The process of achieving the perfect price when selling a property starts before preparing the home for sale, planning the marketing strategy or even choosing the agent.
Maximising the property’s resale value is achieved by purchasing the right property to begin with.
A limited number of buyers and picky future buyers can result in the property lingering on the market or fetching a lower price than comparable homes, however, unless there is a fundamental change to the property, a home that seems like a good deal now could still be a bargain in the future.
Alternatively, a property with lasting appeal will attract the interest of a broader pool of buyers, increasing competition and returns when it is time to sell.
Inexperienced buyers who are weary of researching can be susceptible to making mistakes, since most buyers are not trained in the characteristics they need to be looking out for in a property, “it’s actually easier to make a mistake than it is to get right.” Says buyer’s agent Mark Ribarsky
“In an attempt to save some money, first-home buyers take the risk by not thoroughly doing all the research they should be. I see a lot of them not investing in a building and pest report, especially if they’ve lost out a couple of times.”
According to real estate agent John Horwood, due diligence is especially critical when an buying an apartment since some of the most difficult properties to sell are apartments in strata schemes taking legal action against the developer/building or raising funds to fix a defect.
But it’s not just issues that turn away buyers, sometimes the way a home is designed limits its appeal. Horwood says “It may be a home that has been specifically designed to meet the requirements of the family and it may not be favourable for most other families.”
Homes can demand higher prices when a large number of buyers compete to purchase the property.
The surrounding neighbourhood is the most important factor that influences the appeal of a property. It doesn’t need to be in a prestigious suburb, just in a good quality street, a quiet environment, good access to public transport, and other amenities such as cafes, shops and parks.
Larger homes that are single-level and four bedrooms are very popular and are usually targeted by upsizing families who have a bigger budget.
Properties with a broader appeal will attract the most buyers due to the look and feel of the home.
Generally, a broad appeal is a classified as a classic, elegant styling with neutral tones such as white, grey, natural stone, middle to high-end finishes and nothing too outlandish. North-facing homes with nice layouts attract the most attention.
Period homes in particular experience the highest level of competition from buyers since they are aesthetically pleasing and tend to have attractive aspects such as high ceilings, cornices, rosettes and fireplaces.
Current homeowners can improve the appeal of their properties with renovations. George Smith director of Jellis Craig recommends “always buy a property with potential, dated bathrooms, carpets, fixtures and fittings always allow buyers to add value in the future.”
Homes on corner blocks, or the ability to extend for a growing family, a property with development potential are all properties that can be highly sought after.
Although renovating a home can increase its value, avoid homes in need of extensive repairs such as structural defects as they can be very experience and don’t get to see the return.