The Forbes real estate market is outperforming neighbouring centres, with recent data showing local investors have backed a winner.
The results for property sales in Forbes for the last financial year paint a good picture of Forbes, according to Tracie Robertson principal of Ray White Forbes, Condobolin and Parkes.
“The average sale price in Forbes is now $245,000 and the market is holding firm with 178 property transfers processed for the 2871 postcode as opposed to 183 and an average price of $235,000 for the year prior showing capital growth of 4.1% which is good news for Forbes investors,” Ms Robertson said.
“Out of interest, the average price in Cowra for the same period was $240,000 and $257,000 in Parkes with similar transfer numbers seen in these nearby towns meaning Forbes is well and truly holding it’s own regionally.”
Of all the agencies in the region, Ray White generated the highest revenue in sales ending the year with just shy of $13 million in property sales for the 2871 postcode.
“This is a phenomenal result for Brendon Allegri and the team at Ray White Forbes who have endured the disruption of relocating during this time,” Ms Robertson said.
“I’m sure all agents expected their end of year results to suffer due to long periods of both minor and major flooding in the first and second quarters of the year so it’s a great result that transactions in Forbes only reduced by five sales for the entire year,” she explained.
Ms Robertson said the most interesting result of all for property sellers was the average discount per agent each year.
“This is the difference between the initial advertised price and the eventual sale price of a property and is a good way to truly measure the skill of each individual agent and agency,” she said.
“This is an important number to know as agents who aren’t as skilled in the area of negotiation can end up costing homeowners serious amounts of money.”
She said Ray White completed the year with an average discount of only 4.61 per cent, a notably small divergence from original pricing.
There were four local residential agencies reviewed during this study of data from Australian Property Monitors and the results vary from the lowest discount of 4.61 per cent to the highest average discount recorded being 9.9 per cent, or $24,255 on average less, than asking price when based on the average sale price for Forbes.
“That means the difference in dollars received by the homeowner when comparing the best agent to the worst is almost $13,000 more when selling through the best agent.
“This result shows how important it is for homeowners to choose an agent based on their knowledge and experience and not the agent that quotes the highest price and the lowest commission.
“This is a practice generally exercised by new agencies, new agents and unskilled agents but the harm is unknowingly done to the homeowner.”.
“Brendon Allegri and Ray White agents have access to the best real estate and negotiation training in the world and will this year complete a negotiation master class through Harvard Law School. When added to the swag of Real Estate courses that Brendon continues to attend I would argue he is one of the most highly trained professionals that I know,” Ms Robertson said.
“I believe in study and training and have myself completed a double degree in business management and business administration with a marketing major. As in the professional world, the best sports people don’t become that way by just showing up to play games, the most successful are those that train and practice and are dedicated to their chosen field, not those that see it as a job or a chore.”
“Working in real estate is a way of life rather than a job. It is discussed at every BBQ, at every family dinner and on every day of a good agents life. A good agent will read the financial review, watch Landline and listen to the ABC Country Hour. They will also watch the business channel when others are watching their favourite programs, and will read Property Investment magazines instead of the more popular sports or home life and travel magazines.”
“The Forbes market is a difficult one to navigate. Although we have seen steady growth in average price since 2012, the number of transactions each year was much higher during 2000-2010 than it has been in this decade so far, yet the number of agents has increased which makes it all the more important for homeowners to choose their agent carefully.”
“It’s a good time for sellers in Forbes but choose carefully, a bad decision has cost others more than $13,000!”