Interest Rates on the Move

The Reserve Bank of Australia raised its cash rate by 25bps to 4.35% in November after maintaining it at 4.1% in the prior four meetings, in line with market expectations. Tuesday’s move brought borrowing costs to their highest level since January 2011, marking the 13th rate rise since May 2022, as inflation proved more persistent than expected a few months ago due to a further rise in prices of services. CPI inflation is now projected to be around 3-1/2% by the end of 2024 and at the top of the target range of 2 to 3% by the end of 2025.

New governor Michelle Bullock said in a statement that whether further tightening is needed to bring inflation returns to the target in a reasonable timeframe will depend upon the data and the evolving assessment of risks. The board reiterated that it will closely monitor the global economy, trends in domestic demand, and the outlook for inflation and the labour market. The board also hiked the interest rate on Exchange Settlement balances at 4.25%. source: Reserve Bank of Australia
Get the full overview here via Trading Economics:


Adding Value to Property, Investment

Visual Value & Financial Benefits

To truly add value to your home or investment property, it’s crucial to think beyond your personal preferences and consider the broader appeal to the marketplace. Seeking professional advice or relying on your own experience can be highly beneficial in this area. Don’t let the current availability of tradespeople hold you back, because when you have the opportunity to make improvements, it will pay you dividends in the long run.

Assuming you’re ready to take action, here are some impactful tips to polish off your property’s offering and maximize its visual appeal:

  1. Think creatively and make use of every inch of space, including nooks and crannies that can be transformed into stylish and more functional spaces.
  2. If you have a larger open space that is offset the main floorplan, consider adding sliding doors to create an extra guest room or bedroom. This will make your property more versatile, add value and be attractive to potential buyers or renters.
  3. Consider extending your outdoor entertaining area by installing a deck in place of a narrow porches. This is a simple but effective way to make your property more enjoyable and practical for guests. Ideally this is level at exit points to level of the indoor/outdoor experience.
  4. If your bathrooms are dated such as tiles, fittings or shower screens, consider replacing them with new ones or resurfacing them for a fresher look. This is a small but impactful change that can make a big difference to the visual appeal of your property.
  5. Don’t overlook the potential of outdoor areas – even unsightly concrete can be transformed with a permeable topcoat or synthetic grass. Doing this on a long or wide area current unsightly adds great visual appeal.
  6. Take a closer look at your lighting options and how you can improve this. Sensor lights and strategically placed lighting fixtures can make a huge impact on the ambiance of a room and outdoor area. We are also referring to those practicalities of living in the home, consider how that feels for someone living in the home, or other looking to buy or rent it.

By making some quite basic improvements, you’ll be well on your way to adding significant value to your property and attracting more people to your property should you be selling or renting. Depending on your motivations, it may be wise to obtain a valuation and/or rental review before and after making these visual and practical improvements.

If you’re seeking professional guidance on this topic, CP Advisors offers consultation services to help you add value to your property. Get in touch today to learn more.

Consumers, Getting Started

Smaller Real Estate Businesses: Prioritizing Work-Life Balance for Better Results

In the real estate industry, cognitive overload can negatively impact the quality of service, results achieved, and the mental health of professionals. However, smaller and more nimble businesses can be more accommodating to the work-life balance needs of their teams, which leads to a better customer experience.

Real estate professionals require work-life balance, especially when dealing with cognitive overload. Long hours, demanding clients, and a constant stream of information can lead to burnout and negatively impact the mental and physical health of professionals. Without work-life balance, professionals may not provide the necessary attention and care to clients, resulting in missed opportunities, poor communication, and negative customer experience.

Consumers must have a positive and productive experience with an agent or agency for a successful transaction. Therefore, companies must prioritize creating a tailored and personalized experience for the consumer. Consumers should not assume that bigger is always better, and smaller businesses can provide several advantages over larger agencies. Smaller businesses can be more adaptable, innovative, and offer a more personalized service.

If management in a larger real estate company is experiencing cognitive overload, this can have significant implications for their younger and less experienced staff. Companies should prioritize training and development for all employees and consider the size and agility of the agency to create a better experience for both clients and employees.

In summary, smaller and more nimble businesses offer several advantages over larger agencies in the real estate industry. By prioritizing work-life balance, providing a tailored and personalized experience, and offering a supportive workplace culture, smaller businesses can create a better experience for both clients and employees.

If you have more questions and want to better understand the right services for you, contact CP Advisors for further assistance.

Consumers, Getting Started

Evaluating Property Services, Scratch Under the Surface

Like all successful relationships in business many advisors operate right in the middle of every transaction. The real estate consumer has embraced advisors, albeit slowly, and services on offer today come with varied levels of experience across Victoria and Australia. When you are evaluating services it’s really important to understand there are major differences in skills, attributes and learnings of people in the industry. Individual advisors subsequently have many different layers of experience, and this raises ‘a word of caution’, simply because the advice you receive will have a major impact on how well you do with your transaction.

The overall value of these services to consumers is essentially the independence, time, experience and network, all these elements come together to make a transactions a success of failure.

At Clements Property Advisors you can rest assured we have worked on the front lines for over 20 years, having been an estate agency, auctioneers and property managers. Ultimately, you the client make the decisions, whilst we guide you and give you that confidence from start to finish.

So it’s always good to scratch under the surface and see what you can find out, because all services are certainly not the same!



Selecting the Right Experts

When you decide to transact on property there are people you know with experience and those you trust who can help guide you in the right direction. We are big believers in relationships like most professional people, and the business that we generate as a result of word of mouth referral. There are plenty of amazing people in the real estate industry playing their part in helping others transact, but there are significant differences.

The contrast between services on the surface is typically individual skills, abilities and the energy to get the job done. However drilling down, there are other important elements you should take into account, such as, the deeper knowledge that separates every organisation. We are referring to skills as a result of the ‘lessons learned’, people with a broad professional network, industry and business experience.

The important message is those wise old words, ‘do your research’. When deciding on services check out accreditations like membership to the industry body, REIV. This requires ‘Professional Indemnity Insurance’, and adherence to a professional a ‘Code of Conduct’. Then there is business licencing checks to operate, is the business currently registered, with an active ABN and/or ASIC registration. Take all this into account and you are better placed to make some smart decisions, backed by smarter people who know the ropes.

Getting Started

Buying for Beginners

Finance Approval one Important Step to Readiness

Before you enter the property market be sure to get finance approval in advance if you need it. People sometimes say I am not in a hurry, and that’s perfectly ok, however just be ready to move and for the following reasons. The task of buying is not as easy as you may think, and that’s in part due to low levels of quality stock in recent years across Melbourne. So today you are competing with more buyers for less available real estate than perhaps a more balanced market might present.

One you get organised finance remember that if you buy at auction it’s considered market value by the bank. However, if it’s a private sale, always make it ‘subject to finance’ to protect your interests. This is because the bank will want to do a valuation before handing over that finance approval.

Be mindful also, there’s nothing worse than finding a property you like and them missing it because you are not ready. The same can be said when not having the expertise by your side to bring those dreams to reality, times have changed, it’s no longer that straight forward.

Just remember financing is one part of a big puzzle, knowledge, strategy, relationship and expertise are the other priorities that ensure you come out a winner!