There are three main ways to use buyMyplace.com.au to value properties for sale.
- Free estimate - BuyMyplace, in conjunction with FindMeAHome, provides a free estimation tool. Click here for more information.
- $25 Right Price Report - For only $25 you can get a more in-depth report from our partner, Residex . This report, normally valued at $75, contains full recent sales data, suburb price growth history, demographics and more. View a sample. This report will give you greater peace of mind when setting the sale price of your property. Click here for more information.
- Professional valuation - For maximum peace of mind you can purchase a professional sworn valuation from our key partner who is a certified practicing valuer. This is the way banks value properties and is the most accurate way to have your property valued. When you list with us you get the contact details of a professional valuer in your area.
One of the more contentious issues in real estate, and the main source of frustration between buyers and agents, is the quoted price of the property.
When the property is sold privately, the price is set. The seller may have an agent acting on their behalf, but the price is common knowledge to all parties.
However if a property is going to auction, it's another story.
The agent and the seller have agreed on a price, which is the 'reserve price' at auction.
The problem for prospective buyers is that the reserve price is never stated. So the buyer does not actually know what the seller wants for the property. But the agent knows and wants the highest price possible, as the higher the price, the better the commission. The small comfort you can take away from the price estimate, is that by law, whatever price range is stated, it must be within 10%.
Feel better?
The agent may not disclose the reserve, but they will usually offer a 'price range'. From there, it's usually a guessing game as to what is the actual price. For example, if the quoted range is between $400K-$450K, you'd believe the price the seller is looking for is in this area.
Well, maybe not...
The fact is, 'over quoting' and 'under quoting' is an unavoidable part of the territory when it comes to real estate.
Over quoting is when the agent quotes a higher price than the property is worth. Usually this happens to secure the listing of the property from the vendor.
Under quoting is what affects the buyer, and is when the agent quotes a price range below the reserve price of the property. This is done to stimulate market interest in the property even though the buyer may not be able to purchase at the ultimate (undisclosed) reserve price.
Whether misquoting is a legitimate mistake or an agent's tool, it's something that all buyers should keep in mind.
If the agent is quoting $400K-450K, expect the reserve to be towards the top end of the quote, or as much as 10% on top of the highest point.
It's not fair, but it does happen. Being prepared will save you time and money.
Do your research and be prepared! This is the best way to avoid being frustrated and bitter about misquoting of house prices.
BuyMyplace and Residex have tools to help you get a clear picture of house prices. The Residex Consumer Reports are just one way to help you make smart decisions when looking to buy property.
BuyMyplace is a property marketplace where you can speak directly with the vendor of the property and get the information you want directly, truthfully and accurately.
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