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Buying interstate process

Discussion in 'General Property Chat' started by Inov8ive, 26th Mar, 2016.

  1. Inov8ive

    Inov8ive Well-Known Member

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    I am Sydney based and have made several interstate purchases but I really do not have this process down to a fine art by any means. I am hoping that people can share some tips or personal process' on how they buy interstate.
    My current process is to do a whole heap of research and narrow my search down to a couple of areas, sometimes even streets and then once a property that fits my criteria becomes available, I try to negotiate price to ensure that it is within my budget and then fly down/up/across to do a thorough inspection before making an official offer. To be honest, this process has not worked that well. Many agents do not take you serious if you have not inspected the property thereby making it difficult to negotiate properly. I have also wasted lots of time and money flying interstate to inspect properties that I have missed out on as well. I know that a lot of you guys have some big portfolios on a national and even international scale so some tips would be very much appreciated:)
     
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  2. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    Few options

    1) Use a BA to search and locate
    2) Use an inspection service, eg via a PM or person on ground from the forums
     
  3. Inov8ive

    Inov8ive Well-Known Member

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    Thanks Dave,
    I did not know that there were such inspection services besides building and pest. What do they provide and how much do they charge?
     
  4. JesseT

    JesseT Well-Known Member

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    in the past I have decided on a PM once I know where to invest, then use them to advise what property is in demand and have them inspect properties which I find to check if they are suitable, what it should rent for and their opinion of what it's worth.
    Then make an offer based on that information.

    Once accepted arrange B&P inspections, complete due diligence and fly over for inspection before cooling off period ends.

    It's worked well so far, just have to find the right PM
     
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  5. bythebay

    bythebay Well-Known Member

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    Or just do it yourself
    We are sydney spiders
    Did some desktop dd on vic, picked a suburb, flew down a couple weekends to drive around the area and attend open houses,
    Lined up conveyancer
    Saw a property online, commissioned b&p, put in offer (didn't bother flying down to see it in person as we wanted to close deal fast and didn't expect physical inspection would change our mind)
    Vendor accepted
    Passed paperwork onto conveyancer like you would with local buy
    Not too different a process
    Found a property manager before settlement
     
    House likes this.
  6. Tonibell

    Tonibell Well-Known Member

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    There is no substitute for time on the ground.

    Our kids have had enough of Brisbane / Gold Coast / Sunshine Coast holidays - so it must be time to look elsewhere :)

    Look out for the airfare specials and book in advance - it will take more trips than you think.

    Use your time there to research, view and build some relationships.

    Not easy - bt it is necessary.
     
  7. Inov8ive

    Inov8ive Well-Known Member

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    Thanks for that but I can't imagine a PM inspecting properties pre-purchase as they are generally pretty busy. I have PM's that manage properties for me and I wouldn't feel comfortable asking them to inspect and report back pre purchase. Would be good to hear from PMs on this.
     
  8. Coconutwheels

    Coconutwheels Well-Known Member

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    I'm not a PM but have done exactly as Dave M described in a few different locations. Ive offered money to them but they have always just been happy with signing the management to them.

    Ive found that I do my best due diligence when not "on the ground", maybe I just get lazy with the home work when I'm there looking around myself. I'm also buying in the bottom end of the market which made it easier too, they're all pretty similiar boxes in that range.
     
  9. Nemo30

    Nemo30 Well-Known Member

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  10. MTR

    MTR Well-Known Member Premium Member

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    What State???
     
  11. JesseT

    JesseT Well-Known Member

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    Just a matter of finding the right person, i have also had a couple of selling agents offer the same deal if I was to use their PM services.
     
  12. Azazel

    Azazel Well-Known Member

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    That's true, if the market is moving some agents are unlikely to take you seriously if you give an indication that you haven't bought that way before. Up to you if you give them a different impression ;)
     
  13. Inov8ive

    Inov8ive Well-Known Member

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    I'm looking at Adelaide at the moment
     
  14. Inov8ive

    Inov8ive Well-Known Member

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    Thanks for that, I will speak to a few agents and see how it goes
     
  15. D.T.

    D.T. Adelaide Property Manager Business Member

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    Yep, been one of our staples since the beginning.
     
  16. JesseT

    JesseT Well-Known Member

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    Read your article in YIP, great work, always good to see familiar names and faces in there.
    Hopefully I'll be in contact with you late this year/early next year regarding a Christies beach purchase.
     
  17. D.T.

    D.T. Adelaide Property Manager Business Member

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    Thanks!
    That's a nice spot, would consider there myself :)
     
  18. Sam Yue

    Sam Yue Well-Known Member

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    Some areas don't have well-known PMs to help, then we have to be the first person to try tomato, and find out the good ones by ourselves.
     
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  19. dabbler

    dabbler Well-Known Member

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    Actually, had a few PMs offer this in multiple states, I have not taken them up, as long as your not tyre kicking, why not, you want to know the return, they need to inspect to give a firm indication.

    This is different to asking someone to just look at random at some place or ad nauseum when your not ready to fire.


    PS have done sight unseen with both agents had met prior, and ones I never met or talked too prior, have bought without seeing inside due to tenants, I can only say your knowledge and the vibe you give may be the most important.
     
  20. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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