Every financial or economic crisis is different, and the coronavirus pandemic is no exception.
The current situation can be likened, in some ways, to earlier economic downturns, such as the Global Financial Crisis in 2007. But what we’re living through at the moment is very much a first.
For the property market, the most important thing is how we overcome the obstacles the coronavirus presents.
Real estate agents do not have a hand in what happens to the economy, nor can they control what public health directives are given amid COVID-19.
Real estate auctions and open-for-inspections will cease from midnight Wednesday 25 March, as part of the Federal Government’s continued crackdown on public gatherings.
However, there are plenty of things agents can do to help support their businesses, and try and ensure people are still able to buy new properties and move on from properties too.
It has always been important for residential sales agents to provide property information to potential buyers – but during the current heightened economic and social uncertainty, the type of information and the way it’s delivered needs to be taken to another level.
While the extra effort will come at a cost to vendors, the financial sacrifice is relatively minor in the context of the overall value of the transaction. Remember: A more informed buyer is more likely to be able to make a decision to purchase.
In these uncertain times, agents must ensure buyers and sellers are getting enough information to make an informed decision. But this can be challenging when the decision is being made without a physical property inspection. Our complete guide to the property market amid COVID-19 is a useful read for those interested in what’s going on right now.
Here are some examples of what your agent should be doing slightly differently:
List with a sale price
According to research conducted by realestate.com.au, a common gripe among potential buyers is listings that don’t include sales prices.
Include detailed floorplans
Include as much information as possible, room dimensions etc.
Use virtual tours
These show the location and dimensions of things like windows, bench tops, cupboards etc., which are not shown on floor plans.
It could be worthwhile including images of the gardens and lawn, and showing the topography details in the virtual tour.
Provide information about nearby amenities
Potential buyers need local knowledge to really explain what is and isn’t close by. School zones are also important.
Indicate any local noise
While it might seem a deterrent, it’s important to over-communicate rather than remain silent. Include details of rail or major road noise and aircraft noise.
Provide comparable sales and listings
Give as many comparisons as possible as it will help potential buyers validate the property’s listed price.
While your agent will be a big help in getting your property sold quickly and for a great price, there are things vendors can do to ensure the process goes smoothly.
Consider paying for building/pest inspections and independent valuations
This helps make the buying experience as smooth as possible for potential buyers. It can also greatly improve transparency for the transaction.
Make the property look the best it possibly can
In the coronavirus environment, agents and vendors really need to consider how to best display a property.
Many potential buyers will be unwilling or unable to attend open-for-inspections due to the current health crisis, so agents should consider arranging private viewings and alternatives to public on-site auctions.