How’s The Market? How I Find Undervalued Properties in Melbourne

In This Week’s How’s The Market | Edition 173

• 3 Secrets to Buy Below Market

• ‘Invicta’ – Grand Canterbury Living

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  Everyone wants to buy property below market value.

  Particularly right now with the market we are in.

  Interest rates are at the highest levels we’ve seen in 15 years, affordability is becoming more of an issue, and we’re seeing plenty of properties struggle to sell.

  So if you can purchase a good property for less than what it may actually be worth, that can make a pretty big difference.

  In this week’s episode of Buying Melbourne, I go through three of the main ways I look for these opportunities.

  Off-Markets

  Not every off-market is a bargain. Some are actually incredibly overpriced.

  But when a vendor values convenience or certainty more than getting every last dollar, there can be an opportunity to buy before the competition arrives.

  We’ve purchased properties for clients for $150k less than comparable sales nearby, purely so the vendor could avoid the stress and publicity of a full campaign.

  We also gave them their dream settlement dates.

  I breakdown how we did this in the full episode.

  Properties Everyone Else Has Given Up On

  This is probably my favourite.

  I love looking at properties that have been online for 60, 90 or even 120 days.

  Sometimes there’s something genuinely wrong with them.

  But sometimes the only thing that was wrong was the original price.

  The property hasn’t changed.

  The vendor has.

  Struggling Auction Campaigns

  Sometimes making a pre-auction offer is actually the worst thing you can do.

  If there’s very little competition, I’d sometimes rather let the campaign get to auction and allow the vendor to see that for themselves.

  The common thread across all three is really simple:

  A good property + motivated vendor + limited competition = opportunity.

  I go into a lot more detail in the episode, including how I find these properties, what I look for during an auction campaign and how I work out whether something is genuinely undervalued or simply cheap for a reason.

  Happy Buying!