In The Media
Do men and women buy (property) differently ?
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?
Miriam: I'm good. Thank you, Kevin. Thank you very much for having me on your program.
Kevin: It's a pleasure. Thank you for joining us. The website is PropertyMavens.com.au. I've checked it out. There’s lot of good information there for you. Miriam, I just want to know, is there a bit of a difference between the way women and men invest in property?
Miriam: Absolutely. From my observations, generally women would buy more frequently on emotion, whereas men tend to apply more of a financial analysis to the process. Generally, this is because women would initially see and buy property based on nesting instincts. They fall in love with a house or neighborhood and they absolutely have to live there.
Often they mistakenly buy an investment property in the same way, whereas men would tend to leave emotion behind and look at it a bit more pragmatically. What is the potential for capital growth? How big is the land? But they don't necessarily fall in love with it the way women do.
Kevin: I would have thought that's better for men. Wouldn't that make men better investors than women? Because if you're looking at property investments, you've got to be fairly analytical about the process.
Miriam: Yes. That's definitely something that women need to become more aware of and more educated in. What I would suggest with women is they need to remain as unemotional about property as possible and ask more of the hard questions. Why is the vendor selling? Have you had any offers on the property? Are there any building issues that have been identified? Can I buy the property before auction?
They also need to do more due diligence and ensure they always do building and pest inspections, and have the contract reviewed before putting in any kind of offer. If they are intimidated about the negotiating process or the auction process and they can't manage their emotions during that, then they're probably better off to engage a buyer agent to act on their behalf or bid at auction for them.
Kevin: You're an investor and you're a buyer's agent as well. What's in your DNA that makes you more effective as a negotiator than most other women investors?
Miriam: I certainly don't have an emotional attachment to the property that I'm buying on their behalf. When I work with women investors, I make it very clear that when I present property to them, it's about the analysis and the underlying opportunity for growth. There are different drivers of growth and there are different reasons why I'm presenting that property to them.
Whilst they're emotional about the process and the outcome, I actually am able to step away from that. Then I bring my own analytical skills to the table and my own negotiating skills to the table when I act on their behalf and go through that process of securing the property for them. From the moment I start working with them to the outcome at the end, for me it's an analytical and non-emotional process.
Having said that, I have to work with emotions throughout, because obviously clients are emotional about the process themselves.
Kevin: Miriam, I said at the outset that a lot more women are starting to brave this alone. Is it fair to say that they're probably coming at this with smaller budgets? And if so, how can they make sure that they're not paying too much? Because prices are not getting any cheaper, are they?
Miriam: No, they're definitely not. It comes down to prepare, prepare, prepare. Have a strategy and think laterally. By that, I mean it's about having the upper hand on the competition.
If people do have a really tight budget, rather than being disheartened about what they can't do, they need to have a reality check around what they can do. So whether it's for a property to live in or whether it's for investment, they need to research recent sales evidence in the suburbs to the type of property they want. They need to decide if they're operating on a capital growth strategy or an income strategy.
If their budget is limited, they could consider choosing a neighboring suburb that might benefit from a ripple effect in time if they're outside where they want to be. If they've got a limited budget, they need to engage experts like a conveyancer or a building inspector to reduce their risk along the way, and possibly a buyer agent to help them negotiate the lowest price.
To be honest, if the goal isn't achievable, they need to rethink their strategy. If they can't afford to buy what and where they want to, then potentially they might be able to rent where they want to buy, and use that money to purchase a couple of investment properties instead.
Kevin: Great advice there from Miriam Sandkuhler from Property Mavens, PropertyMavens.com.au. You can contact Miriam and her team at that website as well. Miriam, I want to thank you for your time, and power to the women, I say.
Miriam: Thank you, Kevin, very much. I appreciate your time
Buying Like The Experts - Common Investor Mistakes
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
Buying Property in a SMSF
Click here to download the podcast (the interview commences at 13.25 minutes into the podcast)
Join Miriam Sandkuhler fron 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.
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
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. Click here to read the full article
Is your financial planner really working for you?
Financial Planners are required from July 1st 2013 to support self-directed clients (those who know what they want to invest in before their consultation) with good quality property investment advice. If they do not have specific qualifications or expertise in this area, they are required to refer the client to a suitable expert (such as an Accredited Property Investment Advisor), or send the client away. In the scramble to secure property services and additional income, many Financial Planners have not understood their client responsibilities. It is imperative to know the questions to ask your Financial Planner, to find out if he or she is working for you or the money.
The role of each party in a property transaction
Property is the most expensive purchase an average person will make in their lifetime and while it’s easy to sign your name on a contract, the many steps along the way need to be addressed properly to ensure the purchase is done carefully and accurately, while mitigating risk at the same time.