream

While there is a broader demand for buyer's agents, that doesn't make them part of the mainstream market. A survey by the REBAA shows the industry's major players alone accounted for $636 million worth of residential sales in NSW last financial year, which represents less than 1 per cent of the more than $90 billion worth of residential property that traded during the same time.

Buyers Agents are not yet mainstream but they are certainly growing in public acceptance and awareness. The market is slowly maturing to the point that they are no longer just considered a service for time-poor executives."