To be successful in the current more challenging property markets, you not only need to know what to do, but just as importantly you need to know what not to do.
As I see it there will be plenty of challenges and risks in the real estate markets this year and the value of certain properties will be a little lower by the end of the year.
But we’re experiencing a necessary market adjustment and without it we’d be in for the kind of crash we really didn’t want.
So in today’s show, we’re going to talk about what not to do in property in 2019.
I also have a bit of a controversial mindset moment to share with you.
And I’ll chat with Ahmed Imam about the questions you should ask an agent before you make an offer so you understand how to take advantage of this buyer’s market.
Here’s What Not to Do In Property in 2019
- Don’t wait too long to get started
- Don’t let fear stop you
- Don’t wait until you know everything. You’ll learn more as you move forward, and you’ll learn from your mistakes and challenges.
- Don’t focus on linear income, focus on recurring passive income
- Don’t be impatient – wealth is the transfer of money from the impatient to the patient
Making an offer on a property – what price should you offer?
Here are 5 questions to ask the agent before you make your offer:
- How did the vendor come to the asking price for their home?
Was it from the agent’s suggestion or because that’s how much they need to buy their next dream home?
Some sellers are unrealistic and unlikely to come down from their asking price if they have to get a certain amount for a particular reason.
- Have there been any other offers made?
This lets you know if you have any competition and how serious the vendor is about selling their home for a reasonable price.
- How long has the home been on the market?
If it’s just been put up for sale, the seller may not be anxious to accept the first offer.
If the home has been on the market for several months, it’s more likely the seller would be ready to accept your offer.
- Why is the vendor selling?
Are they going through a divorce?
Do they have to move interstate urgently?
Have they already bought another home that would put them under pressure to sell their current home?
This will let you know how motivated the seller is.
- Has the asking price been reduced during the time the property has been on the market?
This will tell you whether the seller is really keen to offload their home and also let you know that you might have a motivated seller on your hands and perhaps greater bargaining power.
Links and Resources:
National Property and Economic Market Update 1 day Trainings use the coupon code: PODCAST
Some of our favourite quotes from the show:
”I think it’s worth remembering that owner occupiers create property markets. If you think about it, 70% of properties are owned by homeowners. On the other hand, investors create the booms.” –Michael Yardney
“The truth may hurt, but the world doesn’t owe you anything.” – Michael Yardney
“Confidence and trust are earned by you, not owed to you.” – Michael Yardney
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