STAY UP TO DATE WITH REAL ES­TATE

Pilbara News - - Lifestyle - Hayden Groves Hayden Groves is the Pres­i­dent of the Real Es­tate In­sti­tute of West­ern Aus­tralia

When con­sid­er­ing sell­ing a prop­erty, about one per cent of all ven­dors choose to pro­mote their prop­erty for sale them­selves or with lim­ited as­sis­tance from other ser­vice providers.

These in­clude Buy My Place, For Sale By Owner, No Agent Prop­erty, Go Pri­vate or — the lat­est of these play­ers — Pur­ple Bricks. These com­pa­nies es­sen­tially run a web por­tal of­fer­ing lim­ited ad­vice and as­sis­tance to the seller dur­ing the process.

Pur­ple Bricks is a lit­tle dif­fer­ent in that a real es­tate agent is in­volved in the process, of­fer­ing con­strained ser­vices for a small fee.

But it is, based on what I have seen, just like all the other ser­vices al­ready avail­able. These are “pseudo agents”, busi­nesses that pur­port to “save you $1000s in agent com­mis­sions” by of­fer­ing tacit sup­port in how to han­dle con­tracts and put up a for sale sign. These web­sites un­der­es­ti­mate the true value of a pro­fes­sional, ex­pe­ri­enced agent and are, in my opin­ion, a waste of time and money.

Why sell­ing pri­vately is not the an­swer

Apart from the ob­vi­ous dif­fi­cul­ties pri­vate sell­ers ex­pe­ri­ence in ac­cess­ing ef­fec­tive mar­ket­ing me­dia, the value of em­ploy­ing an agent is the “arm’s length” ben­e­fit.

Pri­vate sell­ers can­not un­der­stand why, af­ter many weeks of home opens, ev­ery­one tells them their home is lovely but no one has of­fered to buy it.

Buy­ers are nor­mally too po­lite to tell the seller what they re­ally think; that the prop­erty is over­priced, too small, too clut­tered etc. but they will tell the agent their raw opin­ions on the prop­erty. Most pri­vate sell­ers also lack suf­fi­cient knowl­edge of con­trac­tual pro­ce­dure, an un­der­stand­ing of the Strata Ti­tles Act, for ex­am­ple, plan­ning and her­itage is­sues, and matters con­cern­ing com­pli­ance and dis­clo­sure.

And very few pri­vate sell­ers have an in­ti­mate knowl­edge of the Joint Form of Gen­eral Con­di­tions for the Sale of Land, the 23 page le­gal doc­u­ment that forms part of the sale con­tract.

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