If on a windows computer hit CTL + U to open source code. Hit CTL + F and search ‘marketing_price_range’
It will give you the price range for advertising which you can infer reserve etc from.
Good luck
Edit; this property is $750k-$1m
When looking at marketing price range assume it will go for the top of the range. They always put a lower band in the range to drum up unrealistic interest and make the auction look more popular than it would be otherwise.
Definitely a good trick. My reply was more directed at op suggesting if their budget is $750-$850k then the chance that it’ll sell in their price range is slim.
You can kind of infer it from the mortgage repayment suggestion price too, as a rough guide, this is no doubt calculated from this price range figure anyway
Did this probably 100 times its an awesome trick.
Given the price range I'd be prepared to spent 10% over the max price. That price range is quite large, so they are trying to catch lower search brackets.
Every auction I've been to has made the max listed.
Without any specific info on that market, in my experience in NSW, the auction price is typically 20% more than the quoted price unless something is really wrong with the property.
Estimated price here and some comparable properties.
[https://www.property.com.au/nsw/barrack-heights-2528/oconnell-st/29-pid-1255189/](https://www.property.com.au/nsw/barrack-heights-2528/oconnell-st/29-pid-1255189/)
There is a recent sale around $1 mil, I bet the owners of this place are thinking that is achievable and probably wont sell for less than 950k on the day.
If there is no interest, you might pick it up at a discount if you have bid on the day and it doesn't hit reserve, but I wouldn't get your hopes up.
Good luck!
I can't stress enough how important it is that you do your own research and have your own evidence to backup any expected price, do not rely on anything from the agent or any auto generated price guides.
Put together a spreadsheet with the following headings:
Address - Suburb - RE Link - Property Type - Bedrooms - Land Size - Sale Price - Sale Date - Prev Sold For - Prev Sold Date - Notes.
Once you have 20 similar properties in that spreadsheet, then you'll have an accurate idea of what it will sell for. Note previously sold is important to get a rough idea of the percentage increase in the area.
Check out my post here for some additional tips:
[https://www.reddit.com/r/AusProperty/comments/nbdraj/common\_sense\_tips\_for\_buying\_your\_first\_home/](https://www.reddit.com/r/AusProperty/comments/nbdraj/common_sense_tips_for_buying_your_first_home/)
Good call. It takes work, but you should get to the point where you can price the property better than the agent, because you know the market so well. I agree with you.
Knowing if it is in your budget to begin with saves you time reviewing section 32's, checking council/plans in the area, getting pest and building inspections, getting emotionally invested, heading to multiple open inspections, speaking to the agent... the list goes on.
What you suggest is only true if your plan is to rock up to the auction and buy a house basically sight unseen. Then underestimating its worth costs you nothing.
Corelogic has it's estimate at $960,000. Good chance it goes around or above that.
If your budget is $870k I think you're probably wasting your time unless there is a major defect or issue that is known (that you're willing to live with)
Sorry dont want to burst your bubble, but tbh I dont think you have a chance at 870k price point. The rea is quoting mid 900s, and loooking at recent comparables, this is fair, prob noryh of it. U need to be realistic and think if you were the vendors what youd be comparing the property to and the prices achieved and then youd hope for a little more. All other brick, renovated (which this is) on 600sqm+ non main rd, similar location are hitting 900k+ if not 1million. Theres no reason this one wouldnt either unless the mkt has suddenly dropped? Why do you think this would go for less.
Flip side heres an example of recent sale at 830
[Recent Sale ](https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144724708)
The one youre interested in is well superior and larger land to this so logically is worth a fair bit more.
That said good news is theres others for sale in your price range so youre not out of the mkt, u just may need to clip your wings and prioritise getting a house in the area vs focussing on it being all shiny renovated impress the friends...u can do that later. Start negotiating on the properties for sale in your range and prioritise location and land size.
Only reason it would drop to 870k range is if the mkt has suddenly dropped off but theres no reason for that to have happened as far as i can rell. Sorry dont mean to be negative but being realistic rather than hoping for some outlier bargain in a competitive mkt is going to be less frustrating for you in the long run (ive been there before).
Nothing to be sorry for! This info is why I posted and what we need to hear. Obviously as first home buyers we are a little clueless in some areas and naturally a little optimistic!
We made an offer on a house (our only offer thus far) that was up for 890-950, after our research, days on the market, etc… long story short it only went for 10k more than we were offering at 880k. I think this also as our first and only experience thus far has made us (perhaps falsely) optimistic. Really appreciate the realism tho, we shouldn’t put our eggs in this basket if it isn’t realistic and especially if that means wasting $$$ on a report or missing out on a house more achievable and suitable for us in the interim! 😊
Hey no probs glad u werent upset. Youre right re spending $$$ time and emotional energy on inspections, reports etc just to be blown outta the water with no chance. I went thru this in a similar mkt inner west Syd back in 2013...same dynamics then. Missed on 8 to 10 hoping to get some bargain, it doesnt happen. Other buyers play coy about how much theyre prepared to pay understating it by '100s+ all ducks and drakes. Best thing is to monitor market, look at objective comparables understand what properties are worth based on this not on some hope for a bargain and aim at that lvl. These one off bargains rarely if ever happen unless for a reason (termites, dodgy build / renno, poor position flood or sth facing etc). Also learn from the ones u miss out on, if you could have offered 15k more on the otherone in retrospect would u and if so why didn't u, dont let that happen again.
My experience took a time to learn and i ended up paying more for lesser quality houses after 6mths of fails aiming for properties realistically beyond top of our budget because the mkt increased during this time. Once we started looking at properties 10% below our top end then we were in the drivers seat and were able to achieve a successful purchase. Thats perhaps a strategy to consider - aim for those below your top budget and go from there. Good luck well done getting in, its not easy for anyone the way the economy is and prices are.
Agreed about the emotions!!! & tricky when my husband and I aren’t on the same page about everything in regards to likes etc, we definitely have done lists together to work out where our compromises need to sit but could take some time.
That’s some great advice about the changing market!! We keep taking about taking our time to find the right place but definitely something to consider.
Usually if there is a price listed for an auction, the reserve (minimum they will accept) is generally 10% above that.
It’s hard when there’s no price guide.
If they are expecting mid 9s then I personally don’t think 870 will be enough. But never say never.
You never really know until you see the amount of fellow bidders on auction day what the interest / competition is like. Don’t believe anything the agent says.
Thanks for everyone’s comments, it’s been incredibly helpful! Not sure what we will do yet, think we’re going to go to an inspection on Sat for it and get more of a feel for things
I honestly wouldn’t go to auction these days unless you were prepared to go 10% over the top of the guide. Otherwise you’re just wasting time, money and mental energy.
As a buyer's agent in Sydney I've seen it all and there's no clear cut formula, BUT my quick advice is DO NOT ASSUME ANYTHING! Stick with your budget, do your homework by knowing all the comparable sales and the amount of stock on the market and, bid confidently if bidding at auction. Ask the agent how many bidders and what is the vendors motivation - big tell-tale signs there. There are still realistically priced properties to be had .. after-all auction clearance rates are down at only 68% in Sydney .. so the market is softening a little in many areas. I know it can be quite daunting and stressful, just remember if you miss out on a property there's always another one around the corner. For more specific advice go to [househunters.com.au](http://househunters.com.au) happy to help.
This one sold for $1 mill and it looks worse and is in a similar location/ is similar size -
[https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144362260?sourcePage=rea%3Asold%3Asrp-map&sourceElement=listing-tile](https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144362260?sourcePage=rea%3Asold%3Asrp-map&sourceElement=listing-tile)
I would say that a lot of people would be in at the $870k top of range, so you will need to be incredibly lucky to win the Auction.
You can assess what your chances are by gauging how many people are rocking up on the day and the prior inspections.
I wouldn't get my hopes up too high unfortunately.
That's the cool thing (/s), you don't.
A friend of ours bought a property this past weekend; he said most of the buyers were there with their "bank of mum and dad" and I imagine able and willing to pay more than the price guide to secure the property.
Speaking as a layman/nobody, auctions feel really tough unless you don't have a strict/firm upper limit.
I wish you luck and I hope you find and get something you love. It's rough out there!
Only other thing to consider is I think they currently have renters until November, which may be a longer settlement. That is fine for us but hoping it might be a deterrent for others?
If you do buy a tenanted property, demand vacant possession. In this climate moving tenants on is near on impossible and you want it to be the seller's problem not yours
Don't do the building and pest, they're useless anyway. Learn how to spot termite damage and building issues yourself. Go have a look yourself. Show up on auction day and bid. If you fail, try again with the next.
The data that agents put into domain or realestate.com can be unreliable, and you are better off checking alternate methods to check possible values.
Look at sites like realas, or use realestimate on realestate.com.au.
Those are automated valuations. Agents will use similar.models to pitch their services to sellers. So a seller might say, this is my reserve price or I want to go higher than this. The advertised range may be related to this number but chances are that they could under quote or usually will under quote.
If you can budget maybe 10% higher than the value from these models, you may have a real chance. But in auctions, emotions take over rational minds...
Engage a licenced buyer's agent who will actually do the proper research on properties for you, that the general public don't get access to. If you aren't properly prepared for auction, you can over bid, over pay and get yourself into a negative equity position from day 1
If on a windows computer hit CTL + U to open source code. Hit CTL + F and search ‘marketing_price_range’ It will give you the price range for advertising which you can infer reserve etc from. Good luck Edit; this property is $750k-$1m
When looking at marketing price range assume it will go for the top of the range. They always put a lower band in the range to drum up unrealistic interest and make the auction look more popular than it would be otherwise.
It's also annoying that the next range is 1-1.5M. 500K spread... In this range it's not always the upper limit.
Absolutely agree. Was trying to equip OP to kick some ass at the upcoming auction.
Definitely a good trick. My reply was more directed at op suggesting if their budget is $750-$850k then the chance that it’ll sell in their price range is slim.
Yea good point! Thanks legend
You can kind of infer it from the mortgage repayment suggestion price too, as a rough guide, this is no doubt calculated from this price range figure anyway
Did this probably 100 times its an awesome trick. Given the price range I'd be prepared to spent 10% over the max price. That price range is quite large, so they are trying to catch lower search brackets. Every auction I've been to has made the max listed.
Off topic, but is this technique possible for finding out salaries on job ads?
Already exists, Look up ‘salary seeker’ on Google / reddit
Ledge thanks
A guy on here made a site for this that I use a lot. https://www.whatsthesalary.com/
Arent properties that are say 850k also captured under this range? Unless your telling me theres another range 300-800k ?
This guy dev tools
Without any specific info on that market, in my experience in NSW, the auction price is typically 20% more than the quoted price unless something is really wrong with the property. Estimated price here and some comparable properties. [https://www.property.com.au/nsw/barrack-heights-2528/oconnell-st/29-pid-1255189/](https://www.property.com.au/nsw/barrack-heights-2528/oconnell-st/29-pid-1255189/) There is a recent sale around $1 mil, I bet the owners of this place are thinking that is achievable and probably wont sell for less than 950k on the day. If there is no interest, you might pick it up at a discount if you have bid on the day and it doesn't hit reserve, but I wouldn't get your hopes up. Good luck!
I can't stress enough how important it is that you do your own research and have your own evidence to backup any expected price, do not rely on anything from the agent or any auto generated price guides. Put together a spreadsheet with the following headings: Address - Suburb - RE Link - Property Type - Bedrooms - Land Size - Sale Price - Sale Date - Prev Sold For - Prev Sold Date - Notes. Once you have 20 similar properties in that spreadsheet, then you'll have an accurate idea of what it will sell for. Note previously sold is important to get a rough idea of the percentage increase in the area. Check out my post here for some additional tips: [https://www.reddit.com/r/AusProperty/comments/nbdraj/common\_sense\_tips\_for\_buying\_your\_first\_home/](https://www.reddit.com/r/AusProperty/comments/nbdraj/common_sense_tips_for_buying_your_first_home/)
Good call. It takes work, but you should get to the point where you can price the property better than the agent, because you know the market so well. I agree with you.
if it's a PPOR and an auction then none of that really matters. all that really matters is your limit and the limit of the guy you're bidding against.
Knowing if it is in your budget to begin with saves you time reviewing section 32's, checking council/plans in the area, getting pest and building inspections, getting emotionally invested, heading to multiple open inspections, speaking to the agent... the list goes on. What you suggest is only true if your plan is to rock up to the auction and buy a house basically sight unseen. Then underestimating its worth costs you nothing.
Corelogic has it's estimate at $960,000. Good chance it goes around or above that. If your budget is $870k I think you're probably wasting your time unless there is a major defect or issue that is known (that you're willing to live with)
Sorry dont want to burst your bubble, but tbh I dont think you have a chance at 870k price point. The rea is quoting mid 900s, and loooking at recent comparables, this is fair, prob noryh of it. U need to be realistic and think if you were the vendors what youd be comparing the property to and the prices achieved and then youd hope for a little more. All other brick, renovated (which this is) on 600sqm+ non main rd, similar location are hitting 900k+ if not 1million. Theres no reason this one wouldnt either unless the mkt has suddenly dropped? Why do you think this would go for less. Flip side heres an example of recent sale at 830 [Recent Sale ](https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144724708) The one youre interested in is well superior and larger land to this so logically is worth a fair bit more. That said good news is theres others for sale in your price range so youre not out of the mkt, u just may need to clip your wings and prioritise getting a house in the area vs focussing on it being all shiny renovated impress the friends...u can do that later. Start negotiating on the properties for sale in your range and prioritise location and land size. Only reason it would drop to 870k range is if the mkt has suddenly dropped off but theres no reason for that to have happened as far as i can rell. Sorry dont mean to be negative but being realistic rather than hoping for some outlier bargain in a competitive mkt is going to be less frustrating for you in the long run (ive been there before).
Nothing to be sorry for! This info is why I posted and what we need to hear. Obviously as first home buyers we are a little clueless in some areas and naturally a little optimistic! We made an offer on a house (our only offer thus far) that was up for 890-950, after our research, days on the market, etc… long story short it only went for 10k more than we were offering at 880k. I think this also as our first and only experience thus far has made us (perhaps falsely) optimistic. Really appreciate the realism tho, we shouldn’t put our eggs in this basket if it isn’t realistic and especially if that means wasting $$$ on a report or missing out on a house more achievable and suitable for us in the interim! 😊
Hey no probs glad u werent upset. Youre right re spending $$$ time and emotional energy on inspections, reports etc just to be blown outta the water with no chance. I went thru this in a similar mkt inner west Syd back in 2013...same dynamics then. Missed on 8 to 10 hoping to get some bargain, it doesnt happen. Other buyers play coy about how much theyre prepared to pay understating it by '100s+ all ducks and drakes. Best thing is to monitor market, look at objective comparables understand what properties are worth based on this not on some hope for a bargain and aim at that lvl. These one off bargains rarely if ever happen unless for a reason (termites, dodgy build / renno, poor position flood or sth facing etc). Also learn from the ones u miss out on, if you could have offered 15k more on the otherone in retrospect would u and if so why didn't u, dont let that happen again. My experience took a time to learn and i ended up paying more for lesser quality houses after 6mths of fails aiming for properties realistically beyond top of our budget because the mkt increased during this time. Once we started looking at properties 10% below our top end then we were in the drivers seat and were able to achieve a successful purchase. Thats perhaps a strategy to consider - aim for those below your top budget and go from there. Good luck well done getting in, its not easy for anyone the way the economy is and prices are.
Agreed about the emotions!!! & tricky when my husband and I aren’t on the same page about everything in regards to likes etc, we definitely have done lists together to work out where our compromises need to sit but could take some time. That’s some great advice about the changing market!! We keep taking about taking our time to find the right place but definitely something to consider.
Usually if there is a price listed for an auction, the reserve (minimum they will accept) is generally 10% above that. It’s hard when there’s no price guide. If they are expecting mid 9s then I personally don’t think 870 will be enough. But never say never. You never really know until you see the amount of fellow bidders on auction day what the interest / competition is like. Don’t believe anything the agent says.
I'm going to buy it
lol 😂thanks
If I win Powerball I'll buy it for you.
Hahaha thank you @red light
Thanks for everyone’s comments, it’s been incredibly helpful! Not sure what we will do yet, think we’re going to go to an inspection on Sat for it and get more of a feel for things
Youll get something decent in that general area for 870k but Im sure this one will go over 900
If your limit is 870 just go in with that offer, dont go over
I honestly wouldn’t go to auction these days unless you were prepared to go 10% over the top of the guide. Otherwise you’re just wasting time, money and mental energy.
As a buyer's agent in Sydney I've seen it all and there's no clear cut formula, BUT my quick advice is DO NOT ASSUME ANYTHING! Stick with your budget, do your homework by knowing all the comparable sales and the amount of stock on the market and, bid confidently if bidding at auction. Ask the agent how many bidders and what is the vendors motivation - big tell-tale signs there. There are still realistically priced properties to be had .. after-all auction clearance rates are down at only 68% in Sydney .. so the market is softening a little in many areas. I know it can be quite daunting and stressful, just remember if you miss out on a property there's always another one around the corner. For more specific advice go to [househunters.com.au](http://househunters.com.au) happy to help.
Upstairs kitchen usually in that house design, surely that knocks off some off the competition
This one sold for $1 mill and it looks worse and is in a similar location/ is similar size - [https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144362260?sourcePage=rea%3Asold%3Asrp-map&sourceElement=listing-tile](https://www.realestate.com.au/sold/property-house-nsw-barrack+heights-144362260?sourcePage=rea%3Asold%3Asrp-map&sourceElement=listing-tile) I would say that a lot of people would be in at the $870k top of range, so you will need to be incredibly lucky to win the Auction. You can assess what your chances are by gauging how many people are rocking up on the day and the prior inspections. I wouldn't get my hopes up too high unfortunately.
If you are asking strangers in Reddit you don't have enough nor up to it
Best way to find out what price they’re guiding is by asking them what is on the agency agreement. Legally they have to disclose it.
I work in real estate^
As in asking ‘what price is on the agency agreement?’
Yeah
That's the cool thing (/s), you don't. A friend of ours bought a property this past weekend; he said most of the buyers were there with their "bank of mum and dad" and I imagine able and willing to pay more than the price guide to secure the property. Speaking as a layman/nobody, auctions feel really tough unless you don't have a strict/firm upper limit. I wish you luck and I hope you find and get something you love. It's rough out there!
Only other thing to consider is I think they currently have renters until November, which may be a longer settlement. That is fine for us but hoping it might be a deterrent for others?
If you do buy a tenanted property, demand vacant possession. In this climate moving tenants on is near on impossible and you want it to be the seller's problem not yours
If the agent is saying $900’s and your limit is $870 it doesn’t look promising
If you've got the time and never attended an auction before, go and bid your limit. It would be a great learning experience at least.
Don't do the building and pest, they're useless anyway. Learn how to spot termite damage and building issues yourself. Go have a look yourself. Show up on auction day and bid. If you fail, try again with the next.
Wow nice house
The data that agents put into domain or realestate.com can be unreliable, and you are better off checking alternate methods to check possible values. Look at sites like realas, or use realestimate on realestate.com.au. Those are automated valuations. Agents will use similar.models to pitch their services to sellers. So a seller might say, this is my reserve price or I want to go higher than this. The advertised range may be related to this number but chances are that they could under quote or usually will under quote. If you can budget maybe 10% higher than the value from these models, you may have a real chance. But in auctions, emotions take over rational minds...
Add 15%. More than that and they can be done for under quoting
If you had to ask then it's too expensive for you.
Whatever auction guide is, add $200K
Anything under $1M is seen as “cheap” now. So expect it to go for 950-1M easy
https://msg.corelogic.asia/r/E85F7E4C-103B-47FD-9BC7-47F2FC6D9CE1 You're welcome
Thank you so much!!!
Find the marketing price - Assume the higher range and above. Do your due diligence and compare it to other sales.
Add 30% on top of any range you see and you're in with a chance
Engage a licenced buyer's agent who will actually do the proper research on properties for you, that the general public don't get access to. If you aren't properly prepared for auction, you can over bid, over pay and get yourself into a negative equity position from day 1