Friday, July 31, 2009

Auctions back on the radar - RPData Property Pulse

Hi InsideStory followers,

This report shows that nationally stock levels are significantly down and the market is showing great signs of recovering. The acid test I believe will be October and November when the market is put under a stress test with the traditional flood of spring stock.

I must say I have been very concerned about spring off the back of last year’s shock collapse BUT, well….you would have to say that all is looking pretty good right now.

View The report (PDF)

Anthony Toop, Managing Director.

© Toop Real Estate Group

Thursday, July 30, 2009

Rismark Home Value Index July 30 2009 - RP Data

Here is the latest report from RP Data, and wow, looking very promising for property owners.

Click here to view(PDF)

The fact Adelaide has had the smallest rise of just 0.6% is OK since we didn’t get the falls and we need the other States to return to historical pricing parity if we are to hope to retain the mantle as the safe haven in property. Call Adelaide boring or call us stable, it is great to remain the most affordable and consistently performing in property of all the mainland States. History continues to show us the way, Adelaide just doesn’t get those wild highs and deep lows.

Weakest performing capital city: Adelaide, with home values up

0.6% over the first half of 2009

Enjoy this report, posted today, 30th July 2009

Anthony Toop, Managing Director.

© Toop Real Estate Group

The road starts here, it never ends!

This Harley Davidson quote was the inspiration for our Black&Chrome Fundraising evening held for Variety SA, the Children’s Charity, last Friday night. We believe that sustainability within a company is about contributing back to the community that provides you with your business.
We had a goal this year to raise $50,000 (at a stretch) for the Variety V2Classic which I currently Chair. Thanks to so many of you, our friends and clients, as with YOUR generosity we managed together to raise over $100,000 for our sick kids at this special event.

I feel honoured to be involved with a community with such big hearts.

Thank you!!! To all the many generous individuals and companies who supported this evening I will endeavour to get back to you all with the exact tally once all the monies are collected. Thank you so much.

Now to Real Estate!

Our latest rental vacancy rates are showing availability tightening in the outer belts, with vacancy rates increasing in the inner areas as you head towards the CBD. Over the past few weeks our leasing team have seen a rise in student interest, especially international students, with demand in the city beginning to return. At Newport Quays activity has also increased with vacancy rates dropping from 12% to 4.4% over the past few months... good news for investors! Here are the rest of our latest rates across the rental market Coast 2.6%; Western Suburbs 2.1%; City & inner suburbs 2%; East 1.2% and Hills 2.5%.

The real show stopper is in the North & North East where demand for rentals is outstripping supply and vacancy rates are currently sitting at 0%. If you’re thinking of investing this is certainly a hot spot worth considering!

The frontline in sales is holding strong - terrific news. Realistically priced, quality properties are continuing to be snapped up regardless of whether they are sitting in the lower, middle or top end of the market. If the price is right the buyers are there and the weather isn’t holding them back. First home owners are continuing to buy homes up to around the $500,000 mark but this demand will taper off come 1 October, due to the federal grant roll back. We still don’t know what Spring will bring, but right now demand is good and properties with prices aligned to the market are selling well... so let’s make the most of it.

Anthony Toop, Managing Director.

© Toop Real Estate Group

Friday, July 24, 2009

The tide turns for investors: PropertyPusle by RPDATA

This weeks report from RPData

The tide turns for investors(PDF)

Interesting Article by Cameron Kusher senior research analyst with rpdata: Price drops? Not in our neighbourhood.

Click here

Anthony Toop, Managing Director.

© Toop Real Estate Group

Thursday, July 23, 2009

CommSec Report- Reserve Bank Board: Reluctant rate cutters

CommSec Report- Reserve Bank Board: Reluctant rate cutters

Anthony Toop, Managing Director.

© Toop Real Estate Group

Property cheat fines; national crackdown.

Headlines this week; a timely reminder to Sellers & Real Estate Agents alike “Property cheat fines”. Caroline James in last week’s Sunday Mail reported on fines of up to $220,000 for sellers in a National crack down on the practice of underquoting when selling property. It has become known as “bait advertising”& is a deceptive practice.

The Interstate papers have been reporting almost daily on agents underquoting. The pressure has reached such a fever pitch that there is about to be a National approach to this problem. Here in SA it was almost stamped out through tough State legislation last July but we are starting to see it reappear, so the timing of this legislation is just perfect as far as I am concerned.

I agree absolutely that there MUST be a total blanket ban on the practice. Australian Competition & Consumer Commission (ACCC) boss Graham Samuel is taking a stand stating “vendor cheats would be relentlessly pursued” under the revised rules proposed to take effect on the 1st January 2010. The article went on to say the changes include fines of up to $1.1 million for Agents. Now that’s getting serious!

So why all the fuss? To would be buyers the answer is clear. They are conned into thinking they have a real chance of making a purchase based on a quoted price, then do all the expensive preparatory work (and get emotionally hooked) only to discover that they never had a chance of being successful & the seller wouldn’t have ever accepted the price that was quoted Ð the price simply used to ‘bait’ their interest.

“What needs to be understood is that bait advertising is not about getting way over the expected/quoted price, nor about getting well above the reserve price at an auction. It is about quoting a price that baits a buyer - a price that the owner would never sell their home for.”

It’s not about making a genuine sale but about deliberately misleading behaviour. Real Estate Agents who do the right thing are gravely disadvantaged when their competitor breaks the law by continuing to underquote. This is why it is critical the rules are clear and complied withÉwithout exception! Having MOST real estate agents (and Sellers) comply while some do not leaves us with the worst possible scenario. The buyer becomes more vulnerable, and the practice becomes more effective for the rouge seller & agent. The level of attention from State & National legislators is welcome from where I sit. Let’s once and for all kill off bait advertising, stone dead.

There are other legal changes on the way too. In a bizarre approach by the bureaucrats, there’s a change to real estate legal documents on the 1st August, then ANOTHER change a month later on the same forms (Form 1). There are no transition provisions on the first set of changes which from a practical operational level is just ridiculous & bizarre. I have been in the business for 30 years and I can’t work out how on earth many of the changes are to be interpreted, (nor can our legal council) so GOOD LUCK to buyers. Solicitors will have a ball unravelling it all. Why not make life simpler, chop down less trees and get back to basics!! If you know any Pollies ask them to take control of this, it shouldn’t be this hard.

Before we sign off, Fantastic week of sales, things are looking extremely optimistic right now, BUT remaining concerned about the flood of spring property, so please act early! Ring us and get your sale underway NOW!

Anthony Toop, Managing Director.

© Toop Real Estate Group

Wednesday, July 15, 2009

This week's inside story: International Buyers

Are our closest Asian neighbours really buying up Adelaide homes? Where are the new property sellers ‘rivers of gold’ in real estate? International Buyers, the InsideStory. For years now the real estate Spin Doctors have been working overtime to connect their organisations with International Buyers. Franchise operators led the charge, then boutique agencies jumped on the band wagon. Greed plus desire to tap into the miraculous plane loads of buyers picking up overpriced, local properties was presented in a believable way & supported by anecdotal evidence. This created what appeared to be an exciting new market for sellers. The question I ask is how much truth & how much fi ction is being told on what & why our international counterparts are today choosing to buy in Adelaide? Last year we were appointed to a marketing syndicate with a National agency who specialise in selling through their Asia connections. I was excited to see the inside workings of how these guys operated. They spoke of national seminars plus an amazing international property network. The pitch was of long standing, established sales channels throughout Australia & Asia for residential properties & student accommodation. So did this translate into sales? No, not one! Just a massive marketing bill. Once again this week I heard of the ‘Asia connections’. Do you have any idea how many people are trying to fl og this? Thousands. I think I am not bad at picking where the markets are so I spent 2 hours Googling the subject, there are literally thousands of companies competing for Asian property buyers. So perhaps the online property enquiry stats provide some reality. The UK easily hold #1 spot followed (in order of traffi c) by USA, Hong Kong, Singapore, China, Canada, NZ, United Arab Emirates & Germany. So what is my conclusion? There is no silver bullet, just an amazing level of Spin Doctor going on. Toop&Toop are on the right track. We continue to dominate online marketing capabilities, focus on leveraging international enquiry while building local relationships with international connections. As *South Australia’s #1 Residential Property Management Agency we maintain a high level of awareness & trust with our international landlords. We continue to build our quality brand & search for the next opportunity for our clients. If anyone has any differing views or success stories we want to hear from you. As *Australia’s most Innovative Real Estate Agency we guarantee one thing… if there are genuine ways of uncovering new sources of buyers to help our clients, Toop&Toop will be the fi rst to embrace them.

Anthony Toop, Managing Director.

© Toop Real Estate Group

Wednesday, July 01, 2009

Australian home values rise by 4 per cent in 2009, virtually wiping out 2008 losses - RPData

Released on Tuesday the 30th June, this press release will bring a smile to the faces of all property owners.

Click here to view the report

What the report shows is that all the hype and positive talk around property has been justified and the doomsday prophets so far have been wrong. Let's hope we are still saying this after spring, which is the defining time for residential property.

Low stock levels of property, lower than expected job losses

Anthony Toop, Managing Director.

© Toop Real Estate Group