8 months ago

Selwyn Times: April 25, 2018

4 REAA - Understanding

4 REAA - Understanding real estate jargon Every industry is full of jargon and buzzwords that make no sense to anyone who’s not part of the club. Real estate is no different, which means it can be hard to get up to speed. Here’s a handy guide to some of the most common terms you’ll come across when buying or selling property. Agency agreement: If you are using a licensed real estate agent to sell your property, you’ll need to sign one of these agreements - it sets out what the agent will do and what they will be paid. Remember you can negotiate the conditions, such as who pays for marketing and how much the commission is. Make sure you get legal advice before you sign, because it’s a binding document. BEO or BBO: This stands for ‘Buyer Enquiry Over’ or ‘Buyer Budget Over’, which means that price listed on the advertisement indicates the minimum that the seller will accept. The seller actually needs to give serious consideration to any offer over the BEO, so this figure needs to be selected carefully. Deadline Sale or Deadline Private Treaty: In this kind of sale, a property is marketed for a set period (with an advertised end date). The seller can choose to accept an offer at any stage during the listing period though it may be stated in the advertising that ‘no offer will be accepted prior’. Check the fine print. LIM: This stands for Land Information Memorandum, which contains everything that the local council knows about the property, such as any issues with drainage and plumbing, erosion or permits. It will help you identify if any additions haven’t got the right consent. A LIM will also record any unpaid rates. Sale and purchase agreement: This is a legally binding contract between the buyer and seller for the purchase/ sale of a property. It provides certainty to both parties and it sets out in writing all the agreed terms and conditions. It’s essential to get legal advice before you sign an agreement – and that you read and understand what it means. Settlement: This is the end goal in a property transaction, when the sale and purchase is completed by the exchange of property and payment. Settlement occurs when the seller receives the money for the sale – the buyer will not receive the keys until this happens. RV: This stands for ‘Rateable Value’ – this is a value used to calculate local body rates. It should not be assumed to be a market value for a property when it is for sale as the rating valuation may be a number of years old. It is also not responsive to local market fluctuations and may not reflect any recent renovations to a property. This was formerly known as ‘Government Value’, or GV. Tender: If a property is for sale by tender, prospective buyers must submit confidential written offers by a set date. Usually there is no minimum price, but properties are often listed with a BEO or BBO price. The seller can then choose the offer that is most acceptable to them, based on the price and any attached conditions. The most attractive tender is likely to be one that combines a good price with few conditions. Sellers are allowed to negotiate with any one or more of the tenderers received after tenders close. For more advice about buying a property, check out the REAA’s free guide at 5 Hardwell Way, Rolleston REAL ESTATE SPECIALISTS 74 Stott Drive, Darfield idyllic Lifestyle Living! Peace & serenity prevail at this expansive 5 bedroom home on 5320m 2 . With features galore throughout, this is an impressive family home! With a sleek kitchen complete with engineered stone bench tops and a scullery, 2 ensuites plus a family bathroom, 4 toilets, a study space and a large laundry the picture is complete with ample parking options including 4 car garaging. Located just 5 minutes drive from the heart of Darfield, you are encouraged to view to truly appreciate what is on offer. Contact Mike now to view this stunning property. ENquiRiES ovER $445,000 Stop! Look No Further! Delivering the perfect combination of contemporary style and low-maintenance living in the flourishing Faringdon community this three-bedroom home presents an appealing opportunity for home buyers and investors. The open plan living space flows seamlessly from the modern kitchen to allow for family interaction and effortless entertaining, and your choice of two patios and the easy-care grounds provide the perfect setting for unwinding outdoors. Each of the bedrooms is well-sized and feature built-in storage, with the master enjoying the convenience of an ensuite. Situated just a short stroll from the eateries and amenities, this home represents great value for money. It offers laidback living and excellent levels of comfort and is sure to tick a lot of boxes for buyers who want to settle down in style. Contact Mike today for more information. ENquiRiES ovER $835,000 (all offers to be presented 5pm 3 rd May unless sold prior) 75 Dynes Road, Rolleston oFFERS ovER $749,000 Spacious Living & Clever Design! Currently under construction and available for new owners to secure prior to completion, this stunning 270sqm family home is a quality new build and will be constructed from aerated concrete panel & schist. Generous accommodation is provided with four double bedrooms, including the master bedroom which enjoys a walk-in wardrobe and a luxurious ensuite. Four car garaging will make you the envy of many with plenty of storage while the fully fenced 900sqm family sized section will be landscaped ready for you to enjoy. Call Mike now for further details, plans & specifications. Mike Goatley 027 249 5561 Trevor Mcivor 027 444 2814 Stephen Ferguson 021 224 2000 Fraser Mackintosh 027 286 8161 Nicola Curtis Administrator Julz Sibbe Administrator 68 Rolleston Drive, Rolleston 0800 645 346 Real Estate Specialists Ltd Licenced REAA (2008)