Real Estate

Best for Real Estate Agents

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Picking a Suburb From a Haystack

Historical Growth

With thousands of suburbs in Australia to choose from, picking an area with solid capital growth is like a needle in a haystack. However, there are several indictors investors can consider to shortlist potential suburbs that stand out from the crowd.

So where do you start? One way to gauge how much growth is likely to occur is to look at growth that has passed.

However, investors must keep in mind that what has passed does not necessarily equate to what will happen in the future.

Smart Property Investor’s expert points to a three year time frame as a good benchmark when looking at historical growth.

“If you want to get in, in the early stages, then the median price changes can certainly help,” he says.

If the suburb has outperformed in the past three years, recording a growth of one per cent above the growth of the city average, this should prompt the investor to ask more questions, he adds.

  • Is it rejuvenating?
  • Is it getting re-rated by people?
  • Are the demographics changing?

As suburbs typically rejuvenate and get re-rated over a 10 year cycle, SPI’s expert continues, this will enable investors to still get in early during the cycle.

Demographic Changes

Another statistical indicator to be looking at is the income growth of an area, which can be obtained from the Australian Bureau of Statistics.

Analyse the last four Census to determine whether there has been a shift in the socio-demographic trends or if the area is gentrifying.

So, Where to From Here?

Most investors agree that at the end of the day, statistical indicators are only the tip of the iceberg. Savvy investors will always dig deeper beyond the numbers to determine what are the fundamentals driving the area.

Here are some on-the-ground fundamentals worth drilling into:

These indicators, combined with the fundamentals, should allow you to form an educated opinion in the suburbs that are likely to outperform.

Selling Your Home – Get Inside Your Buyers Head

Think of the Children

When you’re selling a property, it is easy to get so caught up in your preparations for an open home that you neglect the buyers themselves. Here are some things to watch out for when you open your home for viewing that shouldn’t be forgotten.

You may not have children, but buyers might – the reverse applies too. If you don’t have kids, you should consider areas of your home that are possible hazards for children that would come through your open house. Is poolside fencing sturdy? Have the pets been dropped off at a family member or friend’s for the day? Are small objects out of reach of toddlers? Anyone interested in buying your home that has children will be looking for a home that is safe for the little ones, especially if they’ve taken them along to the open house, and seeing these protections already in place will put your home in good favour with them.

Assurance Through Insurance

When you host an open home, you are letting an untold amount of strangers into your personal space and while people are generally courteous, accidents can happen. You should make sure your insurance is up to date so you don’t have to put even more work into your home before selling!

Prepare for the Fussiest Buyer

The ‘my house my castle’ mentality is something that needs to be dropped as soon as you decide to sell a home, as difficult as it may be. While you might appreciate the rustic charms of your home, you should always prepare it with the fussiest buyer possible in mind – keep everything as clean as humanly possible and turn the aesthetic pleasure of your home right up. If you’re confident that your home will please even the pickiest of customers, then imagine what anyone less than fussy will think about your gleaming home!

Ditch the Sentimental Items

Do you have household items or furniture that you can’t do without? That you absolutely must take with you when you leave? You should put them in storage. Buyers will see them during open homes and if they’re spectacular items, want to inquire about whether they will come with the house or not. Save yourself and potential buyers the conflict, and put them away before you open your doors.

Everyone who comes to your home will have different tastes and expectations, and it’s important to cater to as many as possible in a safe, clean manner. Think about what they want, and they’ll come running to you with offers.

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