Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI
In this week's episode Dave, Cate and Pete take you through:
1. NSW state budget announces introduction of annual land tax to replace stamp duty
Stamp duty has already been abolished in Canberra, but Canberra only has one hundred thousand homes. It will be interesting to see how Sydney fares on a much larger scale with one million dwellings. The introductory measures will be in place for first time buyers only, who can opt to pay land tax annually of $400 + 0.3% of the property value.
2. Attitudes towards the property market diverge
The reality is that there is a segmentation in the market currently between those who haven't ever experienced interest rate increases vs those who have. Cate explains how this affords great opportunity for anyone who is willing to take the plunge in certain segments of our market.
3. Crypto currencies take a dive
Increasing inflation has led towards large rate hikes in the US, with the most recent 75 basis point increase announced this month, which is the highest rate increase in 29 years. This in turn puts pressure on shares and crypto currencies. Bitcoin has fallen by 70%, whilst some crypto exchanges have ceased the ability for people to access funds and make redemptions, almost like a bank denying withdrawal of funds. This is a sure sign that the crypto currency market is facing some serious headwinds. Dave shares the potential upside that these falls represent for those who own property.
The various types of sale methods and reasons why each are adopted
1. A question from our listener
Hi guys, thank you for such an informative, but entertaining podcast. I've just listened to the episode on "off markets". I am just wondering if you can offer some insights into how to navigate when a property is "on market" but is listed as EOI (expression of interest), rather than a price range? Why might a vendor do this? Do you put your best price forward and declare all your cards, or is there still an opportunity to negotiate? Is it a case of Pete's rotten apples potentially? Thanks team
2. What are the typical methods of sale around our nation?
Cate takes our listeners through a brief recap of the various different sale methods used and what factors impact the choice of sale method.
3. Best and highest offer - should you show all of your cards or go for baby steps?
The trio discuss what happens when the highest offer is actually really low and the vendor isn't happy with the outcome and Cate shares her tips on when you should actually submit your best and highest.
4. Why wouldn't you auction a property?
The trio discuss the market conditions and reasons why a property is selected to be sold via auction. More importantly, when you should not sell a property via auction.
6. As a vendor, what sort of guidance and rationale should you be looking for with your agent when you are considering the various methods of selling?
The trio discuss how to field real estate agents and the key questions to ask.
7. What does it mean if the price guide changes?
Listeners beware! Cate reveals what a reduced price actually means (and it's not more dollars in your pocket).
Visit the show notes - https://propertyplanning.com.au/methods-of-sale-and-what-do-they-say-about-the-property-and-or-the-state-of-the-market-ep-159/