Expats ought not rely just on property research from relatives
Angus Raine of Raine & Horne says that expats who are typically spending $3 million-plus for a future home in Australia need a buyers’ agent to identify good buys and to then negotiate the sale.
“Because of the tyranny of distance and the amount of money they are spending, expats shouldn’t just rely on only their on-line research,” says Raine.
And expats shouldn’t rely too heavily on the help of their relatives, he suggests. “They need experts to really work on their behalf.”
Buying near a good private school often heads the wish-list of expats with the desire for their children to attend secondary school often the trigger for expats to return to Australia.
Potts Point estate agent Vicki Laing, from Laing Estate Agents, noted some expats rely heavily on their Sydney-based relatives to inspect, at least initially, possible purchases.
"In many cases, expats first identify potential buys on the internet and then ask their family to inspect the properties."
Shayne Harris of Savills Australia says parents really enjoy inspecting properties and representing their expat children.
“They are obviously proud of their kids and pleased to be on the ground looking after them.”
But Harris says that over reliance on relatives can lead to issues and disappointment.
Buyers’ agent gave noted some vendors regard expatriate buyers as "wood ducks", or easy targets especially if the expat buyers unwittingly send a message to vendors that they have plenty of money, are poorly informed about the local property market and have little time to inspect properties.
Shayne Harris says expats tend to look for houses in good condition that can be rented immediately after settlement.
He says an expat can claim excellent negative-gearing tax breaks that might ease the reality that rents for top-end properties are significantly down.
