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Raine & Horne Young Publication - Issue Six

Property prices rising in Young Now is a good time to sell, don’t wait until Spring It’s crucial you choose an agent who knows the market

Read our full report on page 3

In this Issue of Property News: • Selling pitfalls and helpful hints • Setting a price that will capture buyers • To gear or not to gear

(02) 6382 3333

Letter from the Licencee Dear Reader, In this issue of Property News our feature story looks at the importance of seing the price of a property. This is another reason for carefully selecting the agent to sell you home. The sale of 8 Hargreaves Crescent is an example of an agent who understands the market and pricing. For full details of the story, please see page 3. If you are considering selling, an experienced professional agent can give you some guidance in preparing your home for sale. First impressions are very important when selling property. For those people who are considering investing in property, our page 4 story gives an overview of negative gearing and discusses how this strategy can help investors. As always if you are looking to buy or sell property, or to engage a Property Manager, please give us a call today.

Selling? Pitfalls and Helpful Hints Appointing a professional agent is the first step to success!

Are you concerned that if you sell today you are not going to maximise your profits? Regardless of what happens over the next 12 months few people would deny that we are experiencing a sellers’ market. This is basically brought about by a surplus of buyers over sellers. If this is so, how do you go about selling your property at a premium and really benefit from the market? The short answer your property more competition through better marketing beer value.

is you need to make saleable than your better presentation, and by offering

This doesn’t mean you have to offer it at the lowest price because not every buyer is driven solely by the desire for a bargain. For a start, a sellers’ market is likely to aract more purchasers, thereby providing more potential buyers for your home! But this is not enough in itself to ensure a sale for you. The first secret to an effective sale is to assign an agent to the task, because you need someone who is not emotionally involved in the sale. You cannot afford to take personally comments and rejections that some buyers will inevitably make when viewing your property. The agent is there to shield you from all the hassle involved in selling.

Kind regards Graeme Schneider Licencee 0417 251 795

Once you have appointed an agent you need to evaluate the presentation of the property. A professional agent will guide you about the best way to present your home to the market. Follow their advice and you will find it most helpful. Remember, as in all business maers, first impressions are most important. The next step is to devise a marketing campaign. Once again an experienced agent will discuss this with you and if they really know what they are doing they will tailor a marketing strategy that is specifically designed to suit your property.

166 Boorowa Street Young NSW 2594 P (02) 6382 3333 F (02) 6382 4633 E W

During the campaign your agent will probably market the property through a window display, on the Internet, through signboards, in media advertisements and possibly through other types of advertising such as leaflets and brochures.

Disclaimer Notice: Neither Raine & Horne Young,

nor Newsleer House Pty Ltd, nor the publishers and editors of articles in this issue, accept any form of liability, be it contractual, tortious or otherwise, for the contents of this newsleer or for any consequences arising from its use or any reliance placed upon it. All the information contained in this publication has been provided to us by various parties. We do not accept any responsibility to any person for its accuracy and do no more than pass it on. All interested parties should make and rely upon their own enquires in order to determine whether or not this information is in fact accurate. ©Newsletter House Pty Ltd 2018 Ph: 02 4954 2100

Selling your home is a special time for the family.

Because of the agent’s experience they will ensure that the property’s special features are highlighted so that the buyer feels they are getting good value for money!

The importance of setting a price that will capture the market

SOLD! 8 Hargreaves Crescent, Young Setting a price on a property that truly reflects the current market is a major key in getting the sale. According to Jim Cusack of Raine & Horne in Young most buyers will inspect in the first 2-3 weeks of marketing and it is crucial that the initial price relates to the correct market value of the property. First impressions are lasting, and this includes price. It can be difficult for homeowners to put a price on their home in which they have an emotional investment. Too high a price brings the risk of scaring away potential buyers; too low means losing thousands of dollars in the home value. This is where an agent can offer help. Because Raine & Horne has extensive market knowledge its sales agents understand what each property is worth and can achieve the best deal for the seller.

One example is a four-bedroom home in Hargreaves Crescent, Young, that sold for $327,000. Comparable homes were similarly priced around $340,000 with sales often at the $310,000 mark. The Hargreaves Crescent property had the added features of siing on a premium site, being low maintenance, spacious and incorporating superb outdoor entertaining spaces. By effectively using detailed advertising and three home inspections Raine & Horne attracted several potential buyers to the property, with two offers made. Constant communication with both vendor and purchaser sealed the deal at a good price. “We appreciate the amount of work and dedication that Jim put into our home to reach the best result possible,� the homeowners said. Using these proven strategies Jim can also

help other vendors achieve the maximum value for their homes. When it comes to selling properties Jim is an effective agent. His tips to garnering strong buyer interest are to be prepared to show the property at all times; maintain the home in a presentable manner; and avoid being home during an inspection as it can be off-puing for prospective buyers. According to market analyst Corelogic median property prices in Young have risen to $280,000. They also advise that the median has undergone a rise of 8.74% in the past 12 months, compared with the national average of 4.3%. With this trend looking set to continue in Young, sellers are well placed to achieve good results, especially if they have the help of Raine  Horne.

We Have The Experience And The Local Market Knowledge You Need Call one of our specialists on (02) 6382 3333 to sell your property. You won’t regret the decision.

Sales Team Kim Goonan, Graeme Schneider, Jim Cusack, Bernadee Edgerton

To gear or not to gear? What is negative gearing, and how can it help investors? Is negative gearing really a good investment strategy?

In a nutshell, the answer is that it is really more a tax strategy.

The question is often asked by property investors, many of whom do not fully understand the meaning and implications of negative gearing.

Basically, negative gearing occurs where the costs of renting out an investment property outweigh the rental returns that are received from the rental of that property.

The cost of the loan (i.e. interest on mortgage repayments and stamp duty etc) is taken into account when calculating whether the investment is running at a loss. Some of the other costs of running a rental property that can be used to negatively gear a rental property include body corporate fees, building depreciation, cleaning costs, council rates, insurance costs, land tax, repairs, maintenance and water bills. If the investment is shown to be running at a loss, the Australian Taxation Office allows investors to offset this loss against their income tax assessment. This means that negative gearing on rental property is more a tax strategy than an investment strategy. While it can help property investors to reduce their taxable income in the short to medium term, it should not be considered the main reason for investing in any property. There are, of course, obvious tax advantages to the negative gearing of a rental property. But the purpose of investing, after all, is to receive a positive cash flow and to make a profit. Over the longer term at least, you should be aiming to make a profit from your rental returns rather than a loss. By making a loss in order to negatively gear your investment property, you may be relying too much on making a huge profit when it comes time to sell your property at some point in the future.

We have quality tenants in the Young area waiting and we need more rental properties If you are not happy with your current managing agents it is very easy to swap. Raine  Horne Young is commied to protecting your investment and obtaining the best possible return. For an obligation free appraisal of your rental property contact our property team on (02) 6382 3333. Property Management Team Mellissa Hines, Natalie Clinton, Tereasa George, Amanda Duggan

Raine & Horne Young Issue 6  
Raine & Horne Young Issue 6