First impressions make all the difference
Homeowners keen to sell need to know certain property flaws could put the kibosh on a sale. reports.
It’s easy to sell a property in the type of hot market the country has seen in recent months. Buyers worried about missing out are less exacting in their criteria.
But in a cooler market that is not the case and failing to cast a critical eye over your property and identify the buyer deterrents could cost you a good price, or even a sale.
Harcourts national auction manager Aaron Davis says buyers are now less tolerant of marginal properties with problems as the market has moved in their favour, and some vendors are having to adjust their expectations.
Even if the property has problems that are minor and easily rectified, if they are not addressed they can discourage potential buyers and lead to a property sitting on the market for too long, which is a deterrent in itself.
First impressions count
The importance of street appeal cannot be overestimated. That means properties with messy, overgrown frontages are at an immediate disadvantage.
Ray White Mt Eden’s Jared Cooksley says first impressions count, so if what a potential buyer sees at the front of a house doesn’t grab them right away, they often won’t bother with the property.
It’s not just unmown lawns or dirty street-facing windows that come into the equation. Details like the state of the letterbox count too, he says.
‘‘A house is a big investment for people so you want them to like what they see right away,’’ he said. ‘‘So make sure the lawn is mowed and looks lush, clean any paths or driveways, tidy the garden, paint the letterbox, and mow the berms outside your property.’’
Concern for exterior appearances should apply to the whole outdoor area. Gardens should present as tidy and wellkept, rather than as an out-ofcontrol jungle.
Real Estate Institute spokeswoman Dee Crooks says this is a must because Kiwis love to barbecue and spend time outside in the summer, so selling the dream of an amazing outdoor area is key.
Cosmetic concerns
Many buyer deterrents relate to presentation. Any signs of dirtiness, like marks on the walls or smudged windows, messiness and clutter, and bad smells from cigarettes, dampness or pets are hugely off-putting.
Cooksley says buyers need to be able to imagine themselves happily living in the property, so anything that prevents them from doing so must be removed. ‘‘Many of these flaws might not seem very important, but they influence buyer opinion, so sorting them can make a big difference.’’
Many of these issues can be solved with extensive cleaning and by taking the time to declutter and tidy before listing. Ensuring any renovation or repair work is completed is also a good idea, Cooksley says.
‘‘A property should not seem dark and dingy, so keep the curtains and blinds open. Lighter paint colours are good. Make sure all the light bulbs work and put small light sources, like LED lights, into spaces like walk-in wardrobes.’’
Listening to your agent and taking on board their advice pays off. Proppy Real Estate cofounder Hannah Walker says vendors have to acknowledge problems and then be willing to do what needs to be done.
One of her recent vendors had a house with different coloured rooms. Walker suggested they paint it more neutrally to get top dollar, but they did not want to. ‘‘They got offers but not at the price level they wanted. So they painted it and then they got a price they wanted.’’
Leaky homes hangover
For New Zealanders, the spectre of the leaky homes disaster still haunts the market. That means any signs of dampness, including smells or water ingress, are a big turn-off for many buyers.
Cooksley says such issues are of deep concern to people and they will search properties thoroughly for it.
‘‘Vendors should clean up any signs of damp and mould. Running a dehumidifier helps, and open windows to let air get through.’’
But people are particularly wary of properties with plaster cladding, or anything that looks
like plaster, he says. ‘‘It’s a huge question mark for many buyers, so vendors of such properties have to be organised. They should get a builder’s report in advance and give it to potential buyers.’’
Weathertightness issues in apartments are an even bigger issue. Auckland’s City Sales agent Scott Dunn says the buyer pool is limited and they can be tricky to sell.
‘‘If the remediation process is at the point where cost estimates have been projected then we have a place to work from. But if it’s near the beginning of the process there is usually a gap between vendor expectations and buyer predictions so these ones are especially hard to sell.’’
Confronting major problems
However, some problems are much harder to deal with. Crooks says if a property is in an industrial area or on a flight path there is not much that can be done.
‘‘In that case, it might be addressing things such as double glazing to reduce noise pollution that could make the difference between your home and the property next door.’’
Another big problem is unconsented work, as its presence immediately diminishes the potential buyer pool because it affects access to finance. Cooksley says the problem can be worked through if a vendor addresses it early.
‘‘Find out whether the work is compliant and then get the consent sorted. It is possible to do this, but it takes time. It doesn’t have to be done before putting the property on the market, but it should be done before settlement.’’
People will still buy in such situations, particularly if it is a smaller thing like a sleepout or a deck added 10 years ago, he says. ‘‘But if there is a lot of noncompliant, non-consented work where there have been notices to fix, that’s a different matter.’’
Cross-lease properties can have title problems, and they can stem from another property owner on the cross lease. Walker says vendors need to look at their title and flat plan carefully before going to market.
‘‘They should make sure everything that is there is recorded on the title. Because if something is awry and it comes out when it goes to sale, it could impact the sale. It’s best to acknowledge an issue and work around it.’’
With apartments, Dunn says leaseholds can be tricky as banks are reluctant to lend against them and buyers are deterred by the rent review mechanics.
‘‘Whether it’s because the property has remedial issues, a low earthquake rating or is of a size that banks aren’t happy to lend against… Anything that will limit the buyer pool to cash buyers will only have an effect on the saleability of an apartment.’’