Pick Your Battles.

The word ‘patchy’ is how most real estate agents are describing the current market. Some listings are hitting the market with a thud while others are attracting competitive interest and selling quickly. So what’s happening out there? Let me try and explain…

In the past the old adage was to ‘buy the worst house in the best street’…that was before councils became nightmarish to deal with and building costs went through the roof. At present, many people are nervous about taking on a large-scale renovation and with good reason.

Seriously folks, if you argued over what colour the new Audi should be then you are in for a serious marital test if you embark on a large-scale project. Pro Tip: Instead of watching The Block I suggest you start watching Grand Designs.

Last Saturday we sold a run-down waterfront reserve home on Cremorne Point that needed a complete renovation. Lots of people liked it but when it came to the crunch only a select few were prepared to take it on.

So what’s in hot demand at the moment? Turnkey. These are the properties where Mr & Mrs Buyer can just move in and drop their bags. Sure you will pay a premium but the upside is you get to avoid the stress and heartache and save yourself precious time.

The major benefit of rebuilding or renovating is that you end up with exactly what you want but the question you need to ask yourself is are you (and your marriage) up for the challenge?

When advising clients the other relevant consideration we look at is transaction costs. If you add up what you pay an agent with stamp duty it often amounts to a significant renovation.

For those in a holding pattern trying to decide which way to go we are starting to see signs that building costs may be starting to ease so perhaps the best move right now is to stay put.

Enjoy the long weekend...

Until next week,

David Murphy