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How To Value Your Home
How The Industry Creates False Supply and Demand
Supply and demand is what drives the property markets, both in sales and rentals. To get the highest price an agent wants to create scarcity, it is their job. As a side benefit, lots of interest creates opportunity for them (which is why they underquote, but that is a topic for another day!).

Quite often you see in articles or on TV that there is huge demand for a property or rental. Or that something sold for hundreds of thousands above reserve. Let me share with you how you can’t always believe what you read.
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Three Tactics Agents Use To Charge You More Commission
Selecting an agent comes down to many factors. One of them can be what they charge. What I have come to discover over the years is not just the rate they charge, but how they go about communicating this figure. I am a big believer in paying for an outcome so when the commission figure is washed over, buyer beware.
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Two Key Reasons Why It Is Best You Don’t Attempt To Sell Your Own Home

There are two reasons I still think you need to use an agent, but those reasons are crucial to getting the highest price for your home. Many vendors look at the real estate industry and say “how hard can it be?” You stand at the door, take down names, follow up and get the best offer. In many markets a property pretty much sells itself. But what is the risk of selling without an agent and is it worth it?
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What Is REALLY Important When Selecting An Agent
Recently I interviewed three agents an behalf of my client selling their home, let’s call them Agent A, Agent B and Agent C. Part of my selection process is I survey the agents to get some background information and a commitment in writing upfront, so we can refer to it later if needed.
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Is It Best To Sell With Tenants Or Vacant Possession?
One of the most common questions I am asked is "Should I sell my property with tenants or vacant possession?" The majority of the time a property is better off to be sold without a tenant. Of course this means that you are sacrificing an income whilst the property is on the market and if you property is most suited to an investor, having a paying tenant already can be an advantage. But here are the reasons a vacant property may get a higher sales price:
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The Business Of Being A Franchise
One of the most common structures of a real estate agency is that of a Franchise. There are advantages and disadvantages of selecting a franchise based agency as well as some myths  and secrets I want to share about this structure.

A franchise model is a business within itself, it is not designed to sell your home for the best price but to make the franchise the most amount of money. Therefore decisions on the systems used to sell are focused on overall profit and not individual properties.
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Why First Home Buyers Are So Far Behind The Eightball
Not only do first home buyers have to come up with a deposit from scratch. They will also have to spend 30 years in most cases to pay off the home. To make things even harder they are competing with investors and downsizers who have massive advantages over them.

Here is the real cost over time for three categories of buyers. 

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The Median Price Trend Formula
Step One:

Use the most recent sale price of the property, and then divide this by the median price in the suburb at the time of purchase.
Sales price / Median price at the time of sale = Index

For example...
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Are Online Auctions Here To Stay?
Online auctions and transactions have been around for a few years now. Due to lockdowns and Covid, like many things the way we live our lives has changed and online auctions have become more prominent. But are they are good thing and are they here to stay?


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Three Things Google Won't Tell You About Selling Your Home
We live in the information and often misinformation age and Google really is a double-edged sword when it comes to our decision making. On the one side you have unlimited access to information, but often this information is conflicting and biased which can make it confusing. When it comes to speaking to agents, if you don’t ask the right questions you can leave yourself open to mistakes that will cost time and money and with your home it could be tens of thousands dollars in mistakes.
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Understanding
The Value Of Your Home
Online auctions and transactions have been around for a few years now. Due to lockdowns and Covid, like many things the way we live our lives has changed and online auctions have become more prominent. But are they are good thing and are they here to stay?


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Victorian Home Buyers Fund - Good Or Bad?
What Is The Home Buyers Fund?
The Victorian Government Announced that they would be helping home buyers who are not current home owners (you do not have to be a first home buyer to qualify) through a $500m fund. The fund is aiming to help 3,000 home buyers into the market.

How It Works
The government pay up to 25% equity in the home as long as you have a 5% deposit, pay stamp duty and can service the loan.
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Why Auctioning On 'The Block' Is An Exception To The Rule
So why do The Block insist on auctions? Firstly, they are great for television as they hold suspense and a big audience. This means channel nine can charge big dollars for advertising. They are also great for one of the major sponsors Domain. Domain makes money through advertising homes but rely on agents to sell the benefit of their company. And of course agents benefit from an auction…. (can you see the circle here?).

But here is why auctions work for the show...
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What Happens Once Jobkeeper & Loan Holidays Finish?
I don’t have a crystal ball, but what I do know is that property market is all about supply and demand.
Never has an event like the shutdowns to the economy in 2020 caused so much uncertainty. Statistics show we are in more debt than ever and if home owners in mass are forced to sell there will be a lot of pain. The end of Jobkeeper and Loan holidays will be key moments, so how will things play out?
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How Agents & The Media Spin The Median Price Stats
I had it come up recently on my facebook feed in a sponsored ad spruiking that now was a good time to sell in Nunawading as the median price had increased from $860k to $1.13m (a massive 33.2% change). The ad is designed to encourage owners in the area to consider selling as the market is hot. So I dug a bit deeper to look at longer term stats to see if the market was really that hot or the ad was all hype.
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Why Cheap Money Is Very Expensive
If you are like me you have probably looked at the property market over the last decade or more and thought ‘surely the bubble has to burst’. But then it never does. History has shown prices keep going up and any decrease in house values are temporary. The question is, why?
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Are Property Developers Really Pricing You Out Of The Market?
There can be a perception in the market by both buyers and sellers that developers will pay more for a property than an owner occupier. This is not always the case, but how do you know what type of property will be snapped up by a developer?

A developer and an owner occupier value properties in two very different ways.
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How Much Do You Tell An Agent?
Negotiation starts the moment that you speak to an agent. If an agent is any good they will be paying attention to how much interest you are showing in a home and the questions you are asking. So as a buyer how much do you give away?

There will be three types of sales,
- Auction
- Private Sale Competition
- Private Sale No Competition
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How Low Interest Rates Are Costing New Home Owners A Fortune
Let me demonstrate how the combination of low interest rates and extended loan repayment periods are working against you to ever afford your  by using an online calculator. (This one is by Canstar)

Let’s say Michelle is earning $80,000 a year and has a $100,000 deposit saved. Interest rates are 7.7% and the loan term is 25 years.

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Are You One Day Away From A Big Mistake?
One of my biggest frustrations is when that those who were closest to me often did not seek advice on selling their home. They would often tell me how they had spoken to a trusted friend who was in real estate were confident in what they had been told.

I had one such chance conversation with an old friend last week. I called just to say hello and they mentioned they were signing up with an agent tomorrow to sell their home. I asked if they were open to having one of my free consultations that day (as in immediately!) first so I could make sure they were protected and really had their campaign set up to maximise the chance of the best result.

As we spoke I identified four areas that they were being taken advantage of.
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Undercover Agent
PO Box 2023
Forest Hill VIC 3131

chris@undercoveragent.com.au

0421 301 040

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