Join Australia's most dynamic and respected property investment community

Should I sell now? Competition is high but so are their prices

Discussion in 'General Property Chat' started by Jane Eyles-Bennett, 1st Sep, 2016.

  1. Jane Eyles-Bennett

    Jane Eyles-Bennett Member

    Joined:
    4th Jul, 2015
    Posts:
    22
    Location:
    Australia
    I'm interested in your thoughts on whether to sell a particular property I own now or not.

    There are currently 4 houses for sale within 200 metres of the property I'm thinking of selling (in North Lakes, North Brisbane).

    Looking to put on the market for offers over $599k and it is a 5 bedroom + study (with a bit of a dodgy pool) on 624sqm's. Recent val (6 months ago) came in at $580k but other properties nearby are asking much more than this.

    One other house (two houses down) also has 5 bedrooms but no study and has an awesome pool (620sqms). They are asking for offers over $709k which I think is a bit high, but I can see why they would give it a crack.

    Two other houses down the road a bit are asking offers over $649k and each of these are 4 bed + nice pool.

    All are fairly equal in terms of finishes though mine is the only one with stone bench-top, new appliances, timber floors and newly reno'd main bathroom (but mine has the dodgy pool which I guess off-sets this).

    So, my question is; should I put it on the market now and be the property that offers more rooms but is asking for less $$$ (but also means I'm entering into a more competitive market)? OR wait until the other properties have sold or taken off the market? I guess the risk is if they end up selling out of desperation they might lower the expectation of sale prices for houses in the surrounding streets.

    What do you think?? Help I've been going around in cricles wondering what to do! o_O
     
  2. herenow

    herenow Well-Known Member

    Joined:
    16th Aug, 2015
    Posts:
    55
    Location:
    SA
    Why are you considering selling?
     
  3. MrFox

    MrFox Well-Known Member

    Joined:
    20th Aug, 2015
    Posts:
    139
    Location:
    Melbourne
    It sounds like your home would represent good value comparing it to others in your neighbourhood. There is no harm to steal some buyers of the other properties while you can. You could create bit of competition on your property if your is the cheapest. Worth having a shot. Your neighbours won't like it. :)
     
    Whitecat and Jane Eyles-Bennett like this.
  4. Jane Eyles-Bennett

    Jane Eyles-Bennett Member

    Joined:
    4th Jul, 2015
    Posts:
    22
    Location:
    Australia
    @herenow looking at building in Mango Hill closer to the new train station. Think there will be better future rental yield, higher occupancy and slightly higher capital growth there.
     
  5. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

    Joined:
    18th Jun, 2015
    Posts:
    2,764
    Location:
    Perth WA
    How dodgy is the pool? Leaky or just dated?
     
  6. Jane Eyles-Bennett

    Jane Eyles-Bennett Member

    Joined:
    4th Jul, 2015
    Posts:
    22
    Location:
    Australia
    Just dated @Jess Peletier. Its an above-ground pool that the previous owners put underground. Urgh!
     
  7. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

    Joined:
    18th Jun, 2015
    Posts:
    2,764
    Location:
    Perth WA
    Haha! Whyyyyyy?!
     
  8. Jane Eyles-Bennett

    Jane Eyles-Bennett Member

    Joined:
    4th Jul, 2015
    Posts:
    22
    Location:
    Australia
    I knooow!! Some people - I tell you!!
     
  9. Dean Collins

    Dean Collins Well-Known Member

    Joined:
    21st Feb, 2016
    Posts:
    219
    Location:
    New York
    nope don't sell......why would you pay sales commission, pay out a mortgage and then apply for a new mortgage, pay new property tax etc for something that is renting out and making you money.

    Better to keep this one AND buy the next IP from the excess capital available once your neighbours houses sell for "record area levels".
     
    Tranquilo likes this.
  10. Gockie

    Gockie I'm an ISTP-A female, so I might be a bit quirky! Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    4,906
    Location:
    Sydney
    Sounds like a good plan... equity mate, equity.:p I think it has more growth to come over time.
     
  11. C-mac

    C-mac Well-Known Member

    Joined:
    26th Jun, 2015
    Posts:
    794
    Location:
    Sydney
    Agree. I would not sell. Extract equity as downpayment for Mango Hill build (will this be ppor or investment?).
     
  12. mikey7

    mikey7 Well-Known Member

    Joined:
    30th Mar, 2016
    Posts:
    197
    Location:
    Sydney
    Depending on where in North Lakes you are, I'd hold on to it. I drove through there last month and my instant thought was buy there because it looks like the next Norwest/Bella Vista (NSW).. nice decent sized homes, close to Westfield, and a growing business area.
     
  13. mcarthur

    mcarthur Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    523
    Location:
    ACT
    With those options, I'd put it on immediately. Let the buyers go through all the properties and see the benefits of yours against the others, especially price. If possible, get in before the others auction (if they are, probably not in Qld) or reduce their price so people can make bids on yours before the others come up.

    With some of your properties features notably different, don't forget to emphasise that on walkthroughs - maybe provide an extra printed page to be handed out along with the agent's spiel that says what's great/different. I've found that many time the agent's shill sheet doesn't cover all the things I think are important :rolleyes:.