A rough start for many Australians

For many Australians, 2011 has got off to a very challenging start.

Queensland has been hit the hardest, but some parts of northern Western Australia, New South Wales and Victoria have also been dealing with devastating floods. I’d like to begin by first acknowledging those who have been impacted by these natural disasters, our thoughts are with you all.

As well as the dreadful human toll these floods have taken, the damage is well into the billions of dollars and there is no doubt this will impact the country economically. Considering this new financial load, I do think the RBA may choose to hold interest rates when they meet in February.

Being a member of the property industry I can’t help but think about what this means particularly for Queensland’s property market and those agencies who operate in devastated areas. There are so many issues to weigh up, so many homes and properties have been damaged, some even swept away or completely destroyed. Will people want to live by these water courses anymore? Also from a property management perspective, how will agencies deal with all this devastation, what does it mean for leases and tenants etc? What about those who have lost their livelihoods, how will the banks be managing defaults due to the damage?

The answers to all of this will surface over coming weeks and months as QLD and other affected areas continue the long and arduous task of cleaning up. While the initial impact of these disasters always makes the news, it is often the ongoing recovery we don’t see and that in itself can be a long and scary battle.

However, Australians (no matter which state they may reside) always seem to shine when things like this happen and there has been many an inspiring story to accompany the chaos around the country. Something good to take from some really tough times I guess.

To donate to the Queensland Flood Appeal visit

www.qld.gov.au/floods/donate

IN Resolution

If you’ve tried to make changes to your life before and haven’t succeeded, try looking at it from a different perspective.

It’s a new year and with it comes the promise of a clean slate and a second chance. Change seems easy and so the tradition of making a New Year’s resolution remains popular.

The top three resolutions we make regularly are to lose weight, pay off credit cards and quit smoking. Laudable goals, but the fact is that only 5 – 10 per cent of people who made a New Year’s resolution will actually achieve it.

Susie Vergers, business coach and founder of Change Creators, says the reason why New Year’s resolutions commonly fail is due to the mechanics of the change process used.

“Failure in achieving goals and resolutions is not due to a lack of will-power or commitment,” she says. “Doing things the same way over and over again and hoping for a different result is the problem. True change requires you to approach the things you want to change in a significantly different way than you have done before.”

Susie suggests three ways to better achieve your resolutions:

1. Think differently about what you really want to achieve: If you think you need to lose weight, stop smoking, drink less or go to the gym more, better health, more vitality or more energy is probably what you really want. Once you understand your deeper motivations take another look at how you can achieve the goal. For example, if your new goal is being healthy, then there are a range of options available to achieve better health. Options that are best suited to your lifestyle, budget and personal preferences have a greater chance of working in the longer term.
   
   
2. Stick with the tension: In any change process there is a conflict set up between the new way and the old way. You have set a goal for a stronger financial position but the part of you which loves the comfort of the old way says “just charge it, it’s only $50”. This tension is a natural – albeit uncomfortable – part of change. While this tension can doom a change effort, be patient and persistent. When the inner conflict and the tension it creates are overcome, change can come quickly.
   
   
3. Learn about change: Most of us have never been taught about the mechanics of change. When you understand there are normal progressions in any change process you can avoid the pitfalls. The following books might well help: Switch: How to Change Things When Change Is Hard (by Chip and Dan Heath), Path of Least Resistance and Creating (by Robert Fritz) and Heart of Change: Real-Life Stories of How People Change Their Organisations (by John Kotter and Dan Cohen).

So this year try thinking differently about the things you want to change, because you never know what true change you might achieve!
www.changecreators.com.au

keeping the balance in 2011

It seems we have hit the ‘business end’ of this year and to see 2010 out, I’ve put together some points on how I see early 2011 playing out.

• The market will remain challenged as stock continues to outweigh demand, interest rates will also be a factor.
• However the market won’t be ‘dead’, stock will still sell. Not at a rate high enough to clean out the excess, but I think people will still see value in the market and take advantage.
• Value will remain in the market, astute buyers will act.
• When selling, we need to understand that buyers are going to be very price sensitive. Over valued pricing will be of great detriment to sellers.
• Days on market will be the enemy of sellers. Sellers and agents need to attempt to sell homes within the optimum period of one month to achieve the best results. Those homes that languish on the market will be negatively impacted.
• We are experiencing the fall out from the Government’s stimulus packages that were very successful economically, but used up future demand. While uncomfortable, this is a period of letting the market find its own equilibrium which is important in allowing for a sustainable market.

Let’s finish with some tips:

• Sellers should only appoint an agent for a period of 60 days max. This will ensure they remain focused.
• Don’t over value your home, consider ‘no set price’ sale methods (Auction, Realmark’s Set Date Sale) that allow the market to communicate to you what value buyers put on your home.
• Sellers don’t be scared of the market, but understand the challenges, choose an agent wisely and do your best to get it right from the beginning.
• Buyers, act ahead of the curve if you are in the right financial position. There is value to be had!
• Understand that the property market is a place of ups and downs. This is all just part of the ride and everyone (including my business) needs to find ways to adapt and ride it out.

Finally, from everyone at Realmark we wish all our readers a very happy and safe festive season! We look forward to sharing with you in 2011!

First home buyers and their mini mansions

John Percudani is the lead story on wangle.com.au today.

"Once again an increase in the First Home Owners Grant is in the headlines.

While this is certainly a way to assist first time buyers into the world of home ownership (also a good way to create some extra energy in the economy), I do worry about what our first home buyers are buying and building.

We really like to use first home buyers. We used them to help save us from recession..." visit the site here to read more

About Wangle:

"wangle publishes opinions from prominent and every day Australians. wangle also features other forms of writing, slice of life stories, a splash of fashion, reviews, photography, art and much more."

IN Holiday

By Ara Jansen

With the holiday season and summer almost upon us, we thought we’d help stock up the drinks fridge.

We’ve come a long way in our drinking tastes from the days of Chateau Cardboard.

Ric Skipworth has spent most of his life working in the food and beverage industry and says in the last four years alone he’s seen a serious shift in buying and drinking habits. Along with a push for fresher, tastier food has come an overwhelming interest to treat alcohol as an integral ingredient in the tastes of the meal.

“I’d like to think we’re drinking less but better,” Ric says. “We’re having less but we’re enjoying the full flavour of something. Much of that has filtered through from all these cooking and dining shows on television.”

He says encouraging the slow food movement also encourages the slower drinking movement.

“As with food, stay away from the meat in a can and buy some Italian sausage. Take your time and enjoy the experience, rather than the instant gratification. It’s not about the alcohol, it’s about the journey. Spend two or three hours in conversation with good friends and slowly enjoy the flavours an alcoholic drink offers.”

Ric suggests if you want to try something different, share a bottle of Denmark’s Mikkeller, a beer brewed with champagne yeast or Scotch whiskey from the island if Islay. He says there’s a wealth of new and interesting tastes across the drinking range and it’s worth the adventure to discover some you like.

Holiday drinking doesn’t have to be all about alcohol either. Keep a carton of bubbly mineral water on hand to sip with ice, make mock gin and tonics or add to fruit juice. It’s refreshing cold or at room temperature.

Stock your favourite fruit juice or try some of the many interesting flavours available. Have lime cordial, bitters, grenadine and soft drinks on hand or try the Italian soft drink chinotto.

Keep and eye out for specials too across the board, so you can save on the staples and favourites.

No matter how you drink over the holidays, please be responsible.

Fine Wine Partners state manager Bernard Hughes picks five wines to stock up on for festive and holiday celebrations:

• Sandalford Estate Reserve Cabernet Sauvignon (around $38)
  
• Ashbrook Semillon (around $23)
  
• Capel Vale Debut Chenin Blanc (around $15)
  
• Buy a case to always have on hand: Sandalford Margaret River Classic Dry White (around $17)
  
• If you like bubbles, New Zealand’s Te Hana Reserve Cuvee (around $23) is the new kid on the block. Just launched in WA, its name means “to shine” and is proving an instant hit.

Wine consultant Zach Nelson says he’s chosen wines that “remind me of the holidays and are suited for our climate and our food”. His favourite bottles of holiday cheer are:

• Pol Roger NV Epernay for special occasions (approx $75)
  
• Yellowglen Bella or Bella Bianco for all-round holiday cheer (approx $17.99)
  
• Brookland Valley verse 1 Chardonnay 2009 (approx $19)
  
• Always keep room in the fridge for Valley of the Giants Crisp Dry White (approx $14.99 but specials can be $9.99)
  
• A lovely food wine for hot summers, try something new in France’s La Vielle Ferme Cotes de Ventoux (approx $17.99)
  
• Go the Spanish reds, particularly Torres Sangre de Toro (approx $17.99)

The Holiday Season

“Should I bother trying to sell my home over the holiday period?”

There is a perception that selling a home around Christmas and New Year is a bad idea. It is a question that I get asked a lot. Yes, people have a lot on their minds, but believe it or not, there are a couple of advantages to selling at this time of year.

The New Year often brings with it new beginnings for many of us. Once we get Christmas out of the way we feel a sense of excitement and opportunity for the year ahead and if that involves purchasing a home, you will find people will use their summer holidays to get out there and get the process of finding ‘the one’ underway. Without fail, we see these ‘holiday buyers’ in the market each Christmas and New Year period.

Another reason why selling at this time of year can be a plus is the fact that like most industries, real estate agencies slow down at this time of year. Therefore home open numbers drop, many agents take holidays and don’t run listings until they are back on board.

However, we are currently operating in a market overflowing with stock, but I guarantee a majority will sit idle during the break, which may give rise to more opportunity for your home to get noticed. Perhaps making a move while the competition is on holidays will give you some edge?

But despite all this, selling is all about your specific situation and needs and when you decide it is time to sell, if you pick the right agent it won’t matter what time of year it is. Good agents provide solutions no matter what and if there is one thing I can leave you with as we launch into 2011, it is to be smart about selecting your agent


Happy New Year from Realmark


We would just like to take this opportunity to wish all of our readers a very happy New Year! Best wishes for the year ahead.

The Realmark team.

The market is flat and we have to wear it

I attended a REIWA event the other day and the outlook was that the market is probably going to continue as is for the next 12 to 18 months. And by continue ‘as is’ I mean it will remain challenged and overstocked.

While it is not very comfortable for some, we need this period to allow the market to find normality. Right now we are feeling the hangover of the GFC and the resulting Government intervention. The stimulus was necessary and it was effective in keeping the country out of recession, but it didn’t come cheap. Demand was pulled forward and now the market is trying to find its way without any outside intervention and we need to leave it alone.

When the market falls into this sort of plateau, people worry and those industries that are driven by the property market find it hard, but unfortunately it is just the name of the game. We need to leave the market to its own devices and that means the Government needs to resist any form of intervention

Just like it has before, the market will come back. We just need to let it do it on its own this time. History shows that when it finds it rights itself, it lifts rapidly.

John