If you’ve been watching home shows on TV and they have you excited about selling your place, read on in this blog to know about selling your home: lessons to learn from The Block.
It’s easy to sit back on your lounge while you watch and criticise every move of the contestants but in reality, selling your house is not as simple as it’s made to be.
Auctions on The Block
Auctions will always be the best option to sell a property on The Block. Over the time the program is running, hundreds of thousands of prospective buyers are tuned in to watch the building and renovations unfold each week.
In addition, each property on the show is unique, which is a critical component of auctioning. When it comes time for the properties to go under the hammer, there are a huge number of potential buyers on hand and the unique characteristics of each property have become desired by many. It becomes the perfect storm of auctioning.
Auctions for Suburban Homes
Selling a home in the suburbs that is similar to another home in the area doesn’t quiet work as well as selling a property by auction on The Block.
The biggest difference is the unknown price that The Block property will fetch. However, it doesn’t take that much investigation to work out the approximate price of a suburban home.
If you have a quick scroll through sold properties on a major real estate website, you’ll be able to estimate what a 4-bedroom low set brick home with 2 bathrooms and 2 garages will be worth which is why an auction for a suburban home is not always a good idea.
Everyone wants to make money from the sale of their home and sometimes renovating a property can become very profitable.
For example, Gott Realty recently sold a home in Lawnton. The kitchen was at the end of its life and the interior paint required a freshen up. We suggested to the sellers that perhaps a new kitchen from Bunnings and a repaint would improve their sale price. For the cost of about $7,000, the home was transformed.
Our estimated sale price prior to renovation was $320,000, however the sale price they achieved after the improvements was $370,000. In this case, for the investment of $7,000, the sellers received a net tax-free return of $43,000 for about a week’s work.
However, some properties are not worth putting in the work as they are nearing the end of their lives and redevelopment is the only option.
Positive Lessons from The Block
The series shows that there is a huge amount of opportunity out there for sellers to profit from the sale of their home on a tax-free basis. Some of the positive lessons we have learnt include;
- Seek expert advice in the renovation you want to undertake. Also, know what the cost of the renovation will be and add a few thousand to that cost for over runs.
- Seek out an agent who has the experience to imagine the finished product and ask them to give you a realistic guide as to the sale price expected. Keep inviting the agent around during the renovation process to seek their opinion of progress.
- Don’t use over-the-top colour schemes and don’t let your emotions take over.
Biggest Mistake a Renovator Can Make
The biggest mistake a renovator can make is to become personally and emotionally involved with their own colours, likes and dislikes.
Remember that you’re producing a product to the widest marketplace that you can sell to.
Individualism reduces a marketplace and can cause the number of days on the market to blow out.
Selling Your Home with Learnings from The Block
Property owners wanting to sell their homes can learn numerous lessons from The Block. But if you are thinking about selling and don’t know where to start, contact Gott Realty on 0419 777 577 or enquire online here.
Thinking of selling your home? Speak to Gott Realty today!
If you’re looking for a real estate team that is honest, respectful and always acting in your interests, speak to us today about how much your home is worth.
Our team has unprecedented access to local property data and insights, and we are here to help you sell your property for the best price possible with the least amount of stress.
Gott Realty service Albany Creek, Eatons Hill, Cashmere, Warner, Lawnton and Bray Park and many more areas across North Brisbane. Learn more here on our blog.