Woodvale Fire Sale

#1 Penny Lane 

Woodvale

For Sale : $499,000

First Listed 15th April 2011 for Mid $500,000

( Realtor's Code for $550K Plus)

Discounted 17th May 2011 to $530K & again 16th June 2011 $515K - $530K

Taken off the market for 2 weeks & re-listed with a NEW AGENT  @ $499,000

So what is the sad pricing history of this house?

Bought March 2006 by the current owners at the peak of the Perth property cycle for $425,000 .

However it had sold just 12 months earlier in March 2005 for just $320,000!! 

So the current owners were happy to pay 33% more after just 12 months? 

What were they thinking? 

Why pay $100,000K more in just 12 months.

Oh that's right in 2006 like today there was a mining boom. 

So it did not matter what you paid because a "Greater Fool" on a big mining pay packet 

will happily pay you whatever you need them to pay you so that you can to make a tidy profit.

So what should you pay for this property? 

In my opinion this property was only ever worth $245K in 2005 

So the price of $320K  paid then was just STUPID.

I looked at this house in 2005 as a investment & thought the asking price 

was over the top it should have been $245K max

  But for the sake of this exercise lets just accept that in 2005 the $320K price was the correct price. 

Well the RBA says that since 2005 the CPI has gone up 18.9% & wages went up 19.5% (Roughly 3% PA) so this $320K house  should be worth no more than $384K in 2011. 

But if you accept my assessment that in 2005 this property was worth no more than $245K 

then the 2011 price  should be $294K

So either $294K or $384K But definitely NOT $499,000 

The other interesting thing is, that if this property was to sell in the next 2 weeks @ the $499K price REIWA  stats would show it is selling in 14 Days with a Zero discount of asking price. 

But the reality will be that it took 125 days &had to be discounted by 10% (Thats if it sells!!)

Australian Realtors Bullshit BINGO

Want to have some fun at your next Auction or Home Open?

Follow the link & Print this BINGO Card.

I Guarantee You will shout BINGO every time.

In Fact it should take no more than 5 minutes to play this game.
(Realtors wont be able to help themselves)

This Bingo Card is full of Realtors Catch phrases & Spruiks.

Perhaps you might like to try an alternative method, that is much much more fun.

Print this Card out and hand it to the Realtor. 

Now inform him that he cannot use any of the phrases on the card when talking about the property you are about to view.

Watch as he stands there in stunned silence unable to speak.

(Click on Image below to enlarge) 

(BTW Please add your favourite "Spruiks" in the comment box & I can post several cards to print)

 

Perhaps you would like to create your own?

(Click on Link Below)

AUSTRALIAN BULLSHIT BINGO MAKE YOUR OWN VERSION