The recent RP Data – Rismark Home Value Index Release landed in my inbox this week and the news for homeowners around the country wishing to sell their homes in 2011 is not great.

Capital city (-0.2 per cent) and ‘rest of state’ (-0.1 per cent) home values both fell in seasonally-adjusted terms in November. In raw terms, the declines were larger (-0.6 per cent and -0.8 per cent, respectively). RP Data & Rismark expect further weakness in 2011 as rates rise.

Christopher Joye, Rismark’s managing director, stated “We believe that there is a risk of at least three cash rate increases in 2011”,  in which case he predicts there will be little-to-no nominal dwelling price growth over 2011, with a chance of small nominal declines.

What is happening in today’s real estate market?

A slow real estate market is called a “buyer’s market” because there are lots of homes for sale and fewer buyers fighting for them. With a glut of houses on the real estate market pushing prices downward, buyers have more power in any negotiation. They know the seller needs to sell their house more than they need to buy it. The perceived pressure to make a quick buying decision is gone and buyers have higher expectations than ever before. They demand value for money and will walk away if a property fails to impress. Houses that don’t appeal are left languishing on the market dropping in value with each passing week that they sit there.

How can sellers improve their bottom line?

Home staging right now is more important than ever because of this shift in the balance of power from sellers to buyers. With house prices trending down, it means home sellers have a greater need for home staging services to preserve their equity and help them make a faster sale.  The current statistics for average days on the market is 120 days or longer – that’s 4 months! What is it worth to you to sell your home fast and to achieve the best possible price?

I am happy to report that even in this downward market, my clients have been achieving great results. Some are still selling on the first open which is the absolute perfect time to get your highest offer when buyers are first exposed to the property and there is the highest level of interest. If you are contemplating selling your home any time soon then take my expert advice.

Charyn’s Top 3 tips for Selling in a Buyer’s Market

1. Be realistic about price – face up to reality and accept that if the market has dropped in your area, you will have to lower your expectations. Do your research and compare similar house sales in your suburb. Go out to open inspections and get a feel for what buyers are looking for. Make mental notes of the best things that appealed to you and see how you could improve your home in a similar way. Listen to what buyers are saying at open inspections – you will be surprised at the things that they don’t like and won’t compromise on.

1. Change your mindset about spending money on a pre sale makeover – There is a big difference between something that “costs” you money – you understand the money has gone and that’s that. But when you make an “investment”, you plan to see a return on your money. Home Staging is an investment in your single largest financial asset.

1. Put in 100% effort. It may sound like a no brainer, but unfortunately not all of my client’s fully embrace the recommendations that I make to prepare their home for sale. Some only put in 50% effort and therefore they end up with 50% result. This is your largest asset. Get off your rear end, put in the hard yards and you will receive the best possible outcome. Remember like all things in life – you only get out what you put in!

Happy Selling

Charyn Youngson

Professional Home Stager, Property Renovator, Mentor, Speaker

Author of Sold for Top Dollar.

The number one strategy I use to add massive value to any property is to use modern design. All of the homes I have bought, renovated and sold since becoming a full time property renovator were built in the 60’s and 70’s and generally they were still in their original condition. Mosaic tiles, terrazzo floors, pastel bath ware, wall paneling are some of the traditional styles from those eras that I have easily upgraded to a more modern look to appeal to today’s target market of buyers. The bottom line is that today’s buyers are buying a lifestyle not a house and if you can give them that lifestyle using modern design and furnishings you will satisfy their needs and in return add thousands of dollars PROFIT when you sell.

The following article by Real Estate Agent, Paul Raine of Brock Harcourts, Brighton sends home this message. Modern design equals modern price A good home design can add so much value to your house, and it doesn’t have to cost a bomb to achieve the desired result. A clever modern design starts with an understanding of how people live in their homes. New home builders are now using modern technology to build homes that are attractive, highly functional and feel good to live in. Some features of an ideal modern home design that will add value to your home are:

• Efficient use of space. Even small homes can reflect some of the spacious characteristics of a larger home. Using high or raked ceilings can add to the sense of space and also allow for larger windows to visually extend your home.
• Open layouts. One of the more popular design trends is the open plan concept. Depending on the size of the home, an open plan may replace or complement formal living and dining rooms.
• Natural light. Advances in the technology of windows and doors, including double glazing and energy-efficient glass and window frames, make today’s new homes light and bright, without losing heat in winter or overheating in summer.
• Kitchens that work. With today’s open layouts, the quality and the finishing details of a new kitchen are done with careful attentiontomatching or complementing the surrounding spaces. Focuses are on well appointed, organised workspaces, attractive, separate eating areas, and great natural and built-in lighting.
• Flexible space. New home layouts are designed to accommodate changinghousehold needs over time. A den can become an extra bedroom or a nursery. General use rooms can be converted to a home office, family entertainment area or a home theatre.
• Built-in convenience. Look for direct access from the garage to the home, garages and utility areas with good storage space, walk-in robes and additional features such as extra-large pantries, lots of shelving and a built-in area for waste and recycling bins.
• Lots of storage. A new home is designed with plenty of built-in storage to eliminate clutter.
• Ambience. New homes have shiny surfaces, clean lines, warm natural materials, pleasing curves and attractive accents – making them a great place to live.

By utilising these features, you can make an older home extremely appealing, and increase its value at the same time.

                  Before                                                    After

So if you are looking for inspiration to modernise your exisitng home to appeal to the broadest market I recommend you spend some time viewing new home displays.