There’s nothing worse for a mortgage broker than telling their client that unfortunately the property they have just purchased isn’t worth the price they paid for it, and in fact, has been valued significantly lower than the purchase price…
The following demonstrates why this can be so devastating for purchasers who unfortunately find themselves in this situation.
A couple purchases an investment property, without professional assistance, over the weekend thinking that they purchased a really good property for a good price. First thing on Monday morning they contact their mortgage broker (having already been pre-approved for their loan) to advise they have just purchased a property. Obviously, at that point in time the purchaser and the mortgage broker are both excited.
The following week (after the contract becomes unconditional), the mortgage broker contacts the purchaser with some rather bad and unfortunate news. He informs his clients that the price they paid for the property exceeds the market value of the property.
In this example, the purchasers had paid $500,000, while the bank valuation came back at only $450,000, a shortfall of $50,000. As you can see with this example, this becomes a major problem for the purchaser as it means that they have to find $50,000 to make up the shortfall in order to meet the loan obligations. If they fail to find the additional $50,000 they risk losing a lot of money and possibly their 10% deposit.
Your Australian Property Solutions (YAPS) adds value to the buying process because YAPS is able to ensure that their client always purchases at a price that is either at or below market value, thereby eliminating the problem highlighted in the above example.
YAPS can achieve this by having access to sales industry information and is able to ensure that the lowest price and best value is achieved for their client due to their professionalism and strong negotiation skills.
For best results, best value and best customer service contact ZAC NEWBOLD on +61 (0) 418 144 644.for a no obligation discussion.