In the Media - 2014
Should You Buy A Property Investment Or A Home To Live In?
You may find yourself in a situation where you want to buy your own home, but can’t afford to buy where you are living or renting. What is becoming more and more common nowadays, particularly among generation Y, is the concept of buying where you can afford and renting where you want to live.
More advanced than that is buying where you will invest well (i.e. own an investment grade property) and having the flexibility to rent where you want to live and move according to changes in your life circumstances.
Why aren't we all property moguls?
Statistics show that most landlords stop at just one investment property. So why do so many investors never get past their very first property? API discovers 10 reasons why there aren’t more property moguls.
It seems everyone is buying property with super these days. But what are the pros and cons of using a self-managed super fund to expand your portfolio? API discovers the 10 super and not-so-super rules to investing with superannuation.
It's time to appoint a Real Estate Ombudsman
With underquoting a massive problem and with minimal enforcement of the regulations from Consumer Affairs Victoria, is now the right time to appoint a Real Estate Ombudsman?
The banking, financial services, insurance and the telecommunications sectors all have an ombudsman for good reason. So if it’s appropriate for those sectors, is it right to also protect consumers who are spending hundreds of thousands of dollars in the real estate sector in the same manner?
Read more by Miriam Sandkuhler here
Victorian election real estate dramas: Underquoting and "election stunts"
Victorians are heading to the polls this week and a hot real estate topic has become a divisive issue.
The evocative underquoting topic recently became an election issue, with the Victorian Coalition announcing a plan to bring in new laws to stop the already-illegal practice.
House price underquoting rife in Victorian real estate market
UNDER-QUOTING properties is rife in Melbourne and many within the real estate industry have been fighting for years to stop it.
An investigation by the Herald Sun has revealed dozens of examples of properties fetching up to hundreds of thousands of dollars more than a property’s advertised price.
Four things you never say to a real estate agent
Even if a real estate agent says they’re are on your side, they just want to sell. Here’s how to make sure you don’t have to pay up for putting your foot in it.
Let’s be honest. Buying a property in today’s capital city markets is a bit of a dance, involving you, the real estate agent, the mysterious seller and your expectations.
65 Negotiation Tactics
65 Negotation tactics to help you score the best property for the best price.
Read Miriam Sandkuhler's 10 expert tips Think Like A Buyers Agent # 16 - 26 here
Does Melbourne have an oversupply problem?
Having lived in and around the inner Bayside suburbs over the last 20 plus years, the ongoing addition of highrise development, especially in and around Port Melbourne, has had an enormous impact on the area.
While Port Melbourne has an attractive location on the bay with some great amenity, I would say that oversupply of apartments is an issue, not just for investors but for local residents alike.
What to do if you don't sell your house
It is easy to get carried away by hot auction success stories. When those shabby, run-down cottages in blue-chip suburbs are fetching more than $1 million and modest homes in modest suburbs are sailing well above the reserve, sellers have good reason to be optimistic.
But the reality is often much more complex. Read more here
Middle suburbs seize real estate crown
For years, the primacy of inner suburban property has been the unquestioned mantra of investors and analysts alike. But it appears the inner city’s reign as best real estate performer has come to an end.
New RP Data figures obtained exclusively by realestate.com.au shows that in three of Australia’s biggest cities, houses 10-30 kilometres from the CBD are outperforming those in the inner suburbs.
Should I buy before I sell?
It’s a question most home-owners will have lost sleep over: do I sell my existing home before buying its successor, or do I buy my next home and then sell?
Almost every home buyer will need or want to move location, upsize or downsize at some point.
So how do I decide if I should buy or sell first?
Let The Block Glasshouse results serve as a reality check for all would be renovators
The sales results on The Block may be shocking to some, but not to those of us who understand renovating and development risk.
Developing and renovating property by nature is a high risk activity. Many an enthusiastic investor has been sucked into the idea of renovating or developing for profit, without fully understanding the ramifications let alone their own risk profile or that of property developing as a strategy.
Learn where to invest to double your deposit in the next 12 months
To read author and Property Maven Miriam Sandkuhler's expert advice on where to invest to double your deposit in Victoria over the next 12 months,.
Which state is best?
New South Wales had a great run over the past two years but I'm predicting Victoria will be the best over the next five years. Here's why.
Investors need to wake up and ask better questions
Investors need to become savvier when wading through the plethora of advertisements that promote property seminars, property services and property advisers when they are considering engaging some help.
They need to learn to read between the lines and ask better questions in relation to the marketing spin that is being presented to them.
Can we really trust Consumer Affairs to look after our interests?
Consumer Affairs or the department of Fair Trading is the governing body in most states that is there to protect the consumer across a variety of industries and transactions.
In Victoria, Consumer Affairs Victoria (CAV) are the ‘leading’ consumer affairs protection agency and regulator. Their purpose is to help the public be responsible and informed businesses and consumers.
Buying Like The Experts - Common Investor Mistakes
Click above to watch the interview
My name is Miriam Sandkuhler. I’m the founder of Property Mavens which is a specialist property advisory firm. I’m an accredited property advisor and a licensed estate agent. And I basically work with investors to ensure they buy the right type of property for the right reasons.
People don’t necessarily know their tolerance to risk in relation to the type of return they’re going to get. Some people are much more conservative with investing than others. Some have got quite a low to moderate risk profile whereas other are higher risk profile. Click here to watch the video and read the full article with Miriam Sandkuhler
The risks in not understanding personal risk profiles
Following on from my previous blogs, which explained how investors can outperform the market and that free advice isn’t actually free, this month I will explain how to understand personal risk profiles.
Risk is the extent to which you are willing to expose yourself to loss, in return for a particular gain.
Most home buyers and property investors wouldn’t consider risk as part of the process of buying property, be it personal risk or even property risk. Read more by Miiram Sandkuhler
The most important way women can empower themselves is by being financially independent
As little girls growing up, we have all seen the Disney animated fairy tales where the prince rescues the commoner and falls in love, or the Hollywood movie ‘happy ever after’ endings.
As women, we have been conditioned from a very young age by the media, the entertainment industry and even our families to assume we will meet our dream man (or woman), settle down and maybe even have children. And of course, we will live happily ever after…
While there is always the chance of that coming to fruition, what they don’t tell you is how it can turn to muck very quickly and what the consequences of this can be if it happens! Read more by Miriam Sandkuhler
Buying Property in a SMSF
Click above to download the podcast with Miriam Sandkuhler (the interview commences at 13.25 minutes into the podcast)
Join Miriam Sandkuhler from Property Mavens and Michelle Griffiths from TAG Financial as they discuss the tricks and traps and pros and cons of buying property within a SMSF, and the importance of obtaining specialist advice along the way.
Gen Y - investing in regions, living in cities
A curious thing is happening in the real estate world.
It seems young Australians are opting to invest in regional property while continuing to rent or stay at home in the suburbs of our major capital cities.
In one of the more intriguing findings of realestate.com.au’s 2014 Housing Affordability Sentiment Index (HASI), Gen Ys who don’t own their own home are twice as likely to own an investment property as their nearest age group, Gen X.
The HASI survey found 13% of Gen Ys who don’t own their home have an investment property, compared with 7% of Gen Xs and just 2% of Baby Boomers. Read more by Miriam Sandkuhler
Perks and pitfalls of joint property ownership
Pooling your money to buy a house with family or friends can be a great way to fast-track into the property market. But there are important lessons to take note of to ensure it doesn't turn pear shaped. Joining forces with a sibling or friend to rustle up the cash to get into the property market seems like a good idea, in principle . Read more by Miriam Sandkuhler
7 Things You Need To Know Before Buying Your First Investment Property
Buying your first investment property is a big deal. It may appear to be easy but the fact is, property investing isn’t that simple. While anyone can sign their name on a contract after scouring the Internet and inspecting selected properties, it hardly equates a good purchase or investment decision.
For first time property investors and buyers, there are many potholes along the way, not because of what they assume they know, but because of what they don’t know. Read more by Miriam Sandkuhler
Understanding that free advice isn’t free
In last month’s blog, I talked about how investors can buy to outperform the market and the seven steps they should follow to achieve this outcome. This month, I will explain the first step – understanding that free advice isn’t free!. As the property sector is not regulated by a national governing body such as ASIC, there is no requirement for people involved in the property sector to have a minimum qualification to provide ‘property advice’. Read more by Miriam Sandkuhler
5 Tips for achieving financial independence
Having assets behind you can sometimes be the only way to protect yourself when life throws you a curve ball and women in particular need to pull their heads out of the sand.
The Council of Australian Government’s Reform Council Report, shows women earn 12 per cent less for non-managerial roles – $31 an hour compared to $35 for men. Read more by Miriam Sandkuhler
Six steps to successful negotiation
The emotion, large outlays and profit potential of property make it very easy for dialogue to become dysfunctional. In order to become a truly successful investor, you need to master the art of negotiation.
When it comes to high-stake negotiating, property is in a class of its own. Negotiating a property deal is part research, part strategy, part pyshcology and at times, part 'fly by the seat of your pants!' Read more by Miriam Sandkuhler.
Why set and forget is unforgettable
Miriam advises anyone considering set and forget investment ensures it meets their personal risk profile and strategy, given it will sit passively long-term to grow in value while also needing to generate sufficient income to hold it. Read more by Miriam Sandkuhler
Suburb review Glen Huntly
Glen Huntly is a tiny suburb in Melbourne, sandwiched between its larger neighbours Caulfield South and Carnegie. The suburb is approximately 11 kilometres from the CBD and has a population of approximately 4,700 residents as at the last census.
The suburb is densely populated given it is only two square kiometres in size. Read more by Miriam Sandkuhler
How investors can buy to outperform the market
Have you ever had clients who have attended investment seminars and been sold some amazing property opportunity/strategy for wealth creation, or bought from project marketers and property spruikers, only to have their property valuation come in under the purchase price at a settlement?
Or worse, they bought years ago, and in the hope of continuing to invest, they seek to access equity in their property, only to find out during the course of it being valued that it hasn’t grown at all or it now has negative equity? Read more by Miriam Sandkuhler
Miriam talks under quoting with Kevin Turner
Kevin Turner: In recent weeks there has been a lot of talk, both in the real estate industry and from buyers and sellers, about price ranging, about prices at auction. There’s a new petition that’s just been raised, which is lobbying the Victorian government to do something quite positive about this. With the message, Miriam Sandkuhler from Property Mavens joins me. Miriam, I know you’re driving this but can you give me the background and why you’ve raised a petition, and what you hope to achieve by it? Read more by Miriam Sandkuhler
Listen to the audio below ( the interview starts at 16.30 mins).
Q&A: Should buyer's agents take commissions?
Property investors and, increasingly, home buyers are being encouraged to look towards hiring a buyer’s agent to assist with their purchase. Understandably, when throwing hundreds of thousands, and sometimes millions, of dollars into an asset you want to get it right.
However, not every buyer’s agent is made equal and there are some profound differences between the different experts in our space.
In our Tuesday Q&A, Property Observer has taken the debate to Miriam Sandkuhler, the founder of Property Mavens and author of Property Prosperity, and asked her the questions we wanted to get her opinion on – from whether commissions should be allowed to how much she thinks we should be paying.
Tackling Dodgy Dealings And Unfair Practices
Of late much attention has been focused on the practice of underquoting, aka price baiting. This involves the deliberate misrepresentation of property prices, by significantly lower amounts, in a bid to attract potential buyers.
In response, a group of Melbourne agents have just launched a campaign aimed at cracking down on the practice, which breaches fair trading laws. Read more by Miriam Sandkuhler
Under quoting in real estate
A NSW petition to stop under quoting has also encouraged a similar petition for Victoria from buyer’s agent Miriam Sandkuhler, who is asking for reserve prices to be published from “day one” of the campaign. While this has received criticism for the length of time required for the reserve price to be published, it has currently reached 284 signatures.
The act of publishing the reserve price seems to be largely supported by Property Observer readers, who voted on our poll with an 84.5% support for the concept earlier this year.
Read more by Miriam Sandkuhler and have your say Click here.
Stamp out under quoting
Looking to stamp out underquoting, Property Observer followed New South Wales buyer’s agent Patrick Bright on his push to have reserve prices published one week out from an auction. However, a Victorian petition has now arrived.
A petition has been launched in Victoria looking for a similar solution – but instead asks for the reserve price to be published from day one of the auction campaign. This would require the vendor to be ready with the reserve they are comfortable with from the day of advertising.
Push to ban under quoting
There are now two petitions on change.org seeking input from each respective state government to intervene to stamp out this unscrupulous method of selling real estate. (Victorian petition here and NSW petition here)
In spite of being a breach of regulation in Victoria, the old school practice of ‘quote it low and watch it go’ is well and truly operating. And it is often to the detriment of the vendor as well as the buyers. When an auction fails and the property passes in, the market is well and truly saying they don’t agree with the vendor’s reserve price on the day. Had there been pricing transparency from the beginning, the ‘right’ buyers could have attended and competed to buy.
Push to ban real estate under quoting
Click below to listen to the audiio
Miriam discusses underquoting with 3AW radio host Tom Elliot and says agents who do underquote make it difficult for those agents who are trying to do the right thing.
As Miriam says of course there will be times when people are prepared to compete for property and possibly over pay for it just to secure the property however where the real issue is is when an agent is advertising a property far below what the inherent value of the property is and what the agent knows the vendor will accept and that's what underquoting is.
Petition to stop under quoting
Are you getting the real picture of how much a property will sell for?
DODGY real estate agents are lying to potential buyers about price guides, leading them to spend a fortune on checks and inspections before they realise they aren’t even in the ballpark.
The problem has hit a crisis point in Melbourne with industry players banding together to try and stop it.
One buyer in St Kilda says it became obvious on three different properties he tried to buy that the agents were under quoting their value. He says all sold for well over what agents were predicting and in each case he had spent $350 to have checks carried out before auction.
Buyers’ agent Miriam Sandkuhler also experienced it first hand after she was given a verbal appraisal that a property she was looking to buy for a client would sell for between $1.8 million and $2 million. Read more by Miriam Sandkuhler
Is Negative Gearing for Everyone
Click below to listen to Miriam Sandkuhler's interview
Is negative gearing for everyone ? This is an age old question that Miriam Sankuhler gets asked time and time again. If you would llike to know more and find out if negative gearing is for you, then simply listen to the audio interview with Curtin Radio Station.
Do men and women buy (property) differently ?
Click above to listen to Miram Sandkuhler's interview
Kevin: We're finding that an increasing number of women today are braving it alone when it comes to investing in real estate rather than waiting for a partner to come along before taking the big plunge. Miriam Sandkuhler from Property Mavens is an accredited Property Investment Advisor who's creating a bit of a space for women investors. She's seen an increase in the number of women clients who are single, savvy, and ready to invest. All power to them, I say. Miriam, how are you? Click here to read the full interview.
How to beat skyrocketing house prices
Housing prices are booming at the moment, which is great news for those who got in the market before the boom, but terrible for those looking to buy right now.Capital city prices rose 2.3 per cent last month, according to new figures released by RP Data and Rismarck. The total growth in capital cities in the first quarter of the year is now at 3.5 per cent.
While it may look like a dreadful time to enter the market if you’re looking for a bargain, you can’t always afford to wait until the prices drop. Click here to read the full article with Miriam Sandkuhler
The argument for regulation of property advice
The Australian property market was valued at $4.54 trillion in December 2011 whilst the stock market was valued at only $1.17 trillion. Did you know that provision of advice about investing in this huge asset class, which forms the foundation of most of our person wealth and our banking sector’s security against its funds, is currently unregulated?
What is an LOC (line of credit) ?
If you plan to buy rental property - or boost your home's value via renovation - it is important to know your LOC from your LOL. This nifty line of credit loan may give you a reason to 'laugh out loud', but only if your budget - keeping resolve is rock hard. Read more here with Miriam Sandkuhler