It is Your First Home:
Buying your first home is a big deal. Especially in the world we live in today, it can take months or years to save the money to be able to afford your first home. Patiently waiting and searching for the right property can build suspense and give you a desire to want to rush into finding a home as soon as you can afford it. The implications of building emotion and urgency can include purchasing the wrong type of property, or more likely, overpaying for a property. 
What should you do to avoid the above? As soon as you decide that you are ready to buy your first home you should set clearly defined goals and record them. If you want to buy something that you can live in for now then rent out or develop in a few years’ time, ensure you list all the attributes you desire within the property, and set a clearly defined budget. Remember to download a free smart home-buyers budget so you can create a viable savings plan. When submitting offers on a property, compare the property to others that have sold in the area to ensure you are paying a fair price. Decide the maximum you are willing to pay for the property, and don’t go above this amount. Remember you make money when buying property, not when you sell so negotiate hard! It can be difficult to walk away especially when you feel the property is perfect, but there is always a better value property just around the corner, you just have to be patient.   

You’re Purchasing Your “Forever Home”
You’ve decided that’s enough, I don’t want to move houses again! I know what I want in a home so I’m going to buy a property, and never move again! Those purchasing their “forever home” are usually a lot less open to compromise. They know what they want so if a property doesn’t have everything they want, they won’t consider it, and if a property does have everything they want, they’re desperate for it! By showing a seller or their agent that their home is perfect for you, they may negotiate harder knowing that you have a strong desire to purchase their property. 
What should you do to avoid the above? Remember that compromise is key in purchasing property – if a property doesn’t have every attribute you desire it should not be discounted, you will just need to take this into consideration when submitting an offer and put together plans to create the home that you would like over time. By adding to the property or renovating you will often increase its value anyway. It is also important to remember that circumstances change often too. You may think that this property will be your “forever home” but you must still be logical and ensure the property holds its value as you never know when you may need to sell.

You’re Downsizing and Are Used to a Much Larger Property
This mainly relates to baby boomers and those who have owned property for many years. Back in the 60s, 70s and 80s it was all about the great Australian dream – owning a quarter acre (1,000sqm). Many blocks were this size or slightly smaller, so Aussies had plenty of room to move around their property compared to these days (a proposal has just been implemented to introduce 80sqm lots of land in Ellenbrook, WA!). It is very common for downsizers to find it very difficult to find a suitable property as what they are purchasing is different to the type of property they’ve lived in for decades. By continually stalling buying a property, you could miss out on many suitable properties, and if the conditions of the market change during your search, you may pay more for a property. 
What should you do to avoid the above? When deciding to downsize ensure you have a “clear out” and give away/sell any furniture or items that may not fit in a smaller property or that you no longer need. If you have always lived in a larger house, it is unlikely that you will be able to downsize and keep the furniture you currently have. Being unable to store large items is one of the reasons many downsizers stall buying property. If you can’t bring yourself to give away items it may be worth renting a local storage unit. These units can be relatively inexpensive, and you may find that after you have moved properties and are enjoying your time in your new, smaller property, it is easier to move forward and give away larger items that you previously thought you would need in the future. 

Emotion is difficult to overcome when purchasing Perth property. Regardless of your circumstances it is important to plan and research. Ensure you follow each step of the Buying Property Perth website so you can make good decisions when purchasing Perth property. 

This article was written by the team at Cap-It-All Building Inspections Perth. 

Using the “From” method to sell my house:
The “From” method is used in many cases to indicate that the sellers of a home are not willing to accept any offers below a particular price. The “From” method may look like this “From $550,000”. The main objective of this pricing method is to invite buyers in to submit offers above the asking price, which means that when there are multiple offers submitted, a bidding war may begin. As a buyer it is important to remember that although the price states “FROM”, you are still able to submit offers below the lower figure is all you are willing to pay for the property. 

Using EOI to sell my house:
EOI stands for “Expressions of Interest”. This pricing method can be used for any type of property, but is often used to sell rare properties such as large blocks of land or very expensive homes. There will usually be less buyers and less sales data for these types of properties so it can be difficult to produce a sales price. An EOI campaign will usually run for 4-6 weeks, and all interested parties will submit their best and final offer within this time period. At the end of the 4-6 weeks, the sellers will accept the most suitable offer and all other parties will be advised that their offer has been rejected. Although this method can be a way of enticing buyers to submit their best and final offer immediately, negotiation between several parties is often the key to obtaining the highest possible price. Buyers may also become impatient waiting for the EOI period to be over and may submit offers on other properties so there is a chance the sale will be lost if an offer isn’t accepted immediately. Similarly the sellers may accept an offer before the EOI time period lapses, which defeats the purpose of setting a period of time aside for all best and final offers to be submitted. 

Using “Set Date Sale” to sell my house:
“Set Date Sale” are three words being used increasingly in WA – this means that the seller will be accepting an offer by this particular date and will encourage buyers to submit offers quickly. Rather than trying to obtain a higher price, this method is used to create urgency so that the property doesn’t remain on the market for months and “go stale”. The average selling days for the June 2015 quarter according to REIWA was 71 days. Many sellers are looking to achieve a sale sooner than this. Similar to an EOI sale, although the set date sale method is intended to be drawn out over 4 weeks or so in order to give multiple buyers the chance to submit their best offer, a seller has the right to accept an offer prior to this and will do so if they receive a satisfactory offer prior to the end of the set date. 

Having an auction to sell my house:
Auctions are used very commonly in the eastern states of Australia but are less common in WA. The reasoning for this is a combination of the difference in usual practice between WA and the eastern states, and a lack of understanding/experience in auction conditions. Auctions are most often held in WA for unique properties, properties being sold by the mortgagee (repossessions) and homes in higher price brackets. The aim of an auction is simple – to create a situation where buyers are aware that there is other interest in the property, and will bid higher and higher until their maximum price point is reached. There will be a reserve price (the minimum price the seller is willing to accept) which will not be disclosed. Only the auctioneer, real estate agent and seller will be aware of the reserve price. If this reserve is not met, the property will be passed in and it will then be available for buyers to submit offers with their own terms and conditions. An auction usually has terms which will be read out by the auctioneer prior to the bidding, such as a large deposit (10% or so of the selling price) to be paid on the day, and a certain settlement period (often 30 days). If you cannot meet the auction conditions you should not bid. The auctioneer can usually submit either one or many “vendor bids” which are bids that he makes on behalf of the seller to boost up the price. So don’t be surprised if you bid at auction and the auctioneer tries to outbid you!


The important thing to remember when buying or selling a property is that whichever pricing/selling method you choose, a property is only worth what somebody else is willing to pay for it! Visit our websites for information on Buying Property Perth or Building Inspections Perth.

Cosmetic Considerations Before Signing a Building Contract
It will usually be more cost effective to consider cosmetic issues in the following areas prior to signing your building contract rather than later down the track:

• Exterior (downpipes, crossover, garages, security etc)
  
• Plumbing (hot water system, taps etc)
  
• Bathroom / WC (mirror, vanity, shower screen etc)
  
• Laundry (exhaust fan, cabinetry, sink etc)
  
• Kitchen (splash backs, bench tops, sink size etc)
  
• Electrical (three phase power, power points, light fittings etc)
  
• Interior (skirting boards, wider hallways, gas points etc)
  

There are a number of things that should be considered before entering into a building contract and considering these issues prior to signing the contract rather than trying to negotiate after the contract has been signed can save you a lot of money. An example would be the installation of a gas point in the alfresco area – if you are only installing the point for the use of a BBQ it can often be cheaper to buy gas bottles on an individual basis instead. 

Technical Considerations Before Signing a Building Contract
It is a common for issues to arise between a client and the Builder. There are many technical considerations at each stage of construction, and with so many different trades involved it can be difficult for the Builder to keep on top of the technicalities and issues that the client should be made aware of about their new house. The following is a list of the stages of construction, and some of the technical considerations of each stage:

• Slab Down – delays after pouring, cracking and considerations for polished concrete. 
  
• Plate Height – mortar splashes, no perpends on external bricks and face brickwork selection. 
  
• Roof Framework –timber treatment. 
  
• Lock Up – waterproofing.
  
• Practical Completion – soak wells, floor coverings, window treatments and painting.

How Does the Building Inspection Process Work?
When building a house the Builder must meet the compliance requirement. If a building performance requirement isn’t met, an alternative solution may be provided by the Builder. Where an alternative solution exists, it must be proven that performance requirements are met. This is then signed off by a suitably qualified person. 

When a building inspection is due, the process is usually as per the below:

• Inspection is arranged with the supervisor.
  
• Site inspection is carried out. You are more than welcome to be present at the inspection, although it should be noted that the inspector will need to maintain focus at all times and may not be able to offer a definitive opinion on some matters immediately after inspection (See next point)
  
• The inspector gets back to the office to collate the information and make comparisons against compliance with the building codes. Even if the inspector knows that a defect exists, the question that must be answered is “how is it defective?” This creates simplicity and also gives the report greater influence should it be required in a dispute situation. 
  
• Client is contacted and all items within the report are discussed. The inspector will then offer advice as to the issues which need immediate rectification, the areas where potential enforcement may be at the client’s discretion, and areas which should be continually monitored.
  
• The building supervisor or relevant representative will be contacted and rectification will be carried out by the Builder where necessary.
  

Should your Builder refuse to fix a defect, the inspector should support in offering best advice and help prepare & submit a complaint via the building commission if needed. 

Further Information 
Visit the Building a House in Perth website for more information on the process of building your new house. Cap-It-All Building Inspections Perth offer free advice throughout the inspection process and beyond, as well as a 
pre-inspection pack which will continue on some of the points mentioned above. Our team believe you should be able to proceed confidently with building a house knowing the process will be stress-free. 

The facts of what is happening in Australia and affecting the Perth property market are as per the below:

• The WA mining boom has passed.
  
• Consumer spending is down.
  
• The median house price according to REIWA is currently at $545,000, $5,000 down from March quarter.
  
• Sydney and Melbourne are currently booming and last calendar year (2014), 400 people (net) left WA and travelled east. Net interstate migration has dropped from 10,800 in 2012 to a negative number.
  
• Similarly, net overseas migration to WA fell from a peak of 56,291 in 2012 to just under 19,000 in 2014.
  
• There are currently approximately 14,000 properties listed for sale in Perth compared with just over 10,000 one year ago. 
  
• Commonwealth Bank and ANZ have both raised interest rates for housing investors by 0.27 points in an attempt to comply with APRA’s rule of no more than 10% per year being leant to landlords.
  

Testing of concrete should be undertaken to help the building supervisor or engineer determine that the concrete is of a satisfactory standard to be used, and is fit for purpose for its intended application. There are several ways in which testing can be carried out:

• By slump testing
• By compression testing

Slump testing
The slump test is a measure of the consistency or mobility of concrete and is the simplest way of ensuring that the concrete on the site is not varying. This test should be carried out at regular intervals as a measurement of consistency. In situations where the slump varies between testing, it is an indication that the content of the mix has changed, which is often attributed to the moisture content of the mix. The mix can then be corrected to ensure a consistent mix.

Materials required for conducting a slump test include a standard slump cone, a bullet pointed steel rod or tamping rod, an impervious base plate, a rule, and a straight-edge.

The following steps are taken to carry out slump testing of concrete:

1. Moisten the inside of the slump cone and place it large end down on a clean level surface. Hold it firmly in place with a foot on each footrest.
2. Fill the cone, in three approximately equal layers, with concrete from the sample. Each layer should be tamped don exactly 25 times with the tamping rod, which must be allowed to penetrate each layer.
3. The strokes must be uniformly distributed over the whole surface of the layer and not worked up and down continuously in one place.
4. After the top layer has been compacted, the surface of the concrete is struck off level with the top of the cone and any surplus concrete removed from around the base.
5. The cone should be lifted, carefully but firmly, straight up so the concrete is allowed to subside. Lift the cone smoothly and quickly but do not jerk, twist or take off at an angle or a false result may be obtained.
6. To measure the slump, invert the cone and place it alongside the slumped concrete. Lay the tamping rod on top of the cone and measure the amount of slump, measuring to the highest point of the concrete. The slump is recorded to the nearest 10mm.

As a general guide the slump of the concrete should not exceed 75mm. The following shapes may also assist in determining the consistency of the concrete mix:

• True slump: This is a good shape. Concrete settles but stays consistent.
• Zero slump: If the concrete does not slump then the mix is deemed potentially ‘non-plastic’. Additional moisture may be required.
• Collapsed slump: If the concrete slump collapses then the concrete mix is considered potentially non-cohesive. The concrete mix may be too wet in this instance.
• Shear slump: The slump is believed to have no displaced centre, that is, the concrete lacks cohesion. The concrete may undergo segregation and bleeding as a result of shear slump and thus is undesirable for concrete.

                                                                                                        AUTOSKETCH SHAPES

Compression testing
The strength of concrete is determined by making specimens, curing them, and then crushing them to ascertain their strength. The preparation of specimens is crucial in achieving an accurate result as a badly prepared specimen will almost always return a low result.

Compressive test specimens are normally cylinders 150mm in diameter by 300mm high. Materials required to conduct this test are a cylindrical mould (should be metal and rigid enough to retain shape during preparation of specimen), tamping rod, rule, base plate, and mineral oil.

The method of testing is as follows:

1. Before filling with concrete, the mould should be clean and coated inside with a very light film of mineral oil.
2. Place the mould on a level surface and fill with concrete from the sample in three equal layers. Rod each layer 25 times with a bullet pointed rod 600mm long and 16mm in diameter, allowing each stroke to penetrate the previous layer. In this case it is necessary that the concrete be fully compacted and it may be necessary to rod each layer more than 25 times. The rodding must be distributed over the whole surface of each layer and not merely in one place. The concrete in the mould may be compacted by vibration if suitable vibrators are available.
3. After the specimen has been moulded, it should be stored in a place where it will be undisturbed for 18-24 hours, kept moist and at a temperature of between 21 degrees Celsius and 24 degrees Celsius. After 24 hours the specimen should be removed from the mould and again stored under moist conditions and at the correct temperature. This is called curing.
4. For transport to the laboratory, the specimens should be packed in moist sand or hessian so that they will remain moist and be undamaged during transit.

Incorrect placement or use of concrete may lead to cracking or even structural failure. If cracking is found at your property, Cap-It-All Building Inspections will not only identify the cracked areas but also inform you as to the predicted reason for the cracking, and assist you should you require a complaint to be lodged via the building commission.

Our building inspectors have a sound knowledge of Perth’s soils and are aware of the areas where foundation movement is more prevalent. Where cracking is found to be a result of incorrect use of concrete, ensure you choose a building inspector who can assist you accordingly.

Buying Property Perth will continue to release informative blogs on a weekly basis. Visit Cap-It-All Building Inspections website for more information on concrete testing and other important information to consider when buying property Perth.

PEXA’s (Property Exchange Australia) CEO Marcus Price believes his business has the solution to reduce the risk of delays and minimise stress to those involved in property transactions. PEXA, an online property settlement network, was recently launched in WA and appears to be the way forward in settling property. With 25,000 properties already effectively settled in Australia using PEXA, the CEO states that his system makes settlements faster, safer and more efficient.

So what can the introduction of PEXA and online settlements mean for you?

• Fees and charges to decrease – PwC’s report stated that if all properties were settled through PEXA there could be a saving of $88 million for consumers, $67 million for businesses and $13 million for government by 2018.
  
  
• Efficiency to increase – a more streamlined process and going paperless means a reduced risk of delays and the chance for settlement agents to become more efficient.
  
  
• Electronic notifications – continuing on from improved efficiency, electronic lodgements could provide better communication through automated notifications keeping each involved party informed of where we are in the process.
  
  

E-settlements are by no means mandatory, and Landgate will continue to offer the option of settling property manually. Some settlement agents and conveyancers believe that e-settlements will be the beginning of a poorer service being provided to a client, with less face-to-face contact and the opportunity to build a rapport lessened. The launch of PEXA is an important step in the future of property settlements in WA, although the key to any task is ensuring you have a team of trusted and experienced professionals around you. Although e-settlements provide the opportunity for settlement agents to provide you with more efficient and possibly cheaper service, you must still ensure you’re dealing with a settlement agent who is experienced, a great communicator and can foresee problems before they occur. PEXA may be a way to minimise the risk of stress in property settlements, but it won’t eliminate all the potential problems that can occur during the settlement process.

Please go the Buying Property Perth contact page to request a call from our recommended settlement agent.