Trust. We all want it, we all need it, heck our happiness depends on it. So why then can it be so hard to give? Call me jumpy, but a phone call this morning from one of our members has got me fired up. Mistruths in the Real Estate Industry are so 1990’s. Seriously industry, it’s time to rise.
This is about people who are buying land being told lies and I’m calling it.
I’ve dedicated my life’s work to helping families stay safe when planning to build a new home. My purpose is to help them avoid the biggest mistakes made. It churns my stomach and boils my blood to see people fall victim to the wrath of desperation that comes from real estate agents needing to get that next sale. As agents of this calibre drift off to sleep at night, their pillows can’t possibly feel fluffy.
Let me paint a picture. Here’s a couple who are downsizing from the farm. A man with the warmth of a life well lived and his beautiful wife who evokes fond memories in me of my own childhood where cousins, aunts and uncles come together to reconnect around a country kitchen table.
They have sold their home. It settles in eight weeks. They need to find somewhere to live. They can see the benefits in building however that would mean having to rent or move some four hours away to live with family. If they are going to build, it needs to happen fast.
They called me to let me know that they’d found a block of land that would be titled in the next two to three months. Incidentally, I’d already done my homework on this land and was aware that civil construction to build the roads had begun just the week before. It’s July. It rains. Heavily. Even if the weather is kind, civil works may take around five to six months at best. How did hearing this make me feel? Angry. Mistruths in real estate destroy lives.
Here’s what I would have told them:
‘Civil Construction works have just begun. Depending on the size of the development works can typically take between five to six months however being winter it’s in the hands of the Gods somewhat. It’s the developers hope that they’ll be completed before Christmas within five months. Once construction is completed, local authorities such as water, gas and electricity need to sign off on the subdivision for it to gain what’s known as certification. This can take from weeks to months depending on certain variables. Then once certification takes place, the subdivision is sent to the titles office. Depending on how high the pile is on their desk, that can take around two to four weeks. And finally, depending on the settlement period, you might get your title as soon as fourteen days after settlement. At best you’ll be able to start building in around 6-8 months, at worst 10 -12.”
Honesty first, sale second. Rather, here we see a real estate agent from one of Australia’s largest and most successful agencies who seemingly knows little about the process of developing land, telling an innocent couple a mistruth that could have devastating consequences for them at their age. As for the real estate agent who sold them the block? His commission has been locked away Eddie. High fives over coffee in the board room. Next please.
This is where the value of working with a land buyers agent comes into play. Buying a house and building a house are two completely separate processes and it makes sense to buy land from someone who understands the lifecycle of building. A land buyers agent works for you and their job is to protect your interests.
Real Estate mistruths are the thorns on the branches of a rose bush. You’ve got to know how to dodge them to avoid getting stung. And while a prick from a thorn can ruin your day in the garden, a prick in real estate can ruin your life.
Note: I’ve popped back to edit this post of the 10th January 2019 with just this one sentence. It’s been six months since this couple were told titles would be 2-3 months and you guessed it, titles in this estate still haven’t arrived.
There’s only one sure way to know how to avoid the biggest mistakes made when buying land and that’s to know the right questions to ask. Step three in Build In Oz’s The Building Home Masterclass gives you Land – The Ultimate Guide’ where you’ll learn everything you need to know about safely buying a block of land anywhere in Australia.