Strong start in 2017? We think yes, despite some pass-ins.

7 St Ninians Road, Brighton sells Under the Hammer $5,680,000, 6 bidders

There is something about auctions hey. 7 St Ninians Road, Brighton with Stephen Smith, sold under the hammer $5,680,000, 6 bidders. Yeah, it’s good to be back! What a great photo Kathy Russell.

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Mmmm interesting - what is that guy going to do. Big again was the answer at 8 Currajong Camberwell with Doug McLauchlan - Under the hammer, $3,400,000 - 2 bidders.

Mmmm, interesting – what is that guy going to do? Bid again was the answer at 8 Currajong, Camberwell with Doug McLauchlan – Under the hammer, $3,400,000 – 2 bidders.

Its 6.00 pm and the James Market News dials are back working this weekend, albeit on limited numbers.

Bidderman was at 3 today (low sample), however we actually think that is reflective of the start we have seen on good homes.

The James Clearance Rate was strong in the 80’s, even on the small sample of a dozen and Inner East auctions – admittedly the lesser homes, did not sell.

Everything went as expected – the homes with issues such as Snowden and Moorhouse struggled to sell and those that were well priced and should have interest did, including volcanoes with 5/6 bidders at:

  • 92 Danks Street, Albert Park with Gerald Betts – $3,780,000
  • 7 St Ninians Road, Brighton with Stephen Smith – $5,680,000
  • 19 Avenue Athol, Canterbury with Al Craig $3,330,000

Strong auction bidding in the , across the geographical board for the right homes.

LAND PRICES

You might be interested in the James temperature controls for land only buying across Top End Melbourne.

Its hot, damn hot in certain parts and still warming up in others with three interrelated reasons behind the increasing prices:

  • Asian or Overseas Bidding OR NOT
  • Heritage or No Heritage Overlay
  • Established Developer Market or Not

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Next week will see a really good hit out for our Bidderman and Clearance rates, along with the ducks, lone rangers, norms and volcanoes.

It should give good early indications of the state of the Auction market – which right now is looking as solid as it did late last year – still early days though.

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The Off and Private Market has been running along with some force – there is a good amount of off market stock.

A few land highlights off market/private:

Brighton – Good land block in Foote Street, Brighton selling for $6,000 per sqm. That’s solid

And for about the same money

Toorak – Grange Road also circa $6,000 per sqm.

The sale of two old stales in Montalto north of $8,000,000 and Clendon north of $6,000,000 were interesting.

It’s not quiet out in the East either, with Galloping Glen Coutinho punching out an off market in Leura Grove above $6,500,000 on a good, but normal block WOW!!!! – matches another $6 million New French provincial also sold by Glen in the first week of a public auction campaign at Davis Avenue. The overseas market is alive and well at this early stage.

Let’s look at that for a moment. Camberwell Hill and Anderson Park was a $3,000,000 area before we really started to rock this time around (February 2015) – it has now moved to a $4,000,000 to $5,000,000 area in February 2017 – and if you have bought land at $3,000,000 and putting a $2,000,000 home on it, then you are not overcapitalising (assuming you get it right).

Mmmm Hawthorn East and Camberwell Hill have made very solid capital gains in the last 2 years and why?

The 3 formula of No heritage, Asian interest and Developer area – meaning new homes going onto old blocks and those new sales happening – thus giving you the

POSITIVE PROFIT GAP = New Sale Price – Old home – Build Price

However the big OFF MARKET stat for us is still 82% of Top End homes in early 2016 WERE NOT sold under the auction hammer process and we can see no change in 2017.

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Big crowd, but no action at 1 Moorhouse St Camberwell

Big crowd, but no action at 1 Moorhouse Street, Camberwell.

Canterbury, 4 Snowden Place – Passed In $3,500,000, 0 bidders – read the report here

Camberwell, 8 Currajong Avenue (Doug McLauchlan) – Under the Hammer $3,400,000, 2 bidders – read the report here

Canterbury, 19 Avenue Athol (Alastair Craig) – Under the Hammer $3,330,000, 5 bidders – read the report here

4 Victoria CANTERBURY $4,200,000 935 $4,492
4 Snowden CANTERBURY PASSED IN 781
8 Currajong CAMBERWELL $3,400,000 840 $4,048
19 Avenue Athol CANTERBURY $3,330,000 785 $4,242
1277 Burke KEW PASSED IN
12 Campbell KEW PASSED IN
6 Bonfield HAWTHORN EAST PASSED IN 763
24 Prospect Hill CAMBERWELL $2,505,000 647 $3,872
5 Howitt GLEN IRIS BEFORE AUCTION
61 Morang HAWTHORN PASSED IN

We know the above results don’t look that exciting, meaning look at all the pass-ins, but it was a pretty motley bunch on offer – the agencies put a few testers out there ahead of the main pack and because the market can see more on the books for next week, a number of the above were passed over. Interesting though – we will monitor.

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92 Danks Street, Albert Park sold Under the Hammer $3,780,000, 5 bidders.

Brighton, 7 St Ninians Road (Stephen Smith) – Under the Hammer $5,680,000, 6 bidders – read the report here

Brighton, 3 Huntingfield Road (Chris Carrington) – Under the Hammer $4,000,000, 4 bidders – read the report here

Albert Park, 92 Danks Street (Gerald Betts) – Under the Hammer $3,780,000, 6 bidders – read the report here

7 St Ninians BRIGHTON $5,680,000 719 $7,900 non waterfront
3 Huntingfield BRIGHTON $4,000,000 663 $6,033 not a great build
92 Danks ALBERT PARK $3,780,000 265 $14,264 floor plan so so
25 Black BRIGHTON $3,365,000 514 $6,547 more than last year’s ask
147 Dendy BRIGHTON $2,568,000 749 $3,429

Nothing wrong with start for Bayside, admittedly on low stock.

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10 Seymour Avenue, Armadale sold After Auction $4,525,000

10 Seymour Avenue, Armadale – After Auction with Fraser Cahill – 3 bidders. $4,525,000

Armadale, 10 Seymour Avenue (Fraser Cahill) – After Auction Above $4,500,000, 3 bidders – read the report here

Malvern East, 98 Emo Road (John Manton) – After Auction $1,800,000, 0 bidders – read the report here

Little to write a report on – so we didn’t.

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Geez he's looking trim - super fit Al Craig knocking 'em dead at 19 Avenue Athol Canterbury - 5 bidders and bought under hammer for $3,330,000

Geez he’s looking trim – super fit Al Craig knocking ‘em dead at 19 Avenue Athol Canterbury – 5 bidders and bought under hammer for $3,330,000

With three bought in the last week, one off market, one before auction (Kate Fowler – well managed campaign in Beaumaris) and one at auction (Shane Fox – straight shooter on the Peninsula), James Buyer Advocates has started out the blocks reasonably well.

How to Buy/Sell well

Continuing on the 3rd in our 3 part series

Article 1 – The real dollar differences between buying and selling well (click here)

Article 2 – The Real Factors that Affect your Sale Price (click here)

Last week we outlined the Big 10 characteristics in what affects the value of your home sale.

In the number one spot and clear winner is:

What you actually bought in the first place.

In second place

Is how the market is going now for your type of home.

And in Positions 3 and 4 in level of importance and the focus of this article are:

3. You and 4. Agent Selection

Let’s look at your efforts, your demeanour, your trustworthiness.

I mean how do you think Donald is going in motivating people – we all sit back with some interest – but is there a tiny bit of him in how we are dealing with people in the sale of our home process?

How you act, what you think, what you say, may be more important than who you have selected to say it to.

As well, one of your key jobs is #4, selection of the selling agent.

The agent you selected is an employee/contractor or a trusted friend or an advisor or all of the above OR should be.

When selecting someone for this work role – that in many instances, has the greatest influence on your family’s wealth, more so than almost any other staff selection – you will need to make the right decision, if you want to BUY/SELL well.

Can I ask you to tone down the emotion and consider this a WORK job.

Are you really looking for a mate, are you just hoping, are you too busy?

Would any of this wash if you were doing this for your work?

On the big work decisions.

Do you or does your work encourage you to make a selection?

  • on the run, off the cuff on the back of one phone call
  • on a trial basis – eg no real research, let’s just start them for a month and see how they go
  • or do you or are you encouraged to follow a proven process to consider the best candidates etc

It’s amazing how many people do choose c) in a work setting but a) or b) when selecting a selling agent to market and negotiate their greatest asset.

When you are managing people at work, do you find you get the best results:

  • by keeping your employees in the dark, as to what it is you want to achieve
  • by ridicule and threatening them once they have signed on
  • by accepting whatever they do, even if it’s well short of what they promised at the job interview

OR by clearly outlining what it is you want, holding them to account and then counseling them along the way on how they can improve – maybe even sitting down for a coffee and asking how their day was going – may be even complimenting them.

1, 2 and 3 would be frowned upon at work, but it’s amazing how many sellers think like this with regards to their own home.

Real estate and the people in it can be a very different world for you – some use words only to create reactions – some are very loose with words, some care about what they say – some in this world perceives things in a very different way to you.

However if an agent is showing him or herself to be very different from you – how would you get the best out of them?

Do you want to get the best out of them – or have you lost the focus of your main game and now all you want is your perceived payback?

Does trust, respect and consistency and facts (FROM YOU) actually mean anything in your dealings with your selling agent?

If an agent goes down a track you feel uneasy with, should you go there with him/her?

Or is it better to try an understand and work with your agent, whilst staying on your own firm foundations?

The job interview – at work, do you make a choice on an important director position based on:

  • flattery of you
  • wild unsubstantiated claims as to the applicants skill
  • a logical research process of checking claims and references

Am I making any sense on the above?

Are you a leader or are you one to be led – I’m a bit of both.

I think I lead on what I think I want and then I’m led by a chosen expert on how to achieve that (within reason).

Don’t laugh when I tell you with some sellers it’s the reverse – they let an agent tell them what they should want and then they proceed to tell the agent how to actually do it. Mmmm, strange.

There are other key, really big decisions that sellers will probably need to make:

  • The initial database for selection
  • Traffic Lights
  • Changing the game plan and personnel if you have to

So practically, what are some of the things we look for in selecting the right selling agent for our client?

These are some of the keys for us:

  • Yes, our clients and the agent have to get along – you can be strong and uncompromising and still make the other guy feel ok about himself or herself – can’t you?
  • Selecting from the right pool of agents in the first place
  • Running a process with 2 to 3 agents, to hear their thoughts on Value, Timing, Marketing/Presentation and the X factor – I really look for the X factor. No, it’s not just the “like” factor (although that doesn’t hurt) – the X factor is ‘can they sell it to me?’ – because if they can’t, how are they going to sell my home to a buyer.
  • Follow Up

The Right Pool – comes from current sales in the area of your type, the right database to attract off market and overseas buyers, not just what the marketing OFI ads bring in and our experience in dealing with the selling agents in deal making and follow up.

Some agents present well to a prospect, but in the heat of battle they go to water.

The Right Process – I am really interested in how an agent will market, timing and of course price.

I’m also interested in how they will sell that price – back to the X factor.

Follow Up – sometimes you see the agent at the presentation and his name on the board; but never see him standing on the door or see him on the door, but not with an assistant, so as he can focus on the right buyers – or you never hear the agent you signed up, making a phone call.

You need your agent to go to the opens and to make phone calls – to attract the extras.

James Tostevin is a good example of this discipline of process – as is Jenny Dwyer and Tim Heavyside and Ian Jackson and Michael Gibson – to name a few.

They all do it differently, but they do it.

They make the calls  – they follow up.

I don’t see as much as I feel I should of agents “educating” buyers as to where they need to be – you see the bulltish quoting, but the real education is not as common EXCEPT with the higher performing agents – Kaine Lanyon and even though we have our ups and downs, Brian Devlin and Barb Gregory are all good buyer educators and in their own unusual ways, so are Jeremy Fox, Michael Armstrong and Tim Derham.

The “educating” master is The Don – Gerald Delany.

It is bloody hard work to re-educate any of the above back the other way – but of course, at times it will have to be done, for a good deal to be done and they know that as well. Know when to hold ‘em and know when to fold a little is good selling agents and good buying advocates 101.

Experienced, on the door, making phone calls and telling the truth 95% of the time, with 5% candy floss encouraging a higher price is what we look for in a good selling agent.

Our business is not rocket science – I know because I am not one.

It’s hard work, directed in the right manner with a truth to your real client, at all times – that’s a good selling agent in our mind.

In our opinion, after 1) what you’ve chosen in the first place and 2) how the market is going – the next really, really big things that affect sale price are 3/4) WHO you chose and HOW you work with each other.

Hope you enjoyed reading our first 3 part 2017 series on How to Buy/Sell Well.

We are away and off and running in 2017 – happy days.

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Not everything was gloomy at 4 Snowden Canterbury - Sim could see the funny side of something.

Not everything was gloomy at 4 Snowden Canterbury – Sim could see the funny side of something.

This year we are looking at trying to help the younger members of the community, make good decisions about buying homes and we want to hear what they have to say.

We have five opportunities to give away $1,000 through out the next few months.The aim of the competition is to share home buying experiences amongst Young Homebuyers.

It is called the James Money Bin Competition because that is what a good home should be.

It’s like living in a place where you just seem to keep getting more and more money, and happier and happier, spiritually and emotionally over the longer term.

The James Money Bin Competition was named after the home of Disney’s Scrooge McDuck – he called his home the Money Bin.

“A day without looking at me Money Bin is like a day without sunshine!” – Scrooge McDuck.

Check out how to enter and the official rules here!

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