Research to buy
There are many ways to establish what might be considered fair market value for a home. Websites such as realestate.com.au, corelogic.com.au can provide comprehensive reports on individual properties, streets or entire suburbs. For most people buying, nothing beats getting out and actually looking at homes within your desired price range, property type, suburb and comparing like for like. Making informed market decisions can save you all the heartache of missing out on a property you love or paying significantly above fair market value.
Buying at Auction
Buying at auction is a great way to know what other buyers are willing to pay for the same property and should you be the winner at auction, you can rest easy knowing you paid fair market value as someone was prepared to pay a little less than you did. It provides social proof of the interest of other buyers so when an agent says there is a lot of interest in a property, you get to see first hand at auction if this true. The sale is a cash unconditional contract so making sure you have your finances in place and any building or pest inspections completed prior to the auction is important as a sale at auction cannot be made subject to these types of provisions.
Buying through Private Tender
A sale by Private Tender allows you to make offers for the property from the first day it comes onto the market through to a closing day, often four to five weeks later. If the owner receives an acceptable offer prior to the closing date, the property is declared on the market and is sold 24 hours later. All interested parties are given the opportunity within the 24 hour period of submitting there best and final offer for consideration, so putting you best foot forward at this point is imperative as you may only get one chance to submit your offer. The seller will then simply select the offer they like most. Offers made with a Private Tender can be conditional on finance, pest and building but often a seller will favour an unconditional sale over one with conditions.