What’s a Property Report and How Can it Benefit You
Whether you’re preparing to buy a house at auction, negotiating a private offer or wondering if you’re purchasing the right investment property, you can get a free property report from Mortgage House to make an educated, well-informed decision.
It can be easy to take the guide price of a house for the price that it’s worth, but sometimes this isn’t the case. That’s where a property report comes in. This invaluable resource can shed light on a variety of things which can help you determine not only what the property is worth, but what you should offer based on the sale price of similar properties in the same neighbourhood.
Your property report also provides useful information on the location of the property. We’ve made a list of what comprises a property report, highlighting how it can help you make a smarter decision when buying a house.
How knowing the stats of a property guide price can benefit you
You will get an idea of how many times the property has sold and at what price. This will give you an idea of how much the value of the property has increased over time and how many times it has had new owners, handy if you’re a property investor looking for capital growth areas.
By seeing data on past sale prices of the property, you can determine whether it’s price is reasonable, taking into account the housing market performance that year, and whether it’s had renovations since. You can also see snapshots of the property interiors with their corresponding property records, showing the past interior and possibly underlying things you hadn’t noticed in your viewing.
Knowing these stats can help you decide on the most appropriate offer to make. For example, if you find out that the property has been on the market several times within a relatively short period – first you need to find out why. If you’re still happy to make them an offer, you may be able to get away with a lower offer – if the sellers are desperate to move, it may well work in your favour.
You will also get an insight into the trend in property sale prices in the area. That way, you can compare what similarly sized dwellings have sold for to ensure that you’re paying a fair amount.
How knowing the location stats of the property can benefit you
You may know the location you are hoping to move into well, or it might be entirely new. Whether the first or the latter applies to you, there will always be location stats that may help with your decision.
By breaking down the affordable and non-affordable areas for you, then cross-examining these with a variety of different stats, you can make a highly educated choice on whether that area suits you for the long term. The varied elements of a suburb that a property report can provide you are:
- Schools – if you have or are planning to have children, this is a must-know. Due to catchment zones and a stress-free school run, schools are high on the list of why people choose to live in a particular area.
- Parks – if you have young children, dogs, or enjoy a nice walk in the park, having plenty of greenery nearby is something you want to know about the area you’re planning on living in.
- Population demographics – find out things like the average age of the location’s population, average children per family, and the percentage of those who own their homes vs. those who rent. You may also see the percentage of families, those retired, or working professionals, to get more of a feel for your potential neighbours.
- Crime rate – another significant factor when you come to buy a house. You don’t want any ugly surprises, so finding out the crime rate of the location can be enlightening. Remember – all areas have crime, so you want to some further research and compare other neighbourhoods – maybe those you have previously lived in – to understand the stats correctly.
- Current median property sales – last but not least, this can tell you whether the property you are looking at is reasonably priced compared to its neighbours. Keep in the back of your mind the state and size of the property compared to those with different price brackets!
Find out how you can get a free property report by getting in touch. We’ll talk through what kind of property you are looking for, and can help determine the best course of action when putting an offer in on a property.
In the meantime, happy house hunting!
At Mortgage House, we’re no strangers to the homeowner’s journey. It’s a long (but rewarding) one.
But don’t worry, we can help with that.
If you’re thinking of selling your home and are ready to make the next move buying or investing, you can contact us for information about the best options for you when it comes to your mortgage.