The ones we reject....
It really is the ones we reject that make HUNTER Advocates the best.
We seek properties that are as close to perfect and tick as many of the investment grade criteria as possible.
No property is perfect but we will never, ever, accept a fatal flaw just for the sake of an easy transaction.
I want to share an example from a client brief I’m working on. (If you prefer to listen to me explain, then watch here)
I reviewed a lovely property hot off the press that was stacking up nicely against my client brief.
Once I got my hands on the contract, however, it was quickly evident from the water authority plans that a sewer pipe easement cut right across 2/3 of the way down the block.
A close look at the backyard photo and you can just make out the plastic lid to the access point:
What's the problem?
No problem, for now.....however when you mark out the sewer easement line relative to the building, it’s clear its location restricts any future additions beyond the exisiting building footprint.
To get a mere backyard deck approved would be a lengthy process with the authority and much argy-bargy and cost.
Should maintenance works be required at any point? You can expect a lovely digger to excavate your backyard easement, taking everything in its wake.
So would the purchase price have reflected this limitation compared to other recent sales without similar flaws?
I certainly would hope so....but would it have been worth it?
Not in my opinion.
Paying less or 'getting a bargain' because you've accepted a flaw costs you in the long run.
Capital growth is realised when you sell your property and future buyers compete for it, driving the price up.
So even if you're okay with the flaw, it won't haven't performed as well as another comparable property without the flaw when it comes time to sell.
So we keep looking.
My job is to remain objective and protect my clients from selecting properties with limitations that will impact their returns.
Patience pays off, literally.
It can’t be rushed.
There’s just too much at stake.
Our brand is built on the quality of the purchases we make and I'm stubborn as a mule when it comes to selecting the best for our clients.
Happy hunting out there!