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Agents | Auctioneers | Property Management moveagents.com.au
Thank You For the opportunity to advise you on the sale of your property. You want the best result when you sell your home or investment property. However, choosing an Agent and the best way to sell your home can be a daunting task. Make the right choices and everything goes to plan. Make the wrong choices and it can cost you a lot in time, money and lost opportunity. To help you make the right choices with confidence, we have provided this initial guide to give you an overview of the real estate sales process and options available to you. At the end of your evaluation process, we hope that we will be your Agent of choice. Let’s MOVE.
Contents Price The market value of your property Presentation Preparing your property for sale Process The best method/strategy for you and your property Promotion The options to market your property Performance Fee Commission and other costs
Real Estate services have changed. Gone are the days when ‘big’ is ‘better’, when agents boast about winning yet another ‘award’, when all you hear is how terrific they are and how they will get you the highest price in the shortest time.
Truth is, any agent and company can sell your property. The only variables are what price you will get, how long will it take to sell, what will it cost you and what will you experience through the sale process. Will it be good, or will it be a stressful nightmare? It’s time for an agile, cost-effective, efficient and professional service that you can rely on … Welcome to Move. • • •
Experienced Professional Down to Earth
Experienced Nick has been selling real estate for over 35 years and has operated his own Agency for over 20 years. In this time, he has dealt with every possible situation. And yes, he has also won plenty of those awards! What this means for you is that you will have a mature professional with exceptional sales, marketing and negotiating experience handling the sale of your property. And it’s that calm, confident, ‘cool under fire’ presence that you will need to deal with any issue that may arise during your sale, so your interests are protected, and your sale result is optimised. Professional Nick is a Master Auctioneer and Golden Gavel Auction Champion who has conducted hundreds of Auctions. He is also a Past President of the Society of Auctioneers and Appraisers, and a Past Board Member of the Real Estate Institute of South Australia. More importantly and meaningful for you, it’s better to hear what my past clients have to say. Down to Earth If you want an Agent who is ‘glossy’, ‘pushy’ or ‘gushing’, I’m not your Agent. If you want a friendly, focussed, reliable and down to earth approach, with a bit of humour thrown in, you should consider using me. I will always advise you as it is, without varnishing the facts and details. Better still, you should hear what my past clients have to say.
Nick Baranikow Director and Master Auctioneer
Nick has a highly regarded reputation and proven track record over 35 years for selling homes, units, developments and land at the optimum price, smoothly and professionally, with extensive experience across the inner and middle Adelaide metropolitan areas, eastern suburbs and luxury property markets. Now it’s easy to make claims, so what makes Nick different from any other Agent? Well awards are great, and he has won plenty of them. His track record of Sales and Auction success speaks for itself. But Nick prefers to ‘let his clients do the talking’ because it’s more meaningful for you to assess reviews from his past clients on how he handled their sale. Nick offers a wealth of local market knowledge and a down-to-earth, friendly approach that provides you with professional advice and service, great marketing, meticulous attention to detail, expert negotiating ability, outstanding sales performance and Auction skills. So, when you’re ready to sell, it’s good to know that you will have a top professional on your side whom you can rely on to handle your sale with immense experience, maturity and a calm confidence.
How the Real Estate Market Really Works
Before we look at the 5 P’s, it’s important to understand the psychology of the real estate market, and how the dynamics of buying and selling integrate. So let’s get started...
Every property has a ‘Technical Value’ and can also have a potential ‘Emotional Value’. Technical Value is an objective assessment of a property’s value taking into account recent comparable sales, underlying land value and a market value for the residence and improvements. In fact, similar to what a Valuer would estimate for a bank. However, every property can have a higher. Emotional Value to one or more special buyers and this can add a price premium of up to 5% - 10%. These special buyers always appear in the first 2 - 3 weeks of marketing when the property is a ‘New Release’, as they are highly motivated and ready to buy as soon as the right home comes onto the market. They are also prepared to compete for the property in order to secure it. Now, let’s review the psychology and dynamics of the market, starting with the 3 Golden Rules when you sell: Golden Rule No.1 The first 6 weeks on the market is the positive selling time and the first 3 weeks, the ‘new release’ phase is the perfect time to sell when the ‘A Grade’ buyers present themselves, resulting in emotional competition, if the property is marketed properly. Golden Rule No.2 Buyers start looking for a property ‘logically’, at a lower price that suits their budget, and finally buy a home ‘emotionally’, at a higher price if the sale/negotiation is handled properly.
Golden Rule No.3 Buyers don’t pay more for a property just because an owner sets a higher price. In fact, ‘overpricing’ will have a very adverse effect on your sale. A buyers journey from the base of the Price Pyramid (starting ‘logically & low’) to the peak (eventually buying ‘emotionally & higher’), has 3 stages: First Stage It is essential that a property is picked up by the buyers ‘price radar’ so they are attracted to invest their time and effort to come and inspect the property. If the price/range is marketed beyond their ‘price radar’, they won’t come and inspect the property and the journey up the Price Pyramid doesn’t even start. Second Stage Buyers inspect the property. If they like it, their emotional interest is now engaged. The price decision now changes dramatically from; ‘What do we prefer to pay’ (logically & low) to ‘ What are we prepared to pay’ (emotionally & higher) Third Stage A professionally managed selling strategy will create emotional interest and generate buyer competition, resulting in a sale o the best buyer who is prepared to pay the optimum price.
The Price Pyramid
1. Price The market value of your property “It’s the strategy, marketing and negotiation that will achieve the optimum price for your property, not the ‘promise of a price’ or ‘quote’ from a sales person, nor the opinion of friends, family or work colleagues, as they won’t be the ones writing the cheque for your property.” Market Value Estimate Given the special features and attributes of your property, I estimate Market Value as: Technical Value $
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Potential Emotional Value $
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To achieve Emotional Value we need a strong marketing campaign which attracts the maximum number of potential buyers in the first 3 weeks on market so that Emotion combined with Competition produces the Optimum Price. This can sometimes exceed the upper end of the Emotional Value range, subject to the level of buyer competition.
2. Presentation Preparing your property for sale First impressions are paramount when you sell your property so we have a SWAT team of trades and specialists that can help you to rapidly prepare your property for sale. Nothing is too much trouble, from fixing a squeaky door, cleaning windows, tidying up the garden, painting and even a full make-over and property styling. It’s all about taking you home from “live in” mood to “sale” mood.
The Best Time to Get the Best Price
• The first 6 weeks on the market is the positive selling period • The first 3 weeks on the market is the ‘New Release’ phase on the market and the perfect time to sell • Buyer interest drops significantly after week 6
3. Process The best method / strategy for you and your property, the sale process and timelines. There are 4 methods of sale: 1. Asking Price 2. Best Offer (Expression of Interest) 3. Auction 4. Set Date Sale (combines Best Offer and Auction) All 4 methods have their place in the market and ultimately the final choice is yours. So it’s important to choose the strategy that best suits you and your property. The positive Selling Time is the first 6 weeks on market and the ideal Selling Time is the first 3 weeks when your property is a ‘New Release’, so let’s consider the benefits of each method as a Seller.
What’s the Best Way to Sell my Property?
Asking Price (By Negotiation)
This is the most basic form of sale, which favours buyers (and the method that they prefer), because there is no ‘deadline’, they don’t have to compete with other buyers and they have a Cooling-Off period.
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Open to offers / negotiation immediately
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Instant feedback / you get an offer or you don’t
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No ‘deadline’ so buyers can procrastinate and another week goes by
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High risk of under-pricing or over-pricing
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Buyers get a Cooling-off period
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Buyers can have various Conditions to their offer eg. subject to loan approval, subject to building inspection, subject to sale of their property
Best Offer (Expression of Interest)
This method is an effective selling strategie designed to optimise the first 3 weeks on the market (New Release Phase) There is a deadline for best and final offers (Closing Date) which eliminates buyer procrastination We are open to offers immediately, so the property can be sold at any time before Closing Date Buyers can elect the terms/quality of their Offer: A Grade (Auction Sale terms) • An unconditional (‘cash’) offer • Prepared to waive their Cooling-off rights B Grade • Subject to finance approval and satisfactory building inspection • They also have a Cooling-off period (2 clear business days to cancel the Contract) C Grade • Subject to the Sale of their property with a Cooling-off period All offers are treated confidentially so each buyer’s offer is not disclosed to any other buyer You can also convert to Auction or Set Date Sale after the first week if there is good interest from multiple buyers.
What’s the Best Way to Sell my Property?
Auction
A very effective and efficient method for use in the New Release Phase (first 3 weeks) There is a deadline (Auction Day) at the end of the New Release Phase, which eliminates buyer procrastination We are open to offers immediately, so you can sell at any time before Auction Auction flushes out the A Grade buyers first, under the best terms and conditions; • Unconditional (‘cash’) offer / bid • No Cooling-off rights, so they can’t change their mind and cancel the Contract You don’t have to lock yourself into a set price or range, so you eliminate any risk of under-pricing or over-pricing Allows for the possibility of a ‘super special’ buyer who may pay a lot more than anyone else to buy the property before Auction Very effective at converting emotional buyer interest into an emotional price at Auction
Nick Baranikow | Master Auctioneer Golden Gavel Champion and 2-times Runner-Up Three-times SA Representative in the Australasian Auction Championships
Set Date Sale
Exclusive to Move, and I is arguably the perfect selling method, combining the advantages of Best Offer and Auction into one superbly effective selling method/strategy. Essentially, Set Date Sale is a Best Offer (Expressions of Interest) process with a potential Auction annexed to the end of the campaign. This combination also integrates Auction terms into the contract conditions, which is ideal for the Vendor, ensuring a ‘cash’ unconditional sale with no cooling off-rights to the buyer, whether the property is sold on day 1, when offers close or on Auction Day (USP). This is a highly effective and very efficient method for the New Release Phase (first 3 weeks). We are open to offers immediately, so you can sell at any time if the offer is good enough to trigger the ‘sell before’ auction process Final Offers close at 10.00am on the Tuesday prior to a potential Auction later that week At this stage you can accept the best overall offer, or if buyer interest is very strong you can continue to Auction Set Date Sale attracts buyers who prefer to make an offer as well as buyers who prefer to buy at Auction. It has no disadvantages and provides 3 opportunities for buyers to offer/bid on your property. Example wording on web sites and brochure insert Set Date Sale: For Sale by Offer on or before Tuesday Xth at 10 am, or Auction on day/time.
The Sale Process & Timelines
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Activate Sales Agency Agreement Property is prepared for sale Legal Searches, Contract and Form 1 prepared Photography, artwork and floorplan done Brochures prepared Customised signboard installed Internet: launched on websites New release e-bulletin to buyer databases Pre-release buyer inspection (optional) 3 week campaign starts Open inspections (6) plus by appointment Mid-campaign review Offers close or Pre-Auction meeting Final negotiations or Auction SOLD in 3 weeks (or less)
Weekly Marketplace Reports
At each open inspection, we record the name and phone number of every group inspecting the property into a buyer database. On the next business day, we call each buyer to ascertain their interest and obtain feedback on the propertyâ&#x20AC;&#x2122;s value. We then generate a detailed report which summarises the information for our weekly market review. This personalised feedback process keeps you fully informed on how the market is responding to your property, so you are in a great position to make a decision on offers as they come in.
4. Promotion
The Marketing Options for Your Property
The Move Marketing Team cam implement the best strategy to promote your property, so it’s guaranteed to be seen by every potential buyer
Buyers are now using online and social media, as well as traditional print advertising, to find the right property. By combining a sophistracted e-strategy with print marketing, we attract a wider range of potential buyers to ultimately achieve the best result for your property. At Move, you have a choice of three levels of marketing 1. Off-Market We can release your property to registered buyers on Move Off Market, our exclusive off-market buyers database. This takes place over a 1-3 week period before any public campaign is conducted, giving you the opportunity to sell your property without advertising costs. If a special buyer doesn’t make a strong offer during the initial phase, you have the option to proceed with either an Essential Marketing campaign or a Maximum Marketing campaign.
2. Essential Marketing All of the ‘must do’ elements you need to sell your property including professional photography, floor plan, brochures, signboard, internet-web site marketing and buyer match-up/marketing via our Move buyer database. 3. Maximum Marketing Supercharge your property marketing by adding a Press Advertising campaign to your Essential Marketing package, using the Saturday Advertiser and/or Messenger newspapers. This will attract even more buyers who are looking for a certain house style, lifestyle or land size, not just a suburb location. Ideal to use with Best Offer, Auction or Set Date Sale strategy, to create even more competition for your property and the maximum price!
Marketing Essentials
Photography Beautiful photography is a fundamental element in your integrated marketing campaign. At Move, we pride ourselves on having the best team of leading photographers and videographers, who will produce stunning high-quality imagery to market your property. Signboard Our strong and distinctive signboards have incredible road-side impact. They are professionally designed with extra large images to deliver the perfect first impression and attract buyer interest 24/7. Brochure A beautifully presented brochure with detaild features information allows potential buyers to relive the wonderful aspects of your home and share them with family and friends.
realestate.com.au • 6 million national audience • 479,000 audience in SA • 225.854 audience in Adelaide alone • Approximately 80% of buyers search for property online Premiere Property on realestate.com.au (60 days) • A Premiere Property appears at the top of search results • Largest ad and photos to get more attention • Rotates to the top of search results after 15 days • 53% of consumers don’t look beyond the first page • Premiere listings sell for 45% more $ than Standard listings • Premiere listings sell 38% quicker than Standard listings Feature property on realestate.com.au (45 days) • A Feature Property appears ahead of Standard ads (basic) • Feature listings sell for 10% more $ than Standard listings • Feature listings sell 12% quicker than Standard listings • Interactive photo carousel highlights best features
Social Media Social media is a fast growing, fast moving and far reaching environment of websites and applications that enable people to interact online and quickly obtain relevant information. We use this efficient communication and research tool to direct buyer interest back to your property’s online listing. Our Social Media Strategy • Targeted advertising • Specific audience targeting (geographic, luxury, downsizing, demographic, first gome buyer, investors etc.) • Emailed analyic reporting Editorial We submit editorial content for your property to both The Advertiser and the Messenger newspaper, which can provide a bonus promotion for your property at no extra cost.
Newspaper Marketing
The Advertiser
Combining print media with online listings improves your property’s campaign results, compared with using online only. Advertising in the Saturday Advertiser Real Estate Magazine allows you to place your property squarely in front of a demographic of lifestyle/property style buyers who would otherwise probably not have seen it in a restrictive, suburb-specific online search. These buyers are emotive, and may be prepared to pay top dollar for your home. Plus, there’s the magazine’s longevity. With analysis and commentary on the latest market activity and trends; financial advice and lifestyle features, and with SAWeekend on the back of the magazine as a flip book, this special publication stays in homes and on coffee tables longer, which greatly increases your chance of finding even more buyers. $84,499 Up to 20 28% 42% $529,365 $473,583 405,000
The Messenger
paid more for advertised properties on average days less on the market for advertised properties more page views for properties advertised in print more visitors to open inspections average sale price of properties advertised online and in print, compared with when advertised online only average number of readers per week
Messenger • 90% of Messenger readers turn to the property section • 71% of South Australians who have moved in the last 5 years moved 5kms or less from their original location
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