{"id":31978,"date":"2021-04-28T15:15:22","date_gmt":"2021-04-28T03:15:22","guid":{"rendered":"https:\/\/propertynoise.co.nz\/au\/?p=31978"},"modified":"2021-04-28T15:15:22","modified_gmt":"2021-04-28T03:15:22","slug":"why-show-up-buyers-frustration-grows","status":"publish","type":"post","link":"https:\/\/propertynoise.co.nz\/au\/why-show-up-buyers-frustration-grows\/","title":{"rendered":"Why show up?\u2019 Buyers\u2019 frustration grows"},"content":{"rendered":"

PHOTO: Buyer’s agent Wendy Chamberlain has called for the laws around price guides to be changed in Victoria. Picture: Supplied<\/strong><\/p>\n

With houses selling for hundreds of thousands of dollars above price guides and reserves, some claim there\u2019s a widespread problem.<\/p>\n

With a $250,000 deposit, Melbourne woman Grace Almeida has turned up to auctions ready to buy a home based on the price guides \u2014 but hasn\u2019t even gotten a bid in.<\/p>\n

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The 22-year-old has been looking for a two-bedroom unit in south east Melbourne for the past three months.<\/p>\n

She was lucky enough to have been left some money from her grandparents, but said she has also been saving for a home since she was 18.<\/p>\n

Her first auction was for a two-bedroom unit in Surrey Hills<\/a> in Melbourne. Its original price guide was $700,000 to $770,000, which was then upped to $730,000 to $800,000.<\/p>\n

\u201cIt was pretty small and the kitchen and bathroom needed to be redone and it ended up going for $950,000,\u201d she told news.com.au.<\/p>\n

\u201cI was waiting until it slowed down at around the $750,000 mark but it never slowed down. It\u2019s just disheartening. It\u2019s so much above what you expect it to be, so it\u2019s like, what\u2019s the point in showing up?\u201d<\/p>\n

And the practice of real estate underquoting<\/a> is a problem that\u2019s happening right across Australia, with Fair Trading recently announcing a crackdown on Sydney real estate agents who deliberately underquote property prices, with those caught out facing fines of up to $22,000 and the loss of their commission under the Property Stock and Business Agents Act.<\/p>\n

Ms Almeida said that a couple of weeks ago she was interested in another property in the Melbourne suburb of Camberwell. The price guide was again amended from $680,000-$730,000 to $750,000-$800,000.<\/p>\n

\u201cIt went to auction and once again I didn\u2019t even get a bid in and it went for $890,000. The price guides are quite obviously not accurate \u2026 I think really you do need to add $200,000 on top of it to even be in an accurate range,\u201d she said.<\/p>\n

She said it highlighted the issue of misleading price guides as property prices continue to rise across Australia.<\/p>\n

Buyers\u2019 agents have said the issue is widespread, but one real estate agent with more than 20 years experience said it was in the \u201cabsolute minority\u201d.<\/p>\n

\u201cAgents don\u2019t need to do anything else other than list a property at the correct price and the market will do the rest,\u201d the agent said.<\/p>\n

RELATED:\u00a0\u2018Not affluent\u2019: How 20yo bought first home<\/a><\/b><\/p>\n

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\"Grace<\/div>\n

Grace Almeida has missed out on properties as they soar above the price guide. Picture: Supplied\u00a0<\/strong><\/em><\/p>\n<\/div>\n<\/div>\n

READ MORE VIA NEWS.COM.AU<\/a><\/p>\n

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