How do I know if I’m getting a property for a fair price?

October 17, 2022

It's no secret that Australia's housing market is one of the most expensive in the world. So, if you're looking to purchase a property here, it's important to do your research and ensure you're paying a fair price. Here are a few tips to help you determine how much to pay for a property in Australia.

1.    Look at recent sales in the area

One of the best ways to gauge how much a property is worth is to look at recent sales in the area. Do a comparison of the $ per square foot for the property that you're considering and the recent sales. This will give you an idea of the current market value for similar properties. You can search for recent sales online or ask a real estate agent for help.

2.    Compare the asking price to the estimated market value

Once you've looked at recent sales, you can start to get an idea of what the property you're interested in is worth. If the asking price is significantly higher than the estimated market value, then it's probably not worth paying that much. However, if the asking price is only slightly higher, it could be worth considering.

3.    Consider the condition of the property

When you're looking at properties, it's important to take the condition into account. A property that needs a lot of work will obviously be worth less than one that's in good condition. So, if you're looking at a fixer-upper, be sure to factor in the cost of repairs when you're determining how much to pay.

4.    Get a professional opinion

If you're still not sure how much to pay for a property, it's a good idea to get a professional opinion. A real estate agent or property valuer can give you an expert opinion on what a property is worth. This can be helpful in giving you the confidence to make an offer.

5.    Don't be afraid to negotiate

Once you've done your research and you're confident in your offer, don't be afraid to negotiate with the seller. In many cases, you'll be able to get the property for a lower price than the asking price. However, it's important to remember that the seller is also entitled to reject your offer, so don't get too attached to any one property.

6.    Have realistic expectations

It's important to have realistic expectations when you're looking to purchase a property. In Australia's current market, it's unlikely that you'll find a property that's a bargain. However, if you do your research and you're patient, you should be able to find a property that's a fair price.

Australia's housing market can be expensive, but if you do your research and you're patient, you should be able to find a property that's a fair price. Use these tips to help you determine how much to pay for a property in Australia.

For further insights, take a look at the Chimni Dashboard.

The Chimni Dashboard

Chimni is the simplest, fastest and most cost-efficient way to analyse postcodes and suburbs across Australia.

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