Mason Parker Mortgagee Marketing Specialist

Marketing consultant Barry Needham of Harcourts Levin said buyers saw plenty of potential in this tidy three bedroom home on 736m2. The fact it was in a popular location, close to schools lit the interest up with investors. With an R.V of $200,000 Auctioneer Stuart Pescini bought the hammer down for the mortgagee at $154,000.

This is great buying – you had to be there to be in!!

Harcourts Levin have just listed two mortgagee sales – call me if you’d like to consider these

1 – 41 Meadowvale Drive Levin – Mortgagee Auction – view it here

2- 20 Seddon Street Levin – Mortgagee Sale – view it here

As always do your due diligence and make sure you understand each property as best you can.

View the full report here

The Terralink Mortgagee Report found on zoodle mentions the sproportion of sales made up from mortgagee sales is increasing nationally. Of concern is an observation ed trend showing that while investors and developers continue to face mortgagee sales for what are “the risks of trading” there is growth in the numbers of “Mum and Dad” family-style owners facing mortgagee sales.

While the trends are carefully reported — the trend isn’t morrored here in Levin. As part of monitoring the Levin Real Estate Market I also monitor the Levin Mortgagee Sales (based largely the numbers of mortgagee listings).

I am glad to say that the Levin Mortgage Sales Market is quietly bucking this trend  - current listings only showing 1 mortgagee sale in a poll of 358 Residential listings in Levin see http://www.realestate.co.nz/residential/all/levin

This is another great Levin Real Estate Story with good active bidding and this Mortgagee Property sold under the hammer.

There were 22 in attendance in the Harcourts Levin auction room.

The Selling Price? – $253,000.00 – well done to the successful purchaser! And to the successful Auctioneer Stu Pescini.

With 180m of house on 1423m of land -this is great buying!! Levin Property is certainly affordable!

This is your fabulous opportunity to acquire this family home with huge potential to add value. This is a one off opportunity not to be missed. Act now!

View the property online at http://masonparker.co.nz/recommends/130bartholomew

This is a brilliant location, a substantial home and generous section -

The second of two new townhouses – 6 Monarch Mews has sold under mortgagee sale conditions.

Passed in at the auction this property has successfully been sold to a conditional buyer.

Congratulations to the vendors and buyers.

I also wish the best of luck to the borrowers in the future

See the listing here – http://www.harcourts.co.nz/pcQSearch?qst=LE10887

Mark Sainsbury from TVNZ ran a CLOSE UP programme about the risks of buying a mortgagee property. The program tonight suggests some of the risks buyers of mortgagee properties take.

Mason Parker’s advice:

• factor in the risks in your offer (eg if damage occurs or if chattels are not onsite can you cover those costs?)
• suggest changing the locks on acceptance to add further security
• have your solicitor approve any mortgagee purchase deal before confirming (or even before signing)
• do your homework before making any offer LIM’s, PIM’s view code of compliance etc
• it is impossible to take away all risks – make sure you take measured risks where you are aware of the pro’s and the con’s – if you are not comfortable with risks on any property simply don’t buy it!

See the program here http://tvnz.co.nz/close-up/mortgagee-sales-fraught-risk-2788023/video 

Remember:

•  mortgagee sales are generally purchased at lower prices than vendor offered sales and they do have an element of risk – that is why they are generally purchased for lower prices. Make sure you know the risks go into any sale/purchase with your eyes open.
• “mortgagee sales are not giveaway’s” the mortgagee is duty bound to get as fair value as they can for the mortgagor – in fact if the property sells for more than any debt the balance is paid to the mortgagor.

Am I saying don’t buy a mortgagee property? – ABSOLUTELY NOT! There are some great properties that end up at Mortgagee Sales and often bought at more affordable prices but I recommend buyers research before making offers and take reasonable steps to minimise any risks.

Wednesday 13 May 2009 Harcourts Levin held 7 auctions including 3 mortgagee properties.

The room was chocka with people and atmosphere – 48 people present for the mystery draw – well done to the lucky winner and Mike O’Gorman successfully bid on the charity auction with proceeds going to the Harcourts Foundation for use in the Levin area.

The first auction was a mortagee property – 5 Derby St which sold under the hammer at $186,000 – a great result with multiple bids from both phone bidders and the floor. A brillaint of example of property auctions.

Two Mortgagee properties 4 and 6 Monarch Mews were next - passed in at 215,000 and 220,000 respectively – with multiple conditional offers being presented to the vendor on Friday 15 May.

A great result the traffic through all three properties was strong – with more than 30 groups through Monarch Mews its fair to say “the marketing worked to full effect and tested the market”.

Lets see how negotiations progress…

• Wayne Sutton and Stuart Pescini both called auctions and the crowd responded well to both auctioneers
• 60 people present
• Multiple phone bidders
• The rain held off
• Harcourts Levin salespeople were active in the crowd helping buyers and vendors through the process

Come along on 10 June 2009 – next months auction day – its promising to be worth attending

Crikey there are more mortgagee listings in Levin – in itself this is an alarming statement!

Lets look a bit deeper at the data (as per www.realestate.co.nz on 8 May 2009):

• The total residential listings in Levin is at a level of 423 across all residential property types
• There are 5 mortgagee listings in Levin which is about 1.2% of the Levin Market
• The mortgagee properties available consist of one 1 Bedroom property at 5 Sherwood Place (25% of the four 1 bedroom properties on the market) and  four 3 bedroom properties (4 Monarch Mews, 6 Monarch Mews, 5 Derby St and 22 Mabel St) which is 1.8% of all 3 bedroom prperties

As a Harcourts Levin Sales and Marketing Specialist its very pleasing to see Harcourts are dominating the Auction listings in Levin as they are statistically more likley to sell any Levin property right now. April had 25 Levin Residential Property Sales which was approximately 6% of all Levin Properties achieving success. Harcourts Levin auctions are converting 10-11 times more frequently.

HOT NEWS:

4 Monarch Mews www.masonparker.co.nz/monarch4 and 6 Monarch Mews www.masonparker.co.nz/monarch6 auctions are days away on 13 May 2009.

5 Sherwood Place – just listed see it here - Auction 12.00 Noon 10 June 2009 in Levin