In competitive real estate markets, agents work hard to get the best offer from a buyer for their vendor. While most agents will stick to the rules to do what is in the best interest of their seller, a few will blur the lines in an attempt to achieve a higher result.
For inexperienced buyers, some of these strategies are less obvious than others and some may not be allowed under a state or territory’s respective real estate legislation.
Here are some of the tactics to keep an eye out for.
Describing the seller as “motivated”
Many property listings detail the home as being owned by a “motivated vendor” to encourage buyer interest, particularly in slower markets. The idea being that it may encourage buyers to think they can get a good deal, or the vendor is more likely to accept their offer.
Sellers would be required to provide permission for a statement of this nature to go into an advertisement, Real Estate Institute of NSW president John Cunningham said.
However, he said for buyers “it could be seen as baiting the expectation of a bargain and therein lies the problem but virtually impossible to prove”.
“These days it is rarely seen and it appears during tougher markets where many vendors are highly motivated so is very true. However, I feel agents who are silly enough to go that direction will have faith lost in them by the market when their pitches continually fall short of the reality,” he said
Reworking an old advertisement
Just Think Real Estate managing partner Edwin Almeida said a common technique used by agents, including his own agency, is to take down a listing that isn’t performing. After a week of having the home off the market and bringing the photographer in, the home is relisted with a fresher look.
“Buyers are smart and recognise when a home has been on the market unsold for a long time,” Mr Almeida said. This technique allows the home to have a “second chance” at engaging the market.
Refreshing a old listing is “very common”, Mr Cunningham said. As it still truly represents the property, there’s nothing wrong with the practice.
Disclaimer: for information and entertainment purposes only