What's Sold - Quarterly Market Report

What’s Sold!

Nerang Railway Station, 1934

Quarterly Market Report

Nerang & Surrounding Suburbs 55960055 | nfn.com.au

Earle Plaza, Cnr Price & White Sts., Nerang

Welcome...

to your Quarterly Market Report.

We trust you will appreciate the detail in this report as it will give you a comprehensive overview on the sales activity for the April to June Quarter in Nerang and surrounding region plus property value movements.

In this issue...

While we think it’s an impressive snapshot of what’s been sold, there is no substitute for physically viewing properties to get a better understanding comparative values.

What’s Sold Quarterly Sales Stats 2 Price Movements Sold Pictorials

3 4-9

The Property Boom 10

Selling Tips

Check out our tips on how to present your home for sale 11

The Property Boom 16

Win

Check out our tips on how to present your home for sale

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Price is determined by many things such as; aspect, location, land area, floor plan, size, condition, quality of improvements, car accommodation and so much more. None of these things can be learnt from this report, so there’s no better was of keeping your finger on the pulse than by inspecting properties that are on the market in person.

If you are looking at making a move, make your criteria broad. If location is the critical motivator, be flexible about the style of house. If style of house is the critical factor, be broad about the location so you can give yourself more choices.

It’s also helpful to get some idea on what your property is worth. Calculating a value for your current property will give you a starting point to work out “what you have to play with”. Whether you plan to sell or simply rent your home out, an experienced agent can also give you advice and helpful tips on how to best prepare your home prior to coming into the market so that you achieve the highest possible sale price or rent return.

Even in changing markets, property remains the number one investment choice and wealth creating asset for most Australians, so it’s well worth getting the best possible advice on how to maximise it’s value.

And remember, you are always welcome to pop into our opens, we would love to meet you.

Quarterly Sales Statistics 1 April - 30 June, 2014 Local Area and 4211 Postcode

HOUSE Sales Residential Homes on lots under 2000m2 Nerang

Highland Park

Carrara West

Worongary Gilston

41

12

18

9

4

Median Price

$387,000

$428,000

$479,000

$393,000

$540,000

Lowest

$200,000

$220,000

$359,000

$340,000

$470,000

Highest

$630,000

$740,000

$580,000

$475,000

$659,000

Sales

UNIT Sales Townhouses/Units/Apartments Nerang

Highland Park

Carrara West

Worongary Gilston

22

6

22

1

0

Median Price

$243,000

$239,000

$266,000

$200,000

0

Lowest

$200,000

$205,000

$225,000

$200,000

0

Highest

$630,000

$245,000

$341,000

$200,000

0

Sales

OTHER Sales 4211 postcode Acreage HOUSES Lots over 2000m2

Vacant Vacant ACREAGE RES. LAND Lots over 2000m2

Lots under 2000m2

12

4

8

Median Price

$683,500

$345,000

$242,500

Lowest

$490,000

$265,000

$225,000

Highest

$980,000

$455,000

$245,000

Sales

84 Houses Sold

51 Units Sold

12 Acreage Homes Sold 4 Acreage Lots Sold 8 Residential Lots Sold

This information is sourced from www.pricefinder.com.au, RP Data and the records of First National Nerang. Sales dollar amounts are rounded within $500 and whilst every effort is made to provide accurate figures they cannot be guaranteed and should be deemed as indicative. Parties should rely on their own enquiries and First National Nerang will not be held liable for errors herein.

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SALES Volumes and PRICE Movement Charts - past 10 years HOUSES

UNITS

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Dealing with the First National team has been a refreshing experience. You only come with the highest recommendation possible for professionalism, excellence and being a pleasure to deal with on all levels.

Thank you for striving to be the best, it shows!

Overall service was excellent and would be very happy to recommend your company in any further situations or to any other prospective buyers or sellers.

We had the most fabulous, fun experience during the marketing experience, and open homes leading up to the auction. There was absolutely no stress for us at any time. After several weeks of working with you, we were convinced that we were your only customer.

It was a pleasure dealing with First National Nerang. I would definitely use your real estate in the future and have & will be recommending First National Nerang to everyone.

We are absolutely rapt.

We couldn’t be happier with you as an agent and we would (and will) go out of our way to recommend your agency to anyone who will listen.

20 reasons why the property boom isn’t over...

In his latest Ryder Report, regular observer Terry Ryder takes on the so called “national property boom”.

Unlike some other property commentators, Ryder doesn’t believe Australia is in the grips of an emerging bubble or boom. Here are his 20 reasons why the country’s boom isn’t over yet.

1. “There is no national boom” For the market to bust, there would have to be a boom, and Ryder doesn’t think we have one - outside of Sydney, anyway. He’s previously criticised media outlets and institutions like the Reserve Bank of Australia for focusing too much on Sydney’s market when generating national commentary.

2. “Sydney still has momentum” Any claims that Sydney’s boom is over is “based on a single month’s data”, a criticism Ryder stated before. He says: “buoyancy remains in Sydney’s market”.

3. “Melbourne still has momentum” Ryder says that a growing number of Melbourne suburbs are seeing rising sales activity, with even greater price rises likely to come.

4. “Brisbane just starting to rise” While the other Eastern Seaboard capitals are yet to reach their peak, Ryder says Brisbane is just getting started.

“Brisbane is well behind Sydney in the current cycle and is only beginning its upward movement,” He predicts prices will rise this year.

5. “Adelaide poised to grow” Ryder believes Adelaide “will be the surprise performer of 2014,” with increasing sales activity across the city.

6. “Hobart starting to show life” Despite “being ignored in national assessments”, Hobart’s market activity is also beginning to pick up, believes Ryder.

7. “Perth still has momentum” Although the city’s sales have “plateaued” after a strong run in 2012 and 2013, Ryder thinks they remain “elevated”, with possible future price growth.

8. “Darwin showing signs of revival” Despite signs of a slowing market last year, Ryder says Darwin appeared to pick up in late 2013 to early 2014. He believes prices in the city are likely to keep rising.

9. “NSW regional cities rising” Ryder thinks New South Wales’ regional centres have picked up some heat from Sydney’s market, or have their own local reasons for growth. According to Ryder, “their run is just beginning”.

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10. “QLD regional cities rising” Cairns, Toowoomba, the Sunshine Coast and the Gold Coast are leading the state’s regional cities into “strong growth phases”, according to Ryder.

11. “Other regional centres on the up” Regional markets south of Perth are growing. He believes South Australian and Victorian regional centres are also picking up, as is Launceston in Tasmania.

12. “Sales volumes still rising” Ryder cites the latest update of his own Price Predictor Index which points to increasing sales volumes across the country, which he says“inevitably leads to price growth”.

13. “Consumer sentiment improving” According to Westpac’s July consumer sentiment report, there is a “healthy rise in confidence” regarding real estate, says Ryder.

14. “Budget news has been digested” “There was a brief period in May when decision-making halted as people digested the Federal budget we seem to have moved on,” says Ryder.

15. “Building approvals are rising” Ryder notes that building approvals increased 16% in 12 months to April 2014, with South Australia, Western Australia, New South Wales and Queensland all leading.

16. “Lending for homes still rising” On an annual basis, lending for home loans is up 12 per cent, says Ryder. He notes double-digit growth in six states and territories.

17. “Investor activity rising” Lending for investors is up by an even greater proportion, with 28 per cent annual growth and 1.1 per cent growth in the month to April. Investor lending has increased by 17 per cent or more in five states (presumably annually), says Ryder.

18. “Asian investment growing” Though Ryder believes foreign buyers’ impact on local markets is exaggerated, he does believe Asian investors are continuing to affect inner-city unit markets.

19. “Interest rates remain low” Ryder believes Australia’s current record low interest rates are “unlikely to change in the near future”.

20. “National boom is just starting” “Contrary to claims that ‘the boom is over’, all the evidence says that a national boom is really just beginning”, claims Ryder.

Getting ready for SALE

“Location, location, location” is the well-known catch-cry when it comes to looking for a new home.

But for those planning to sell, there’s another rule that it can pay to remember and that’s “detail, detail, detail”.

Careful planning and a just a little investment in sprucing up your home can deliver real financial results, according to First National Nerang Principal, Mike Gray.

‘You and your agent need to look at your home very objectively as you plan to put it on the market.

and storage space seem cluttered and smaller than they really are.

Consider putting some ornaments, books and non-essential kitchen utensils in storage through the sale period, leaving cupboards and shelves looking clean and spacious and with just a few objects placed to highlight a room’s features.

Consider a paint job. While painting

a home’s interior or exterior is a major undertaking, it can transform a tiredlooking weatherboard into the bestlooking house on the street. Discuss with your agent whether a professional paint job would be worthwhile.

“The décor, layout and furnishings may have suited your lifestyle perfectly over the years, but a range of people will be coming through to inspect it and you need to see it from their point of view. There are dozens of things that will add up to give a potential buyer an overall impression of your home and it is important this impression is as positive as possible.”

Consider re-configuring rooms. If

Here are some tips from First National on how to best prepare your home for the market to MAXIMISE buyer interest and ultimately, the price you will receive.

Tidy up the garden. Dig out weeds,

Get rid of clutter! You may love

great-grandma’s teapot sitting on the shelves, next to two year’s worth of your favourite magazine, but crowded shelves and drawers can make rooms 11 11

you are advertising a three-bedroom home for sale, then that is what people will be coming to see. If you are using two of the bedrooms for storage, or as workspace, consider re-organising them for the sale to show them at their best advantage. Hire or borrow some bedroom furniture, and put other items in storage. put mulch on the garden beds, keep paths and the driveway swept, prune and shape trees and shrubs, and make sure rubbish bins are clean and tucked away

Clean and clean again. Give your

home a spring-clean from top to bottom. Everything, from windows to door knobs to light switches, should be

sparkling. Have your carpets and rugs professionally steam-cleaned.

Put away the pets. Not everyone will

admire your cat’s scratching post or dog’s dinner bowl. If you have pets, make sure things like the kitty litter tray and food bowls are put away during open house inspections. Make sure your home is free of pet hair and any dog or cat odours.

Freshen up the furniture. Temporarily

remove any unnecessary furniture such as extra dining chairs, filing cabinets, and toy boxes to make rooms seem as spacious and uncluttered as possible.

Set the scene. Draw attention to your home’s best features. For example, if you have a lovely dining area, consider setting the table as if for a special brunch. A bowl of very fresh fruit, a small vase of flowers, a plate of

freshly baked biscuits or homemade loaf of bread, and a simple but immaculate table setting can help people visualize themselves using and enjoying the room.

Fresh air and flowers. Air your house

regularly and try to avoid cooking anything that will leave strong cooking smells in the kitchen or house before an open inspection. A vase of fresh flowers on the kitchen table or hall stand can brighten the whole house.

“The more work you put into preparing your home for sale the more value you are likely to add to it” said Mike.

“It may seem like a lot of effort, but your First National agent will be able to offer advice on the best steps to take for the most return. Just remember, it’s the little details that can make the most difference.”

Whether You’re Selling, Buying or Investing... it’s one of

the most important financial decisions you will make. Talk to First National Nerang, because real estate agents are NOT all the same... two times

REIA Australian Agency of the Year four times

REIQ Queensland Agency of the Year four times

REIQ Gold Coast Agency of the Year

Choose an agent you can trust Trusted by the community, Honoured by the industry 12

Property Management Guru’s Experience is everything! With more than 23 years of managing investment properties, First National Nerang have more than mastered the art of delivering superior service and maximum returns for our clients • Stringent tenant selection • Effective marketing - more tenants to choose from • Lower vacancy periods • Regular routine property inspections and written reports to clients • Strict arrears control • Speedy maintenance handling • Regular rent reviews - for maximum returns

Call us for an obligation free assessment of your property’s potential rent return.

Your investment is our priority.

07 5596 0055 | www.nfn.com.au

Another great way to help pay off your investment property faster...

There’s nothing more exciting than buying your first investment property and getting that first slip from your property manager to show your rent coming in. However, rental income is just the start.

Around tax time, there are even more ways to help you pay off your investment, and one of those is by getting a property depreciation schedule that you can claim on tax.

What is property depreciation? Just

like you claim wear and tear on a car purchased for income producing purposes, you can also claim the depreciation of your investment property against your taxable income.

There are two types of allowances available: depreciation on plant and equipment (such as blinds, carpets and air conditioners) and depreciation on the building which refers to construction costs of the building itself, such as concrete and brickwork.

tax returns up to two years back.

My property is renovated. Can I still claim? Yes. The Australian Tax Office

(ATO) will need to know how much you spent on renovations. If the previous owner completed the renovations you’re still entitled to claim depreciation. Where the cost of renovation is unknown, a quantity surveyor has been identified by the ATO as appropriately qualified to make that estimation.

Shouldn’t my accountant prepare this report? If your residential property was built

after 1985 your accountant isn’t allowed to estimate the construction costs. The ATO has identified quantity surveyors as properly qualified to make the appropriate estimate of the construction costs, where those costs are unknown. Real estate agents, property managers and valuers aren’t allowed to make this estimate.

Will you need to inspect my property?

help you pay less tax. The amount the depreciation schedule says you can claim effectively reduces your taxable income and the savings can be substantial.

A site inspection is necessary to satisfy ATO requirements and to ensure that all depreciable items are noted and photographed. This guarantees you won’t miss out on any deductions. Your quantity surveyor will liaise directly with the tenant or property manager in order to cause minimal disruption.

Is my property too old to claim property depreciation? The most common

So how much will the depreciation schedule cost? The cost can vary

So how does a depreciation schedule help me? A depreciation schedule will

misconception is that only new property can be depreciated and this is simply not true. If your residential property was built after July 1985 you’re able to claim both building allowance and plant and equipment. If construction on your property commenced prior to this date, you can only claim depreciation on plant and equipment but it will still be worthwhile.

I bought my property several years ago.

Can I still make a claim? Yes you can.

Your accountant can amend your previous

depending upon the type of property, location, size and numerous other factors.

Quantity surveyors fees are 100 per cent tax deductible.

For the benefit of all First National clients, we have negotiated a reduced fee with BTM Quantity Surveyors of just $650 inc GST BTM typically find an average of $5,000 $10,000 as a first full year deductions.

To find out more, call Mike on 0414 960055

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