The Elephant In The Room Property Podcast | Inside Australian Real Estate

How do online auctions work and will they last? In this episode we discuss how properties are selling during the most recent lockdown. Today we have Jesse Davidson, the chief auctioneer and director at AuctionWorks. Just as home buyers and sellers have had to conform to the new normal, industry professionals adapt to restrictions and their customer’s needs. The recent lockdown restrictions have brought back the not so distant memory of 2020, the difference this time is the resilience of buyers in the property market. Digital auction houses have normalised the online auctioning of goods, ranging from a stick of gum to wholesale commercial products, but will property fall into this order or stand out amongst all other purchasable assets?  RELEVANT EPISODES:Episode 144 | Making better sales agents (not genetically modified) | Tanja Lee Episode 125 | Innovation in auctioning: how are we selling now? | Damien Cooley Episode 8 | How do skilled auctioneers get your last dollar? | David Scholes GUEST LINKS:https://www.auctionworks.net.au/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.auWork with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in July 2021. https://www.theelephantintheroom.com.au/podcasts/186See omnystudio.com/listener for privacy information.

With current movements is buying rural properties still viable? Matt Knight, prolific rural buyers agent of Precium breaks down the numbers and answers our regional based questions. Matt Knight made his own sea change 14 years ago, now has helped clients in a similar position to purchase their regional property, covering an area from Wollongong right down to Batemans Bay.  Covid is back at our doorstep will this new wave of infections push more buyers out into the outskirts similar to 2020. Will the domestic migration of last year catch up to buyers as they question if what they bought is what they’ve got? And how much gas does the rural market have left? RELEVANT EPISODES:Episode 173 | Buying in Byron Bay: Overhyped or shrewd investment? | Michael Murray Episode 125 | Innovation in auctioning: how are we selling now? | Damien Cooley GUEST LINKS:https://precium.com.au/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in July 2021. https://www.theelephantintheroom.com.au/podcasts/185  See omnystudio.com/listener for privacy information.

Property stories are on the tip of everyone’s tongue when they’ve been successful and glaringly absent when their landlord dreams have gone down the drain. The property market has made rapid shifts within the last 6 months with parcels of land transacting for a fortune, but how did they do it? With capital growth being the most critical element of residential property’s value, how do you predict it? Moreso how can you measure it effectively and what data can you trust to make you a confident buyer in such an overwhelming time? Here’s what we covered: What data is relevant when measuring capital growth? Does being on a main road appreciate or depreciate your property? Is median growth useful or far from it? Where do big research companies get their data and is it consistent? Are current automated valuation models effective? What is a repeat sales index? RELEVANT EPISODES:Suburb Trends June 2021 | Price predictions for the 2nd half of 2021! Suburb Trends May 2021 | Rental Vacancies Suburb Trends April 2021 | Highest median growth suburbs! LINKS:www.suburbtrends.comhttps://www.suburbtrends.com/suburb-reviews https://www.realestate.com.au/news/why-aussie-home-owners-are-holding-property-longer-than-a-decade-ago/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in July, 2021. https://www.theelephantintheroom.com.au/podcasts/st12See omnystudio.com/listener for privacy information.

In this episode we’re answering some of our listener questions.  We’ll be covering how to maximise borrowing on a low income, what agents mean by ‘expressions of interest”, borrowing from overseas, the research needed when buying your first investment property, dealing with “best and final offers” in a hot market and what due diligence do buyers agents do that regular buyer don’t? Questions: “I'm 26 years old and already have 1 investment property and currently looking for my second. As a landscaper that is only on 65k a year at a job that I love, how would I be able to increase my max loan from the bank? Down deposit isn't a problem with me with a bit over 110k in the bank ready to go. With my wage being so low and me only having my wage as a source of income what would the next steps be getting investment 3 and going into the future. Thanks for your time.” “Hi Veronica & Chris, love your podcast! I have one question for each of you :) For Veronica, I occasionally see a property being listed as "expressions of interest". How is that different to a private treaty sale or auction and what kind of properties are best suited for it? For Chris, could you please talk about the borrowing options overseas Australians might have? Especially if they're asset rich and income poor? Many thanks for your time!” “Hi Veronica & Chris, I am a big fan and long time listener of your podcasts. In short I am 22yo and looking to buy my first investment property and have recently graduated my Civil Engineering degree. I have now moved into FT work in my chosen field of study and in the process of getting my finance pre-approved. If possible, I would love you to discuss the following in regards to undertaking research prior to the purchase of an investment property; 1. Various different online platforms available to the public to research past and future wages growth in numerous suburbs around Australia? 2. Research methods and frameworks you adopt/prefer? 3. Most important research indicators for a investment-grade suburb? i.e. wages, employment, population growth. 4. How to best determine and interpret data available online? i.e. Number of days on market, auction clearance rates, etc. I’m very eager and exciting to begin my wealth creation journey, and would greatly appreciate it if you could take the time to answer my questions. :) Thanks!” “We've bought and sold a lot of different sorts of properties but only in NSW and we were totally bamboozled by the way they do it down there. No auctions, even in a really hot market. They are listing properties with a price, and you are expected to put in your best offer, and then the agent sells it to the highest offer, but without coming back to you to give you the chance to up your offer.” “I have a comment, not a question, after listening to your podcast re hiring a Buyers Agent. I hired a Buyers Agent to assist me in buying an apartment for a family relative to live in. My reason for doing this was primarily to ensure due diligence, not recommend a property. Nicole had a lot of specialist contacts, eg for analysis of body corporate minutes, building contracts, conveyancing etc. I was very happy with the result.” RELEVANT EPISODES: Episode 183 | The Secret to Capital Growth | Jeremy Sheppard Episode 168 | Listener Q&A: How to buy your first investment property LINKS:www.suburbtrends.com.auhttps://www.homebuyeracademy.com.au/https://www.rask.com.au/podcasts/australian-investor-podcast/ https://www.corelogic.com.au/reports/pain-and-gain HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.auWork with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in July, 2021. https://www.theelephantintheroom.com.au/podcasts/184See omnystudio.com/listener for privacy information.

What makes prices go up and what data sources can you use to predict the movements?Jeremy Sheppard is the Head of Select Residential Property. Before joining SRP, Jeremy created a suburb scoring algorithm called the DSR (Demand to Supply Ratio). The DSR has been featured in Australian Property Investor magazine and Your Investment Property magazine.Jeremy is a regular contributor to the major property investment publications in Australia and has over 50 articles published, as well as other blogs and has been quoted in major newspapers and appeared on prime-time TV news. RELEVANT EPISODES:Episode 180 | Are buyers agents worth the cost? | Cate Bakos Episode 177 | Australia’s Economic Recovery | Carlos Cacho Episode 167 | Infrastructure & property prices | David Tucker LINKS:https://gooddeeds.com.au/buyers-agents-sydney/sell-my-investment-property-now/ https://gooddeeds.com.au/investment-property/should-you-sell-or-hold-investment-property/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.auWork with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.auWork with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in June, 2021.See omnystudio.com/listener for privacy information.

Within the last decade, the Financial Independence Retire Early (FI/RE) movement has gained a cult-like following, with grassroots communities touting the benefits of living frugally today whilst creating wealth for tomorrow. Veronica and Chris talk with Matt, the host of the Aussie Firebug podcast. Since 2013 Matt has focused on retiring early by creating income streams from property, shares and labour, he projects that he will finally achieve FI/RE by his mid-thirties. Chris asks hard questions about the movement’s current state, particularly citing the communities’ detrimental perspective on the yield over capital growth debate. Will this financial fad burn bright financially liberating individuals, or will the flame fizzle out with unfounded claims and misleading financial advice? If you have ever been curious about the FI/RE movement, this is the episode for you. GUEST LINKS:https://podcasts.apple.com/au/podcast/aussie-firebug/id1080237514 https://www.aussiefirebug.com/start-here/https://www.amazon.com/Your-Money-Life-Transforming-Relationship/dp/0143115766 https://www.mrmoneymustache.com/about/https://www.reddit.com/r/financialindependence/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.auWork with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in June 2021. https://www.theelephantintheroom.com.au/podcasts/182See omnystudio.com/listener for privacy information.

This month we look at year to date data, focusing on how the dramatic price rises of the most recent months may have set the stage for the rest of the year? It has been a challenging time for home buyers and a lucrative opportunity for vendors, but will current market conditions last? How many more times will the buyer’s return to the market to try their luck again? Kent Lardner provides key statistical insights on current trends and their inevitable effect on the property market, revealing the full extent of the recent price rises, with 20% of all markets risen in value by 20%. Here’s what we covered: How inventory levels and price changes relate. What areas with high supply still saw a positive price change? Any areas with low supply and negative price changes? What is the outlook for the remainder of 2021 What areas will be worth investing in later in the year? RELEVANT EPISODES:Suburb Trends May 2021 | Rental Vacancies Suburb Trends April 2021 | Highest median growth suburbs! Suburb Trends March 2021 | Areas with big price falls! LINKS:www.suburbtrends.com https://www.suburbtrends.com/suburb-reviews HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in June, 2021. https://www.theelephantintheroom.com.au/podcasts/st11See omnystudio.com/listener for privacy information.

In this Negotiation Masterclass episode, we turn the tables as Chris Bates interviews Veronica Morgan, discussing the dos and don’ts when it comes to negotiating for property and how to succeed during challenging market conditions. The recent property boom has left buyers destitute with properties selling pre-auction, off the market and far above the reserve. As a result, buyers give up and hope for a market crash that will never come. This episode will educate new buyers and experienced property investors alike, with Veronica hitting key issues facing those entering today’s market. What you will learn: Stop agents taking advantage. How to not miss out at an auction. Checking out competition at open houses. What you should know after your first inspection. How to conduct your initial offer and potential counteroffers. How to keep yourself in check to not react or no action. When to know to let a property go Who you should seek advice from RELEVANT EPISODES:Episode 180 | Are buyers agents worth the cost? | Cate Bakos Episode 110 | Selecting the Best Asset | Veronica Morgan Episode 29 | Negotiation masterclass | Fiona McKenzie GUEST LINKS:Where to Buy Workshop details:www.homebuyeracademy.com.au/workshop How to Price a Property free mini course:https://homebuyeracademy.com.au/freecourse Veronica’s book:www.getauctionready.com.auListener 30% off discount + free postage - use Promo Code: ELEPHANT HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in June 2021. https://www.theelephantintheroom.com.au/podcasts/181See omnystudio.com/listener for privacy information.

Where does the real value lie in buyers agents and how to avoid costly property mistakes? In this episode, we welcome back Cate Bakos to discuss from beginning to end the role buyer’s agents play in assisting consumers to achieve their property objectives and how the guiding principles of REBAA and its members have directed consumers away from risky property mistakes. Cate Bakos has appeared in previous episodes to discuss buyers agents and the value they add to property buyers. Cate is a prolific and experienced buyers agent based in Melbourne and is also the President of Real Estate Buyers Agents Association of Australia (REBAA). REBAA is Australia’s foremost peak body for buyers agents and aims to lift industry standards that protect consumers against rogue operators. The integrity of REBAA has been crucial to highlight individuals and agencies that adhere to self-regulating principles in an unregulated industry. RELEVANT EPISODES:Episode 173 | Buying in Byron Bay: Overhyped or shrewd investment? | Michael Murray Episode 150 | What you NEED to know about the Brisbane property market | Meighan Wells Episode 110 | Selecting the Best Asset | Veronica Morgan GUEST LINKS:www.rebaa.com.au https://www.catebakos.com.au/cate-bakos/ HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.auWork with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in June 2021. https://www.theelephantintheroom.com.au/podcasts/180  See omnystudio.com/listener for privacy information.

We can’t get enough of your questions. We cover a lot in this episode from the current state of the unit market through to how limited title can impact a property’s sale. We appreciate your questions and enjoy doing these episodes. If you have property related questions or want to test a scenario we would love to hear from you. Questions: “Units down but what about premium units outside of CBD but within 10k radius ? This includes Art Deco units, on larger blocks with smaller divisions for each lot. will we see growth in this market and why are analysts still treating units in high rise CBD the same as all other units despite massive differences in the land area involved for owners of lots, size of room, ornate ceilings, quality I.e double brick etc? Should owners of these properties ignore the analysts talking about units altogether?” “Just listened to your 1st Feb 2021 listener q&a. Surprised by your answer Chris about how to retire from property. Based on what you outlined, if you have enough equity, you would be better to go for yield rather than capital growth. Targeting better more expensive houses with more growth potential but have lower yield just means more time to build up the offset account to completely offset the loan amount and delay retirement. Targeting capital growth would just to be for something to leave the kids. I reckon you could devote a whole episode to this as it is what a lot property people push is financially free through property but does not work if you need to save the full cost of the property you purchase. Sounds like an elephant to me” “Fan of the show, not a question but I have a data point on the limited title. The limited title does lower the price. My first 2 choices were limited title but I couldn't get the loan for it. Ended up going for 50-100k less than my offer. So I think the strategy works by definition. i.e. reducing a number of qualified buyers will on average lower the price. This was in the middle of covid so results may vary. 18 epsom road zetland - 1,165,000 70 rose st chippendale - 1,575,000” “Hi guys, Love the pod! Probably more of a question to Chris. I'm a potential 1st home buyer (on the northern beaches of Sydney) and would like to try and get an understanding on how much are people willing to borrow to get into the market? I was always told don't go higher than 3 or 4 times your annual household income but with the market going crazy at the moment I realise we are going to have to go a lot higher. I understand you can’t give personal advice – But it would be nice to know (on average) what you are currently seeing for 1st home buyers and just in general. I think we might need to go up to 5.5x to get something decent. I also know its not the greatest metric to use in this low rate environment.” “Chris and you keep referring to “ppl on good income”. What is considered a good income, let’s say for Sydney? What’s a reference baseline? Eg. if you are looking at a $1M property then $100K is considered a good income? Assuming 80% lvr.” “Also, what are your thoughts on buying a property in a holiday spot specifically to rent out on Airbnb? Or buying something that could be either tenanted long term OR rented on Airbnb? Also Veronica.. ..you talk a lot about buying a quality asset. Could you please tell us exactly what that means? What are your criteria? Thanks for the podcast, really enjoyable and educational.” “Demand is soaring in capital cities.... demographically-speaking, WHO ARE these people who have flooded into these property markets post-COVID? Where are they finding the huge deposits and servicing mortgages that are now multiples larger for the same properties just a few years ago (even months ago) Where were these people before and why the rush into property now? How are they protected against even small rate rises in the future and are we setting ourselves up for a big correction? A real one this time? What will be the fallout from this?” RELEVANT EPISODES: Episode 168 | Listener Q&A: How to buy your first investment property Episode 162 | Houses vs Apartments Episode 161 | Listener Q&A: Building your own home, retiring on property & sustainable properties? HOST LINKS:Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au Send in your questions to: questions@theelephantintheroom.com.au EPISODE TRANSCRIPT: Please note that this has been transcribed by half-human-half-robot, so brace yourself for typos and the odd bit of weirdness…This episode was recorded in May, 2021. https://www.theelephantintheroom.com.au/podcasts/179See omnystudio.com/listener for privacy information.