Why use a Vendor Advocate?

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A Vendor Advocate will help the Seller get the best price possible for the property. 

Throughout the sale process a Vendor Advocate will coordinate communications between all parties, handling everything from agent selection, to conveying and negotiations. 

When you use a Vendor Advocate they provide independent advice and work exclusively for you, the Seller, helping to save time, reduce stress and get the best possible price for the property.

• Unbiased Advice 
  Unlike real estate agents, who are primarily focused on closing deals, their advice is impartial and in the seller's best interest, ensuring a fair and transparent sales process. 

• Maximising Sale Price 
  With their expertise in the real estate market, Vendor Advocates are skilled at positioning a property for maximum value. They help avoid costly mistakes and use their negotiation skills to get the best price and terms when dealing with the real estate agent. 

• Cost Savings                      When negotiating with the agent, Vendor Advocates can achieve a reduction in the agent’s commission, saving thousands of dollars for the Seller.  

• Time and Stress Savings 
  Selling a property can be a stressful and time-consuming endeavour. A Vendor Advocate manages much of the process, freeing up the Seller’s time and reducing stress by handling everything from agent selection to negotiations. 

• Less Days to Market                                                                                                                 Vendor Advocates can get properties to market faster, usually saving about 30 days. This saves on interest, rates, insurance, maintenance and any other financial dependency.  

• Streamlined Process 
  A Vendor Advocate ensures that the sale proceeds smoothly, coordinating communication between all parties involved and handling any unexpected situations that may arise during the sale. 

• Current market Conditions: Most vendors rarely sell property, and often there is a significant time gap between sales. Market conditions change so its helpful to have someone who is familiar with the current property market and have experience in managing the real estate agent. 

When Should You Consider a Vendor Advocate? 

• First-time Sellers: If you've never sold a property before, a Vendor Advocate can guide you through the process, ensuring you make well-informed decisions. 

• Busy Professionals: If you lack the time to manage the sale of your property, a Vendor Advocate can handle the entire process on your behalf. 

• Executors of Deceased Estates: Selling property can be a daunting responsibility particularly when you are grieving a personal loss and managing family dynamics. Executors need to ensure the best decisions are made for all parties.  

• Moving into Aged Care: The prospect of selling the family home to move into residential aged care can be daunting, a vendor advocate understands this can be an emotional time. Clearing all household goods, arranging presentation works and attending to all matters regarding the sale helps smooths the transition into an aged care facility.  

• Marriage breakdown: Separating is stressful enough without the added burden of selling the family home. A Vendor Advocate can be a great assistance, providing impartial advice and doing all the leg work while the two parties take care of other matters.   

• High-Value Properties: For luxury or high-value properties, a Vendor Advocate can help you choose the best strategy to maximise returns. 

• Complex Markets: In challenging or competitive markets, a Vendor Advocate’s insights can be invaluable in positioning your property for the best outcome. 

A Vendor Advocate is a dedicated ally for property sellers, offering expert advice, overseeing the sales process, and ensuring that the Seller's interests are protected. They provide a valuable service that can make a significant difference in the outcome of a property sale, maximising returns while minimising stress. 

Tower Property Advisory is an independent consultancy that specialises in managing the end-to-end process of property sales on behalf of the Vendors.   If you’re thinking of selling or would just like some pointers, contact us for a free consultation.

Regards,  Robert Allanadale Director     M: 0418 517 643 

What is a vendor advocate?

A Vendor Advocate will help the Seller get the best price possible for the property. 

A  Vendor Advocate is a professional advisor who helps property sellers navigate the often complex and stressful process of selling a home or investment property. A Vendor Advocate works with the vendor providing guidance and support to ensure that the seller gets the best possible outcome from the sale.  

What does a Vendor Advocate do?   Vendor advocates advise and manage all aspects of selling a property.  

Choosing the Right Real Estate Agent 
One of the primary roles of a Vendor Advocate is to assist in selecting the most suitable real estate agent for the seller's needs. We obtain marketing proposals from up to three local agents who we believe are the most suitable to sell the property. 

Property Appraisal Pricing Strategy 
Vendor advocates can obtain either an informal ‘kerb side’ valuation or a formal valuation from a licensed valuer to provide an accurate estimate of the property's value.  It helps set a realistic and competitive asking price, ensuring that the property is neither undervalued nor overpriced.  

There may be other reasons why a formal valuation should be obtained, for example, if you are the executor of an estate, or are selling on behalf of someone else. Your lawyer can advise on the need for this.  

A Vendor Advocate can assist advise on marketing and property staging.

Presenting Your Property for Sale     This is one of the most critical aspects of selling a property. It’s where value can be added, and money can be wasted.  The test we use when recommending work to be done to a property is to ask, “will you get at least 3.5 x the return for each dollar spent?”.  

If your property will be redeveloped in the short term, then anything spent will be wasted and clearly not meet the three times value test. A good vendor advocate can advise you on what improvements should be undertaken, the costs of those improvements and arrange for them to be done if it makes commercial sense.  

A Vendor Advocate can also manage the sorting, storing, selling and disposing of all household goods. Many people find this aspect of moving a daunting task and defer making the move.  

Often people are asset rich and cash poor and don’t have the money available to pay for presentation works. If required, we will pay for presentation works where they improve the value of the property. Repayment is then made from the sale proceeds. 

Developing a Marketing Plan 
A well-executed marketing campaign is crucial to attracting potential buyers. A Vendor Advocate will work closely with the real estate agent to determine the best method of sale and will review the agents marketing plan to ensure an optimal budget has been set. It’s important to get the right balance of activity between online listings, open houses, and print advertising is achieved for a successful sale campaign.  

Manage communication with all third parties                                                                     A Vendor Advocate will liaise with all third parties including lawyers, councils and utilities to ensure accuracy and compliance. They review the written inspection report and the Section 32, (known as a Vendors Statement) which is prepared by the vendors conveyancer or solicitor. They also review the Contract of Sale to ensure all details are correct and present.  Vendor Advocates will also review the campaign reports provided by the real estate agent to make sure everything is running smoothly and will make recommendations to adjust the campaign if it’s not on track. 

Setting a Sale Strategy and Negotiating with Buyers 
If the sale is by auction, we provide a written Pre-Auction Strategy based on the initial agents estimate of value for the property, the formal valuation (if any), recent comparable sales and all feedback from the marketing campaign.  We also attend the auction to ensure that the auctioneer adheres to the agreed strategy. The Vendor Advocate will work closely with the real estate agent to review and negotiate offers, seeking to secure the best possible price and terms for the seller.  

From start to finish, a Vendor Advocate is there to manage the sales process, handle any challenges that arise, and make sure all aspects are executed smoothly, from property inspections to the final settlement. 

What does a Vendor Advocate Cost?  Vendor Advocates may either share the sales commission with the estate agent (and say they are a ‘free service’) or charge an agreed fee and negotiate down the agent’s commission with the aim of it being cost neutral to the vendor. If additional work is required beyond managing the sale, such as disposing of goods, arranging presentation works or attending to anything otherwise necessary in selling the property, an additional hourly fee may be charged.  

Tower Property Advisory is an independent Vendor Advocate consultancy that specialises in managing the end-to-end process of property sales on behalf of the Vendors.   If you’re thinking of selling, contact us for a free consultation.

Regards,  Robert Allanadale Director     M: 0418 517 643 

Breaking Barriers to Aged Care

Many people moving into aged care facilities do so following a hospital stay and are unable to return to their home. This burdens their family with having to quickly find a suitable aged care facility attend to dealing with household possessions and selling the property. This is a particularly stressful time for everyone.

For people considering moving from home into aged care, I suggest making the move sooner than leaving it too late. Here are some considerations which should help make the transfer easier for you and your family. 

1)        Where to start?  See an Aged Care Financial Planner

Start by consulting a licensed financial planner who specialises in the complex area of aged care. They will analyze your current financial position and help determine the quality of the care you can afford. They determine if your investments are suitable, advise if you should sell the family home and provide strategies to make your money last as long as possible.
As aged care is expensive, it is important to maximise any Government benefits and subsidies that may be available. The Financial Planner will help you understand those benefits and explain the aged care fees and payment structures. 
Once you have a clear understanding of your finances, you can then set about finding the appropriate aged care facility.

2)        Where to live?  See an Aged Care Placement Agent

Even if you know where you want to move to, people find an aged care Placement Agent a great help in making the move to a facility. A Placement Agent helps streamline the transition, so you do not have to navigate the complex system alone. 
They access your specific needs and preferences, then recommend appropriate residences based on their experience of helping other clients. This saves you from inspecting a vast number of facilities, a time-consuming and difficult task. 
They negotiate with the Facility to secure the best possible terms, pricing and conditions for you. With their experience, they should obtain a better deal than you would. 
The paperwork involved in moving into aged care can be overwhelming for someone navigating the process for the first time. They manage the application process, from submission forms to assessments to care arrangements. 
Using an aged care placement agent can make the transition so much faster, smoother and less stressful, for you and your family. 

3)        Consider the big costs - RADs and DAPs

If you don't qualify for Government assistance, the biggest single cost of living in an aged care Facility is the Refundable Accommodation Deposit (RAD). These vary depending on the location and quality of the facility. The RAD is refunded in full when you no longer live in the aged care residence.
If you don’t pay the RAD, you will be charged a Daily Accommodation Payment (DAP). The DAP is calculated at a variable interest rate (currently 8.3% p.a.) on the RAD. You can pay a portion of the RAD which would reduce the amount of the DAP. 
These payments are means tested. Depending on your income, the government may pay all or part of your accommodation costs. 
This cost is in addition to the other fees and charges made by the residential aged care organisation.

4)        Property taxes you may not have thought of

If you intend to retain your home, there are some additional taxes that may arise. 
If your Melbourne home is unoccupied for more than six months, you could be liable for the Vacant Residential Land Tax. Currently the rate is 1% of the property’s capital improved value for the first year then the rate progressively rises to 3% after three years. 
Your family home should be free from capital gains tax when it is sold. However, if you rent it, then after 6 years from the time you move out, you will lose part of this tax benefit. 
It is best to get some tax advice from your lawyer or financial advisor so there are no surprises for you or your family.

5)        Outsource the property sale to a Vendor Advocate

Most people sell their home when moving into aged care. This is a daunting prospect and often the biggest barrier to making the move. 
What to do with the belongings of a lifetime? How to fix the house for sale? Which estate agent to trust to sell the property? 
A good vendor advocate can help with these decisions and make the process easier and less stressful. 
We at Tower have been managing property sales since 2004 and understand the issues faced by people moving out of their home. 
We arrange for the sorting and storing of all possessions from the home, assess if the value of the property could be increased, and manage all the work required to get the property to market as soon as possible. 
We obtain marketing proposals from the two best local estate agents and assess which presents the better offering. We then work with the selected agent through the sales campaign until the property is sold and settled. 
If you don’t have the funds to improve your property for sale, we will pay those costs with repayment from the sale, so you can maximise the value of your home. 

As we manage the entire sales process, that is one less barrier to helping you move. You can relax and focus on what is most important, settling into your new home and community.

Regards, Robert Allanadale Director m: 0418 517 643

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