Tuesday, October 31, 2006

“QUOTE LOW MAKE DOUGH$”

“CRUNCH VENDORS”
“STITCH A DEAL”
REAL ESTATE CODE ……..
…………….CHANGES THE RULES
Toop&Toop backs the latest REAL ESTATE INSTITUTE OF SA (REISA) initiative in launching its new industry wide code. Toop&Toop undertake to continue to train our team and move EVERYONE to a more modern way of thinking and operating. To achieve change, we call on the media and community to reinforce their desire for the changes as outlined in the REAL ESTATE CODE.
Monday’s launch of the “Real Estate Code” has far reaching ramifications for our industry. If the community thought the end of dummy bids was big, it does not compare with the ramifications of the new requirements of THE REAL ESTATE CODE.
The CODE addresses head on the issue of bait pricing. Bait pricing occurs at both ends of a transaction.
At listing time it has been the industry norm to impress potential home sellers with promises of amazing prices.
It has been a universal industry approach in obtaining a listing to over state an expected sale price. Why has the practice existed? Simple, the owner of a property rewards (with their house listing) the agent who states their property is worth the highest price. Over quoting is interpreted by a naive home seller as an indicator of the confidence that that agent has in their property.
The irony is nothing could be further from reality. Little do they understand that this practice invariably has the reverse effect. Almost without exception an overpriced home sells many weeks later than it should, and for many multiples of $ thousands less than what could have been achieved early in the sale campaign.
Inflating the expectations of a home seller has evolved into an auction like event. An auction conducted by a vendor with agents bidding to “buy their new clients favour”.
In my view, an owner of a property has the right to ask whatever price they choose BUT, it is not ok to do this as a consequence of intentional misquoting and agents simply bidding up expectations simply to please a potential new client.
The second relates to the disgusting old real estate adage, “Quote low, make $dough”. This practice involves quoting very low to buyers followed up by “crunching vendors” to “stitch a deal”, at the time of an offer. This nasty feature of traditional real estate practice still exists today.
It works like this. The buyer is baited with a low price. The agent gets the “fish hooked”, and once the buyer is in an emotional state these agents then either “crunch” the purchaser up, or “crunch” vendor down. Often both occurs. Everyone looses, and all parties feel emotionally exhausted.
This MUST be a move by the entire industry or the “good guy will loose, and consumers will continue to be subjected to these practices.
So, bring on the code. Bring on transparency. Bring on way overdue changes to our traditional agency business.
A copy of the code of conduct is available on line at reisa.com.au
Anthony Toop
PS. How about this gem…… a saying still taught in some offices “pitch it low, watch it grow, feed it high watch it die”.


Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Friday, October 20, 2006

What a Night!

Last Friday night Toop&Toop achieved one of its highest accolades within an extremely competitive industry.
We received in total an amazing 8 Awards for Excellence. An exceptional achievement for a family owned South Australian business that were up against large multinational and international Real Estate franchise companies. We would like to thank our talented and amazing team of staff that have helped make Toop&Toop
the company it is today. We are very proud of our team and we know that we couldn’t do this with out their constant support and hard work. We would also like to make a special mention to all our finalists and congratulations to the individual winners, Peter Veitch, Anne Einarson and Phil Harris well done, you truly deserve it! We would also like to thank our loyal clients for their continued support during the year.
From a company perspective these wins indicate we are doing things right and the recognition is truly appreciated. These awards further encourage our company to continually strive for excellence in every aspect of our business.
2006 Finalists

Local Residential Salesperson of the Year – North, Len Allington

Local Residential Salesperson of the Year – East & City, Peter Brown

Rookie of the Year – Alex McGregor-Reid
Medium Agency of the Year – Golden Grove
2006 Winners

South Australian Salesperson of the Year – Peter Veitch

Local Residential Salesperson of the Year – Hills, Anne Einarson

Local Residential Salesperson of the Year – East, Phil Harris
Agency of the Year (Large) – Toop&Toop - Norwood

Property Management Agency of the Year – Toop&Toop
Award for Outstanding Corporate Marketing – Toop&Toop
Award for Innovation – Toop&Toop
Award for Outstanding Website – Toop&Toop

Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group

Thursday, October 12, 2006

Adelaide – what a city!

Adelaide is fast becoming the most popular city in Australia for travellers from overseas to lay their hat and call “home.” International visitors are taking up residence in our City of Churches because of affordability – it costs an amazing 18% less to reside in Adelaide than the country’s most expensive state, Sydney, and they are buying up our properties! Within only the last few weeks we have had a large number of overseas couples come through opens, fall in love with our homes and subsequently snap them up! Recently we sold 3 properties in Golden Grove and Gulfview Heights to couples from the UK who have decided to settle down in Adelaide to raise their families and make Adelaide their home. The word is out that the quality of life is far better in Adelaide than any other capital city in Australia. Overseas buyers are looking for family homes, with pools, plenty of open space and a leafy green environment – something that can be very rare for couples coming from overseas.

Not only are we selling to overseas buyers but we are also making record sales. A beautiful two-story home at Golden Grove's exclusive Spring Hill development sold for $910,000 last weekend. It is the highest recorded price for the area and was achieved by our Golden Grove team. Once upon a time, these prices were only achieved in Adelaide's leafy eastern suburbs. We are finding now that areas such as Golden Grove, Mawson Lakes and Port Adelaide are flying. Both areas are seeing a lot of well-planned development and together with their proximity to jobs in the new defence industries, they provide a winning formula.

So if you are looking for a property to buy or would like some advice on where to buy please give us a call to discuss your buying requirements.

Happy House Hunting!



Anthony Toop, Managing Director.


www.toop.com.au


© Toop Real Estate Group