Newsletter - Inner Circle September 2022

Inner Circle

We have exciting news!

It has been a big month at Property Mavens, starting with a rebrand complete with a new logo and a soon to be updated website to coincide with our 10-year anniversary!

What better way to celebrate than with a brand refresh?

We would love you to check out our new look at propertymavens.com.au

Despite our new look, our services remain the same – our new brand just represents our everlasting values of communication, accountability and confidence. Property Mavens is always in your corner to help you make the best decisions in property. We are fierce when it comes to negotiating for our clients.

In other exciting news, over August we also welcomed our new franchisee in our FutureWave network – Jenny Jia!

See below for more about Jenny’s role at Property Mavens.

In terms of what’s happening in the market, August has seen the new status quo remain. While sales activity is slower than during the boom, A-grade properties in solid locations are still performing well. For investors, the biggest benefit at the moment – apart from less buyer competition – is the improving rental market, from a landlord’s perspective. Vacancy rates in Melbourne have more than halved over the past year, falling from 3.5 per cent to 1.4 per cent, and yields are now sitting at three per cent. The unit market has seen a 40 basis point increase in yield from February to July this year, with a reduction in vacancy and a 12 per cent increase in rents for units over the past year, higher than any other capital city. Rents for houses in Melbourne have grown by 5.6 per cent over the same time frame. Yields are now sitting at three per cent for all dwellings in Melbourne, according to CoreLogic.

As we come into the Spring selling season, which is traditionally the busiest for the year, there are question marks about how the market might perform. We believe activity will pick up, as sentiment is already improving, and more listings are coming to the market. We’ll keep you updated on how September pans out next month.

If you need expert advice or help – whether you’re buying or selling - Property Mavens is here to guide you through the property market.  To talk to a qualified and highly-regarded buyers’ agent or sellers’ advocate, contact us today.

Welcome to our new franchisee – Jenny Jia

Jenny will now be an independent owner under Property Mavens’ leading-edge FutureWave model, which puts owners and clients in the driver’s seat. As a buyers’ agent, Jenny will be advising investors on how to build their portfolios and helping first time and upgrading buyers find the perfect home for their family. As a vendors’ advocate, she will be helping clients get the best possible result when selling.

Expert Insight

As interest rates rise, consider your finances    

We have now seen four hikes in the cash rate since May, with the total rise hitting 1.75 per cent so far. This month we may see another rise as inflation continues to be an issue in Australia. The rises so far are more than what anyone was expecting this year, and has taken many borrowers by surprise. So what should you do?

You should always conduct regular health checks on your finances, no matter what is happening externally. I recommend doing this at least once a year. This includes reviewing your loans to determine if there is a better interest rate out there, and if so, whether you should take it up. Consider the costs involved and always ensure you will come out on top, if you do decide to move. As interest rates are rising now, it’s particularly important to be reviewing your rate and shopping around for a better deal. I have heard of many people getting significant incentives  - or sign up bonuses - for switching banks. These can be in the hundreds or thousands of dollars, depending on the loan amount. But make sure you do your homework and ensure it’s a good deal for you, as we know the lender will make sure they aren’t out of pocket. Recently released data from the Australian Bureau of Statistics shows a record number of Victorian households have recently refinanced, with 8115 owner-occupiers doing so in June, compared to the record of 7420 in May. Figures from Finder suggest 14 per cent of Victorian homeowners have refinanced in the past six months, while another 13 per cent intend to do so over the remainder of 2022.

Another factor to consider is whether you should choose a variable or fixed rate. Put simply, you’ll need to do the calculations to make sure you’ll be better off if you fix. Most fixed rates are two per cent higher than variable rates at the moment. The risk is that if you fix, variable rates need to jump up by two per cent to break even. Listening to the RBA rhetoric on this is important. The best time to fix has likely already passed, but it’s best to reanalyse every month.

Gus and Claudia engaged Property Mavens services for the third time as a regional buyers’ agent – this time in Bendigo - to find, assess and negotiate to buy them a family home for a tree change.

With a tight budget and in a fast rising market post COVID, where regional areas exploded in popularity, Gus and Claudia wanted to purchase a low-maintenance home with some acreage. We were able to successfully purchase this fantastic property, a 3-bedroom, 1-bathroom tree change home in Heathcote, for them in a competitive market. 

The home was purchased via a private sale, and as such we managed to secure a price $80,000 under the vendor’s reserve.

If you want help to identify an investment-grade property like this one, whether it’s a family home or an investment property, click here to book a time with us to discuss your requirements. It’s 100% obligation-free. 

Daniel and Jacqui were selling their treasured family home, a 3-bedroom, 2-bathroom family home in Ferntree Gully only two years after purchasing it and needed expert advice to guide them throughout the agent selection and sales journey. 

Given they had only recently bought, and overpaid for it by $50,000 at the time, we helped to guide them through price expectations and market reality, to eventually secure a price over and above what they wanted.  

The property was sold after auction, using a creative strategy and via a subject to sale scenario. 

As professional property buyers and vendors advocates, we know the difference between a bad selling agent and a great one. If you would like help to secure a fantastic outcome like this one, whether it’s selling a family home or an investment property, and you’re ready to get started, click here to book a time to discuss your requirements. It’s 100% obligation free.

Alan and Kristine wanted an investment-grade property in Ballarat to diversify their portfolio and generate income so they engaged Property Mavens’ Ballarat buyers’ agent services to help. The brief was to find a low-maintenance property with the ability to add value in time while delivering a strong yield.

We were able to successfully purchase this property, a 3-bedroom, 1-bathroom house in Ballarat delivering a strong five per cent  yield in what is a highly competitive market.

We purchased the property on our clients’ behalf for $10,000 below the vendor’s quoted price at $314,000 in February 2019. Now it is worth $475,000. That’s a big capital gain of 51 per cent in three and a half years, or 17 per cent per year! Where else can you find returns like that?

As professional property buyers we know the difference between a bad property and a good one, where to buy to generate the strongest returns, how to buy to secure the best result, and what properties are really worth, to ensure our clients don’t pay too much. If you want similar results,  click here to book a time with us to discuss your requirements. It’s 100% obligation free.

Go Forth and Prosper !

Miriam Sandkuhler

CEO

If you want to invest or buy the right home for your budget, or sell your property  click here to book a time, or call us for a chat about securing your financial independence.

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Giving back..

At Property Mavens we choose to give back to help create social change within our business model. If you use our buyers or vendor advocacy services, you will be helping to make a positive impact within the local and wider community.

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