Explanations & Disclaimers
Definitions & Explanations
Bought* – Indicates property has been bought. We are a buyer rating company and a buyer advocate company only, and we use the word bought instead of sold to give the website a buyer flavour. We do not buy all the properties listed on this website, therefore we often rely on an advertised price or the selling agent to indicate the bought price and occasionally the result may be inaccurate.
Agent Quote – Indicates what an agent has written, spoken or implied. Agent Quotes change in moving markets. Please refer to selling agent for their latest quote if in any doubt. It may have been updated since we last put it up.
House Sizes and Land Sizes – These are either supplied by agent or estimated by our architects and are indicative. You should not rely on this. Make your own enquiries prior to purchase. Check title for land size and measure up for house size.
James Control Prices – James Control Prices are the price points we at James place on the property.
BASE price is a raw price based on our land value estimate plus house value estimate. The selling agent, other buyers and vendors may have completely different thoughts on price. We find the James BASE price very useful as an initial statement of price, give or take a guide on where the market may start its thinking. If the property has a high James rating, similar homes are in short supply, stock levels are low, clearance rates are high and Bidderman has been recently strong at other similar properties – then we would expect the other Control prices (IN THE MIX and BUY) to come into play and possibly be exceeded.
If the market is weakening, there are a number of homes for buyers to choose from and Bidderman has been weak – then the eventual bought price may be below all the Control Prices including the BASE price.
The James Control Prices do not necessarily reflect the vendor reserve (we don’t know it) or the selling agent quote.
The James Control Price system starts with a BASE price then steps up your attention to where we think you have an:
IN THE MIX or 50/50 chance of buying at a normal but not too “hot” auction. And finally to the:
90% BUY price chance. At this level we think you would have a very good, possibly a 90% chance of buying. To get past this price (which is still possible) we would imagine it to be a very strong, very competitive bidding scenario.
These Control Prices are a basis for discussion on past sales in the area and possible vendor/other buyer expectations – they are not a guarantee but rather more a guide.
Below the James Control Price are properties that we think support our opinions. You may of course disagree with them; however, they are genuine.
James Buyer Advocates Prices and Value estimates are NOT sworn or formal valuations. They represent a range of price opinion from us as to where we think the final result may fall with regards to this specific home.
Banks are conservative with valuations – they may in fact value this home at less than what you pay and therefore you should not be too close to the edge in terms of loan to value ratios as you may have to pay a mortgage premium and in extreme circumstances may not get the loan.
If you wish to get a second opinion or a sworn valuation, then we recommend you contact your bank to get a list of valuers who they think may be able to give you a sworn or bank valuation.
James Home Ratings is a system licensed by – Property Ratings Pty Ltd. James Home Ratings, BiddermanTM and James Control price are copyright protected 2002-current day and have an Australian patent. International patents applied for.
All care is taken to confirm property facts however, some can be verbal only and may be incorrect. You must not rely on this information only when purchasing a property. We strongly recommend the services of a professional buying advocate/agent, pest and building inspections, legal, town planning and architectural opinions if needed PRIOR to purchase.
How do James handle conflicts?
It is a conflict where we have two clients who become interested in the same property. Our solution to this issue is openness:
- We tell both parties
- We prepare the same Property Report in all aspects except YOUR NEEDS.
- We have one of our principals handle each client. We don’t discuss any client details with other clients.
- While we cannot encourage one party NOT to bid (eg have our own private auction to determine a winner) because of recent legislation forbidding it, we can inform the other party if one person is no longer interested.
- If you are not happy with this, we refer you onto another REIV approved advocate.
- There will almost always be competition on good property and on the rare occasion that this happens within our company, we will be completely straight and inform you so as you can make an informed decision. We are committed to being open and honest with our clients at all times.
- A conflict occurs when we have two clients (with signed authorities) who have given us instructions to bid on the same property.
- We do not knowingly take on new clients on a property where we have an existing client who has given us instructions to bid.
- The conflict situation usually arises because of low stock levels or an unusual/rare property that has a lot of interest.
- To avoid other conflicts, we do not take money from agents or any other parties ever. If we know the seller we tell our clients. We only act for buyers.
James Conflict Procedure
- We are here because of stock levels shortages and/or this is a very good property.
- If you feel uncomfortable with us at anytime, we would release you from any agreements at no charge we operate on a basis of complete trust we trust you as well.
- 3. We will continue to be accessible to both of you however XXXX will not discuss price other than ancillary issues such as cost of renovations with the other party.
- 4. I (Mal) will issue all my thoughts on price via email and our reports they will be identical save my comments on meeting your personal needs. You both have access to the full bid rating it is exactly the same.
- Any communication to the agent will see you all blind copied in.
- Any communication on your specific price should no longer be via email as we have shared emails all written amounts should now be via text.
- Yes, it is possible for advocates to see other client files however there is no financial advantage in this instance to do so (See Point 13) and in fact there are now significant financial disadvantages to operate unethically (dismissal).
- XXXX and XXXX will no longer talk price to each other on the above property (both XXXX and XXXX know it could be a dismissible offence it is a separate and specific paragraph in their contracts). Both have roughly equal experience at auctions and boardroom auctions (that is why they have been chosen). If we go to a boardroom auction or auction or any other form of sale, XXXX will be given a figure by one of you and XXXX the other. XXXX and XXXX will bid on your behalf until a purchase or a pass-in. You will be able to consult with XXXX in any situation as you normally would. You will be able to witness all negotiations if you so choose and it is appropriate.
- It is important that you do not just focus on us as I believe there will be other interest as well. Information says XXXX potential bidders, maybe more.
- We recognise this is stressful for you and we will commission a pest and building on both of your behalf (if you want one) at shared cost. However, it will be your pest and building not ours. If either or both of you don’t wish to share costs or not wish to do them, then no problems.
- You both are using different solicitors.
- I/We will not discuss any details with you at any stage about the other party.
- Commission: Irrespective of whoever is successful (if any of you are), our commission will be the same should both parties instruct us to bid above the reserve (the selling agent will nominate the reserve). We would charge the lowest. E.g. if one of our clients was on a search and negotiate and one on a negotiate only fee then even if the search and negotiate client purchased our fee would be at the lower. In this special circumstance it is company policy to share all commissions equally should both parties instruct us to bid above the reserve. There are no financial advantages to advocates, but of course one of you still needs to purchase for the advocates to be paid that is their financial incentive.
- If we are to put an offer in from now to start the process you will both be advised to put the same offer in, however the initial and final offer amount and terms will be your choice. At this time and not before, we shall inform the selling agent there is multiple interest from us. If it is best offers we will submit both no matter what.
- If we get into a negotiation stage not foreseen here, I will offer $1000 above the lower client’s final instructions on behalf of the higher client.
- If something else unforeseen happens, I (Mal) will first notify you via email and then talk to you on the phone.
- Finally, if all else fails, we reserve the right to cease to work for any of you if we consider our involvement is not in your best interests.
Please be aware there are some advantages to this:
1) You know your competition is real
2) You will be told if the other party has dropped out
3) Shared pest and building costs if you so choose
4) Our services and experience and relationship with you.
There are no industry (REIV) guidelines as such, so I (Mal) have copied this one letter into the REIV legal advisor. If you or he can see anything that requires change, I will notify all parties. If you have any concerns about our company’s dealings with you in this matter, please contact me and, if not satisfied, then contact the REIV or the Complaints Dept at CAV.
Please feel free to consult your solicitor and show them this letter. The REIV legal department and our company solicitor Chris Farrell are aware of this procedure for managing conflict. You will get a fair shake and our best efforts absolutely no favouritism or wink and a nudge in this instance. But please note, you will in all likelihood still have to beat others.
Where we have a conflict between seller and buyer – we always represent the buyer.
We are primarily a buyer advocacy firm, but are sometimes engaged by a vendor. If we are engaged by a vendor for a Property that you agree to purchase, we will immediately cease acting for the vendor. We will not be entitled to receive a commission from the seller (directly or indirectly).