The three P’s that are crucial to get right when selling or leasing your property are Price, Promotion and Presentation. With the market on the mend, competition between properties is set to heat up, says Guest Contributor Adrian Wilson of Wilson Property Agents.
When it comes to presentation, in our experience, properties that have fantastic presentation receive the highest level of online engagement and initial interest, which usually results in faster
transactions. This is due to a number of factors, the photographs are much more appealing, uncluttered spaces encourage the potential buyer or tenant to visually move in and hits the emotional chord strings when a property presents as an aspirational lifestyle scenario.
One way to do this is by appointing a professional property stylist. Property stylists are able to come in and furnish an entire empty apartment with hired furnishings, or they can work with what you already have in your home by adding or removing any unnecessary pieces.
Remember, first impressions count and property is no different. Presenting a property correctly can not only increase the value of your property, but also make it far more saleable.
When pricing a property for sale or lease there are four main things to consider, market conditions, recent comparables, current competition and property presentation.
Experienced agents can provide an indicative appraisal value range utilising current market conditions and recent comparable sales. Generally an appraisal should fall within a 10 per cent range unless the property is particularly rare or likely to achieve a price in excess of $5m.
However, what is often more difficult is ensuring the actual pricing strategy is correct and attracts the right level of buyers or tenants, often this is where property pricing can go wrong.
To price a property one must think as the prospective lessee or purchaser and consider what else they are comparing your property to and what price ranges they will be searching in.
Pricing is a science and getting it right can often mean the difference between a great result and a good one. Trust your agent, set the price expectations fairly and attract several genuine buyers with which to negotiate between. How often have you heard of great properties which don’t sell for any other reason than their listing price was off target from day one? If your property is on the market today and not generating significant interest, chances are it because of your ‘pricing strategy’ rather than the eventual ‘sale price’.
The value of promotion is often overlooked or undervalued, particularly in a softer market environment. When it comes to promotion, there is generally a very small window of opportunity to reach the most number of buyers or tenants to ensure you are maximising the end result.
It’s a common misconception that potential buyers come onto the market because a property has just been listed. This may happen occasionally, but the vast majority of potential buyers, around 90% in our estimation, are already in the market and actively looking.
You also need to keep in mind that the bulk of inquiries tend to come in the first 3-4 weeks of a campaign, which is why auctions are generally held in the 4th week, past this only a trickle of new inquiries come in each week.
So how do you capture the maximum amount of inquiry? Ensure you property is listed with Priority Placement on websites and that an e-brochure is going out via those sites to registered buyers/tenants in addition to a strong social media campaign. Always use professional photography and if your property is for sale, a floor plan, property video and publicity campaign supported by print media will ensure total buyer reach.
Just remember neither one of the three P’s are more important than the other – you need to have them all working together to give you property the best possible chance of a successful sale or lease.
Adrian Wilson is the Principal and Sales Director of Wilson Property Agents.