This is the second in a monthly series of true stories of my experiences of property aspirations (I have not included identifying details and have changed the names of my clients to protect their privacy).
I met James and Sarah (who were expecting a second child), and their young daughter Ruby, at their two bedroom apartment in Lane Cove. Within the first 30 seconds we were having a relaxed conversation and I was enjoying the company of this lovely young family as they showed me their apartment. We shared stories about our families, how we manage our lives, and what they had enjoyed about living in their apartment.
The condition and the presentation of their apartment was excellent, however I could see little Ruby’s toys taking up one corner of the same living room where the recently purchased ‘huge screen TV’ was occupying almost an entire wall space – so clearly the apartment was now too small for them. The apartment was located so close to Lane Cove shops, you could almost reach out and grab your morning flat white. With city bus access and the Lane Cove shops and a primary school just across the road, I knew the property would appeal to many buyers.
As we sat down to talk through Sarah and James’ situation I took notes and listened intently. Pretty soon it became apparent that selling the apartment would not be the main issue here. James explained their intention to buy a larger family home further north. Their ideal scenario was to sell their apartment for a price they were happy with and also secure their new home within their sensible, affordable, budget. James floated his desire for a simultaneous settlement (this is where both the property being sold and the property being purchased settle on the same day) and asked if that would be possible. I assured him, ‘Yes it would be possible. I have been involved in many simultaneous settlements over the years.’
It was at that point that I started asking questions about the about the type of home they both wanted to buy. I always enjoy the challenge of working with my clients to sell their current home while also helping them to search for and identify the next home in which they’d be happy to live. On this occasion, Sarah and James were very specific about the size and location so it was pretty easy. They described the home they wanted as being close to Castle Hill shops and having 4 bedrooms, 3 bathrooms, and a 2 car garage, together with a level and private backyard for the kids. After clarifying these goals together, James and Sarah gave me their assurance that evening that they would appoint me as their agent. I drove home thrilled to have them as clients and looked forward to our next meeting.
During our next meeting, I talked through various marketing options together with my suggestions for selling the apartment. I explained that the type of buyer that we were looking for was either a first home buyer or an investor with extensive local knowledge. In these circumstances it’s best to keep the campaign simple and allow buyers to come forward and participate with confidence. So I advised Sarah and James that the best method to sell their apartment was to set an asking price and sell by way of private treaty. I suggested an asking price of $480,000+ based on the history of recent sales in their complex and their street. James and Sarah agreed to the asking price.
Prior to James and Sarah’s home sale advertisement ‘going live’ on the internet, I coached them through all the possible scenarios and did my best to ease their stress. We talked extensively on the presentation of the apartment, the best times to allow potential buyers to view the apartment (i.e., open home times), and how many buyers to expect for the first open home. I also explained that I’d report to them just what the potential buyers were saying and thinking so we could discuss and they could decide on any changes that could be made to improve prospects of a timely sale at a good price.
Our conversations often moved between selling their existing home and buying their next home and discussing the many details that contribute to maximising results. This is not an easy process for anyone. Remember, while all this was going on, my clients still had to go to work and juggle all the responsibilities that come with having young kids. As a Dad myself, I know just how demanding young kids can be. The stress and strain kids can place on a relationship is significant. Combining work with kids and buying and selling a home all at the same time often has adults spitting the dummy!
By the time our first open was due everything was in place. The professional photographs of the now uncluttered home looked fabulous online. Our first open home attracted 58 potential buyers. This was a phenomenal amount. My experience tells me that if you have more than a dozen potential buyers through on your first open home you are doing well!
Within our first week we had 3 buyers competing for the apartment and James and Sarah accepted an offer of $495,000 (a fantastic price at the time and would equate to around $525,000 in June 2013). The usual 10% deposit was paid and the property was sold. James and Sarah were wrapped.
Now our attention turned to zooming in on their next purchase. Over the next few days I worked closely with Sarah and James and we narrowed down the possibilities to one house that fitted the description they had given and that we thought we could acquire for the right price. Then I worked with James on how to negotiate with the selling agent on the home that he and Sarah both wanted to buy so badly. I wasn’t surprised that the selling agent made things a little tricky for James. I coached James through the process of making a strong offer and also advised James to put the offer in writing stating he had his deposit ready to go once an offer was accepted. In my experience it’s very often the way an offer is submitted by a buyer that can determine acceptance. The key here is to be assertive, not aggressive.
When James and Sarah’s offer of $755,000 (great buying at the time and would equate to around $800,000 in June 2013) was finally accepted it felt like a great New Year’s Eve celebration. Together as a team of three we had succeeded in selling their apartment and buying their ideal next home within their ideal budget and time frame. Looking back on this process confirms that it went perfectly too as buying and settling on the same day is seldom easy.
Not long after Ruby was introduced to her baby brother Jeremy, the whole family moved into their new family home. There was plenty of room for Ruby to play and pack up her toys in her bedroom. Jeremy’s nursery was right next to his parent’s main bedroom with ensuite. Dad got to tinker in the garage when mum was not escaping into her newly established media room.
Selling Real Estate goes way beyond a transaction. It is about the lives of real people, their particular situation, and supporting them to achieve a very important milestone that they want to reach in their lives together. This is why I love what I do.
John Priddy
Fulfilling Property Aspirations
33 Alexandra St
Hunters Hill NSW 2110
Ph: 02 9879 6955
M: +61 4 11 33 10 43
john.priddy@raywhite.com
The story above is intended to provide indicative information only and does not take into account the reader’s particular
property location, local market conditions, objectives, financial situation and needs. Readers should consider the
appropriateness of this information having regard to their particular property location, local market conditions,
personal objectives, financial situation and needs.
I recommend that readers always obtain appropriate professional advice specific to their situation before making any
decisions regarding the buying or selling of property.