<html><body>
For many, renting a property is a stop-gap solution on the pathway to the bigger dream of owning a home. And while renting provides a certain flexibility and potentially affordability the lure of home ownership appears as strong as ever it was.
In <a href="https://www.news.com.au/realestate/buying/uk-mum-fran-bunce-sells-all-her-belonging-to-raise-money-for-deposit/story-fndban6l-1226669467279" target="_blank">a recent story featured on news.com.au</a>, an ambitious English woman has sold everything short of the shirt off her back (again, perhaps she sold that too) to scrape together a home deposit.  Seemingly, she was paying more rent than what her predicted loan repayments would have been.
However it raises the question: how far would you go to own your own home?
Not too far I hope, as the option of home ownership is not as unrealistic as it once was thanks to improving affordability.
These days renting can in fact be more costly than repaying a mortgage in some cases.
At present, this stellar combination of low interest rates, housing affordability and a market on the bounce-back presents a very exciting opportunity for first home buyers.
But what happens if you’re short on the deposit? Or perhaps the bank isn’t willing to give you a go just yet. Short of selling all of your worldly possessions, or giving up on the idea entirely, here are some alternative ways of entering the property market:
Co-buying – also known as shared ownership, joint ownership or co-ownership – is when two or more people decide to spread the financial burden and buy a property together.
More and more often, parents are buying with their children, siblings are buying together, as are friends, extended family members, even colleagues.
By pooling your resources, you can afford somewhere bigger, better and sooner than you could alone.
For those entering the investment market, the obvious advantages include the reduction in capital required and other associated costs involved in buying a property. Better locations can also become more accessible due to the reduced risk.
However, just like a shared tenancy, it’s important to remember that a mortgage mate, a co-buyer or a co-investor is in essence, a partner.
As such, there are significant legal and financial obligations to consider and plenty of due diligence is called for.
Before you jump in, be sure that everyone involved has the same intentions and goals. Short vs. long term ownership, owner-occupied vs. tenanted – you get the picture.
And most importantly with co-ownership, it’s vital that all parties have a legally prepared document – such as a Deed of Trust – when entering into a co-buying arrangement.
Lucky for us, baby boomer parents are increasingly helping their kids into the property market and to be honest, it wouldn’t be the first time we’ve had to ask the parents for a lending hand. 
Creative ways they are giving their children a “leg up” include co-buying where the parent(s) provide the equity and the children take responsibility for paying the debt.
The other arrangement is by way of a guarantee.
The traditional bank guarantee has been replaced by a product that allows a parent to guarantee an amount to supplement the borrower’s deposit. The size of the guarantee can be limited to a specific amount which protects the parent from losing their home should the child default on the loan.
Remembering that purchasing property is a long-term commitment with ongoing costs, it is also a fantastic way to secure a long-term future.
So whether you decide on co-ownership, parental support or a good old fashioned ebay bonanza, it sure would be nice to have something to call your very own.
Amanda Haack is events manager journal deputy editor at the <a href="https://www.reiq.com/" target="_blank" rel="nofollow">Real Estate Institute of Queensland</a>. This article originally appeared on the<a href="https://reiqblog.com/" target="_blank" rel="nofollow"> REIQ blog.</a>
</body></html>

ahaack-6499LRWKce

Creative ways to help first-home buyers get into the property market: Amanda Haack

<html><body>
A <a target="_blank" href="https://www.crimecommission.gov.au/publications/crime-profile-series-fact-sheet/clandestine-laboratories-0">report by the Australian Crime Commission</a> stated that from 2010 – 2011, by a significant stretch Queensland recorded the highest number of detected clandestine laboratories in the country at 293. Western Australia followed with 171 detected labs and New South Wales and Victoria reported 87 and 63 respectively.
In my role, I have been fortunate to have a relationship with the Queensland Police Service Drug Squad. We have a common goal to educate property managers and licensees on the risks and indicators associated with the discovery meth labs. I have come to understand that illegal drug activity is not exclusive to outlying suburb and learned some of the indicators most would overlook, but are in fact a blaringly obvious clue to identifying a meth lab.
The circumstances in which Queensland property managers are required to conduct routine inspections means their eyes should be wide open to such clues. Clandestine (meth) lab detection in Queensland rental properties has and continues to grow exponentially.
Industry experts have been clear over the last number of years that these figures are rising – significantly. Only a month ago in Western Australia, <a target="_blank" href="https://www.watoday.com.au/wa-news/drug-lab-forces-public-housing-demolition-20130214-2efvh">it was reported </a>a home had to be fully demolished due to the extent of damage caused by the illegal activity.
The growing problem is not Australia-exclusive either. In an article by <a target="_blank" href="https://money.cnn.com/2013/02/12/real_estate/home-meth-lab/index">CNN money</a>, meth labs in US rental properties are a severe issue, with only 5 per cent of the approximate 84,000 labs detected by authorities when last recorded in 2004. Closer to home, the <a target="_blank" href="https://reiqblog.com/2012/12/drug-labs-found-in-unlikely-places/">REIQ Insider posted a blog</a> earlier this year on labs found in unlikely places, one in particular being in a high end suburb of the Gold Coast.
As a result of this rising issue, property managers and agencies may be exposed to significant personal and professional risk if the correct response measures are not taken. It is essential real estate practitioners take the time to understand how to recognise and respond to the discovery of a meth lab as mishandling could lead to far greater consequences.
In June, the REIQ in conjunction with the Queensland Police, Aon, Carter Newell Lawyers and TAADA (The Australian Drug Detection Agency), will host a series of interactive networking breakfast sessions that will identify key risks areas and the associated recognition and response tactics that every property manager must know.
For more information on these events, <a target="_blank" href="https://reiq.informz.net/reiq/archives/archive_777111">click here.</a>
Amanda Haack is events manager journal deputy editor at the <a rel="nofollow" target="_blank" href="https://www.reiq.com/">Real Estate Institute of Queensland</a>. This article originally appeared on the<a rel="nofollow" target="_blank" href="https://reiqblog.com/"> REIQ blog.</a>
</body></html>

Queensland property managers must keep their eyes open for meth labs: REIQ

<html><body>
In a market where we are seeing a rising number of property listings, it is more important than ever to ensure that when your home hits the open home circuit, it’s playing the part.
Unfortunately the old ‘throw some cookies in the oven’ trick just doesn’t cut the mustard anymore. In fact, the mouth-watering aroma of freshly baked treats is so yesterday. The new must-do property preparation, which surfaced in the United States in the '80s, has well and truly hit Australian shores – property staging.
Essentially, property staging allows sellers to create the ideal home experience for buyers. Experts say that although a buyer may only include certain items on their dream home checklist, they are also subconsciously affected by the not-so-obvious surroundings – which may in turn affect their purchasing decisions. Property staging professionals are trained to incorporate those surroundings into your home in order to achieve those subliminal effects.
A professional stager will assess the property’s current décor, consider the targeted buyer audience and showcase the space accordingly. It’s not just a matter of smart furniture and replica artwork, either. Staging allows the home’s most unique architectural features to really shine and maximises the available space to capitalise on a buyer’s interest.
According to Queensland property staging company Styled By Me, a potential buyer is 63% more likely to buy a property that is presented as a ‘ready to live in’ look. And REIQ-accredited agents have reported that a staged home can decrease time on market and increase potential profit.
This service can also allow a property a renewed lifespan on the market. If a home has been for sale for a significant period, an internal transformation can attract a wider group of buyers and refresh the listing’s presence. Additionally, when a home is completely vacant it’s difficult to ascertain the purpose of particular spaces. When a property is staged, the buyer has a clearer understanding and perspective of each space. And naturally your investment in staging will reflect in the images used in your property’s marketing campaign.
It is even rumoured that prestige residential rentals and commercial and retail leases are getting on the property staging train to ensure they snag the right type of tenant for their property.
So if you’re the type that likes to keep up with the real estate Joneses, it’s time to throw out the cookies and make sure your property is playing the part.
Amanda Haack is events manager journal deputy editor at the <a href="https://www.reiq.com/" target="_blank">Real Estate Institute of Queensland</a>. This article originally appeared on the<a href="https://reiqblog.com/" target="_blank"> REIQ blog.</a>
</body></html>

Forget the freshly baked treats: How professional styling can increase your home's selling price

<html><body>
You have decided to sell your home in early 2013. You have decided on an agent, the house has been cleaned within an inch of its life (you’re actually considering submitting a few pics to House and Garden),and you are so ready to sell you have one foot out the door. Then comes the recommended marketing and advertising campaign – and the price tag attached to it. 
Agents are often met with objections to advertising spend. More times than not, however, the seller comes to understand that the greater the exposure a property has to the market, the greater the number of buyers who are aware of the listing. So if you’re mentally wrestling with the dollar spend of advertising your property, here are a few reasons why it is  a worthwhile investment when selling your property. 
Alexandra Rutherford from Brisbane agency Place New Farm says that effectively marketed homes are selling in a shorter amount of time and often for a higher price. 
“The price that is achieved on average is between 2% and 5% higher with marketing in both [print] and internet sites due to a larger exposure to the market,” she says. 
“Buyers sometimes will not consider an area but will connect with images and then view the home and decided it is ideal for them even if it is not in an area that they would have considered.” 
David Powell from Dowling and Neylan Real Estate in Noosa believes that it’s all about creating a presence around the property. 
“A cheap sign and amateur photos tell a potential buyer one thing – this property is cheap, whereas on the other hand, big print ads with professional photography, smart copy and a highlighted internet listing have the ability to alter the way a buyer perceives the property, and the value of that property,” he says. 
Creating the right campaign for your property
REIQ-accredited agents are encouraged to create a campaign that will achieve the highest possible price for the seller. There are a range of options that may appear on this list – signboards, open houses, local and interstate newspapers, property websites such as reiq.com or dedicated property magazines. 
However, before an agent can legally market or promote a property for sale the vendor (seller) must be given an itemised marketing and advertising campaign and agree to the campaign prior to any marketing commencing. 
The REIQ buyer and seller behaviour report identified that signage, newspaper advertisements and real estate websites rate in the top five methods that buyers use to source property. With this in mind, a campaign should be a collection of advertising options that cater to the research behaviours of buyers. 
Every area is different, so be aware that a marketing campaign is likely targeted according to your property’s geographic location. In fact, the report also found that initial awareness of a property came through real estate websites in the Brisbane region however coastal towns and cities saw newspaper advertising as the most popular. 
Then there are the finer details such as professional photography. The imagery associated with the sale of a property is often overlooked as a non-essential ingredient to the marketing mix. Well, I’m sorry to say that a few Instagram pics are not going to do the trick when it comes to attracting buyers. The report found that photos of the property had the strongest advertising influence. 
So what happens if you don’t commit to advertising spend? 
Well, I’ll put this in context the best way I know how – shopping. You have shopped incessantly, found the perfect outfit, invented the necessary budget justifications to then sentence it to a life behind cupboard doors? To not effectively showcase your property to the marketplace is like stashing away a new dress for no one to see. 
The shift in the market has now made it imperative that agents have all the tools necessary to market and sell a property within the shortest time possible. Without this marketing mix your property may fight an uphill battle to compete with other properties on the market. 
Your property has one chance to make a first impression – make sure it’s a good one!
Amanda Haack is events manager journal deputy editor at the <a href="https://www.reiq.com/" target="_blank">Real Estate Institute of Queensland</a>. This article originally appeared on the<a href="https://reiqblog.com/" target="_blank"> REIQ blog.</a>
</body></html>

The importance of effective advertising to sell your home in 2013

<html><body>
To the average person the concept of a drug lab operating out of a standard residential property may seem somewhat far-fetched. Surely these types of operations only exist in abandoned sheds on the outskirts of town, just trying to mind their own business?
Unfortunately, this is not the case. The drug lab epidemic has leaked into neighbourhoods across the country next door to unsuspecting families and children.
An article titled “Landlord blasts property agents after drug raid” was published in the Gold Coast Bulletin about the discovery of a drug lab property on the Isle of Capri.
This is a prestigious island suburb located in the heart of the Gold Coast with most properties boasting waterfront access. Not exactly an abandoned shed, is it? The property in question was a rental property and it once again highlights property managers’ exposure to potential mismanagement claims by their landlord clients.
According to the article, the landlord lived next door to the rental property and allegedly had concerns about its condition. The landlord reportedly blamed the property manager because he believed the agent’s inspections had been inadequate.
The setup of drug labs is not always easily identifiable, and in many instances landlords may look to blame agents and seek to recover their losses from them.
It is an apt time for the Real Estate Institute of Queensland to remind agents that the cover provided by the Aon/REIQ/ Professional Indemnity policy is unique in that it is the only policy which has a standalone property mismanagement extension.
This extension provides protection from allegations of negligence arising from any claim arising as a result of an actual or alleged breach of the agent’s professional duty as a property manager, including malicious damage to a rental property or loss of income or value to a rental property as a result of illegal activity by tenants (including drug labs).
With drug labs appearing in the most unlikely of suburbs across the country, this is a timely reminder for those in the real estate profession to be aware of the associated risks, both personally and professionally.
More information on drug labs can be found through the <a target="_blank" href="https://www.police.qld.gov.au/programs/druglabs/">Queensland Police Service</a>
Amanda Haack is events manager journal deputy editor at the <a target="_blank" href="https://www.reiq.com/">Real Estate Institute of Queensland</a>. This article originally appeared on the<a target="_blank" href="https://reiqblog.com/"> REIQ blog.</a>
</body></html>

 How Queensland property insurance can help if a drug lab is found in an investment property

<html><body>
As a female, I am forever intrigued by the increasingly popular concept of the man cave. It would seem there are men purchasing property specifically for its man cave feasibility.
Adequate space for an overpriced vintage jukebox – check; sufficient hanging space for a deluge of sporting memorabilia cleverly purchased sans spouse-approval – check; appropriate radius surrounding championship-size pool table to accommodate championship-style pool playing – check; self-cleaning capability – I’m told they’re working on that. And I’m told the single most important attribute of a man cave is of course the games console.
I shouldn’t be surprised. Habitats of this sort date back to the days of hunting for food with one’s bare hands, although I note this particular activity has been selectively left behind in the current caveman days. Its evolution has been quite incredible.
It was an <a target="_blank" href="https://www.couriermail.com.au/realestate/investing/sydney-home-owners-building-man-caves-that-would-put-aladdin-to-shame/story-fndboir2-1226474676127">article recently published in the Courier Mail</a> that really sparked my interest. It seems the men of Sydney are splashing extraordinary amounts of cash around when it comes to perfecting their private abode. We’re talking mini-cinemas, 12-car garages and jaw-dropping technology to boot.
We can’t forget where it likely originated from – our friends in America. The <a target="_blank" href="https://www.realtor.com/blogs/2012/05/21/man-up-men-talking-man-caves-mantuaries-and-general-manspace/">National Association of Realtors</a> recently shared the ultimate example. The home of the one and only Burt Reynolds, of course. Arguably a pioneer of the man cave concept and every interior decorator’s worst nightmare, Reynolds has gone to extreme lengths to style his abode in the most male-appropriate fashions.
It had me wondering, how many of these gems do we have in Queensland? So I did some research. I found at least three properties on <a target="_blank" href="https://www.reiq.com">reiq.com</a> that were promoting the inclusion of a man cave in the property description. There are a few with features that strongly indicate the presence of man-cave-esque stylings – while they have refrained from using the label itself. Just one example: a stunning waterfront property located at Hope Island on the Gold Coast includes an open-air cinema, indoor and outdoor bar and retractable flat screens.
Does it increase the value of the property?  Where does it end? Do we start taking proximity to the nearest watering hole into consideration? Is it an appropriate stumbling distance?
I’m starting to sense a trend here.  As for me, a suite of stainless steel Miele appliances beats a 12-car garage any day.
Is it possible that man caves are becoming a prerequisite for potential buyers?
I apologise to all the ladies out there whose partners have read this blog and consequently decided to install thumb-scanning technology for shed or exclusive bar access.
Amanda Haack is events manager journal deputy editor at the <a target="_blank" href="https://www.reiq.com/">Real Estate Institute of Queensland</a>. This article originally appeared on the<a target="_blank" href="https://reiqblog.com/"> REIQ blog.</a>
</body></html>

Are 'man caves' becoming an Australian property trend?

<html><body>
Everyone knows how much their home is worth. Don’t they?
It’s the conversation that can strike fear into the heart of even the most experienced real estate agent. A person’s home is often his absolute pride and joy. Often it has been home to wonderful family memories or the blood, sweat and tears that were poured into those stunning renovations. Then you throw the ever-discerning buyer into the mix. She has hunted the open-home trail for months, researched her preferred suburbs and compared homes upon homes. Ultimately, it is these people who will determine what your home is really worth.
So when it comes time for an agent to have the price-setting conversation with a seller, the reality of the market conditions can come as, well, a rude shock. It is often the case that the seller is sporting a lovely pair of rose-coloured glasses. What is a castle in his eyes could be – for lack of a better term – a shack in the eyes of the buyer.
When deciding how to price your property, there is often a disparity between what the seller expects and what the market is offering.
Here are a few key tips to help you through the price-setting process:
<ul>
<li>Setting a realistic price will ensure you obtain your asking price and also conclude the sale promptly;</li>
<li>Sellers who set a too high price on their homes can seriously damage their prospects for a quick sale;</li>
<li>Facts and figures show that an overpriced property discourages serious buyers. When it remains on the market too long it redirects interest to more realistically priced properties;</li>
<li>Emotional attachment and pricey renovations often drive sellers to push the price up – and understandably so. However, unfortunately the state of the property market won’t always reflect personal circumstances; and</li>
<li>Do your homework! Be sure to research the property market in your area and seek the opinion of a professional from a REIQ-accredited agency in Queensland, or other REIA-accredited agency.</li>
</ul>
A good start is an appraisal – an inspection to estimate the sale price of a property. An agent will appraise your property at no charge if you ask.
This is not a “pluck a figure from the air” kind of appraisal. Under the Property Agents and Motor Dealers Act, if you request the agent to provide a market appraisal on your home, the agent will provide a comparative market analysis (CMA) or written statement for your property.
The criterion for a CMA is comparing three properties of similar standard and style sold within a five-kilometre radius in the last six months. If an agent is not able to provide a CMA due to lack of comparable sales within your area, he must supply you with a written statement outlining how he arrived at the suggested market price of your home.
From the CMA or written statement, and taking into account the current property market, sellers will have formed a foundation from which to set a realistic selling price for the home.
In any market conditions, establishing a realistic price when selling your home is important, however, it is even more important when there are more sellers than buyers in the marketplace. After all, being an educated seller – sans rose-coloured glasses – can make the selling process much more efficient for all involved.
Amanda Haack is events manager journal deputy editor at the <a target="_blank" href="https://www.reiq.com/">Real Estate Institute of Queensland</a>. This article originally appeared on the<a target="_blank" href="https://reiqblog.com/"> REIQ blog.</a>
</body></html>

Amanda Haack

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News