2010 In Summary

What a year 2010 has been. Here is a snapshot of what has occurred in the property market this year

INTEREST RATES

With interest rates reaching all time lows last year, 2010 has seen a number of steady interest rate rises with the official interest rates being increase from 3.75% to 4.75%. These interest rates have certainly not gone unnoticed in the property market, however whilst some say they are high, this rate is about what the average has been for the past 10 years.

CHANGES TO STAMP DUTY
Vacant blocks of land
In July 2010 legislation was passed to exempt any person purchasing a block of land from stamp duty if they commence the foundation work on the block of land within 26 weeks of settling on the land and as long as the building is completed within 18 months of the commencement of the foundations.

BUILDING INDUSTRY CHANGES
Pre-construction stage
• Stamp duty was cut to zero for off-the-plan home purchases worth up to $600,000 – a saving of up to $22,490.
• The zero stamp duty only applies prior to any construction commencing on house and land packages or new apartments.

Under construction
• Stamp duty will be cut by 25 per cent for people buying a newly-constructed home worth up to $600,000 – a saving up to
$5,623.
• The 25 per cent stamp duty cut applies to home purchases made at any time during the construction period, or at
completion.

First home buyers
• First home buyers will also be eligible for these stamp duty cuts, giving them total benefits of up to $29,490
• They will still be able to access the NSW Government-funded $7000 First Home Owners Grant as well as the NSW
Home builders bonus.

Empty-nesters
• Stamp duty for people aged over 65 will be cut to zero when they purchase a newly constructed home worth up to
$600,000 – a saving up to $22,490.
• This will only apply to people aged over 65 selling their primary place of residence and moving to a newly-constructed
home, to encourage down-sizing and to encourage the regeneration of the state’s housing stock.

WEST DAPTO DEVELOPMENT PLAN

• We have seen some positive development moving forward with the West Dapto plan. You may have noticed the
commencement of the road at the intersection of Fowlers and Prince’s Hwy. The increase in employment opportunities
as well as the increase in infrastructure will have positive effects on the Dapto property market. We look forward to
further developments on the West Dapto Plan in the new year

NEW LAND RELEASE IN MAY 2011

• PRDnationwide Dapto is pleased to announce we have been appointed exclusive selling agents for the new 80
residential lots in Kanahooka. This estate will be known as ‘Brooks Terrace’ and will have a desirable north east aspect,
views to Lake Illawarra and will be released in 3 stages commencing in May 2011.
Registration of interest is now being taken which will give you the opportunity to secure a lot prior to all lots going to
market.
To register your interest email greg@prddapto.com.au or call 4261 3333.

HAYWARDS BAY PROGRESS

• As you may have noticed the latest promotion of ‘Buy now - Pay later’ resulted in the sale of 11 of the 12 lots in Bayview
Avenue and Haywards Bay Drive being snapped up by keen purchasers on our extensive database.
All of them have the same dream, not only to build their new home, but to become a part of the Haywards Bay culture.
Our Sales Manager, Greg Pollard, has been managing the sales and is extremely pleased with the progress of this
estate and has now released another 4 lots in Haywards Bay onto the open market. Lots 408 - 411, land size being
720m2 and priced at $335,000 per lot.
If you know anyone wanting to secure their place in Haywards Bay then now is their chance. Call Greg Pollard on
4261 3333 or email greg@prddapto.com.au.

NEW RESIDENTIAL TENANCY ACT 2010

The new 2010 Residential Tenancy Act has finally been passed and will come into effect 31st January 2011. This legislation has been very controversial and we will be providing full details on these changes to our landlords in the coming weeks. if you are not a current landlord and would like these details on the legislation changes please contact Laura or Tracey (02)42613333 or email your questions to laura@prddapto.com.au

Thanks to all our valued clients again for a great 2010.

Tracey McDonald, Greg Pollard, Daniel Lambert, Jeremy Tillman, Nardia Guillaumier, Karissa Anstee, Annette Tillman, Laura Matthias, Lisa Bedford and Joanne Hayward.

Property Watch Report - Dapto & Surrounds

Property Management Update - Changes

What are the main reforms in the Act?

The key changes in the Act when compared to the existing law are explained below.

‘No grounds’ termination notices
The Act increases the notice given to tenants who are no longer in a fixed term lease from 60 days to 90 days. It also gives landlords certainty of recovering possession through the Tribunal where a tenant does not move out in accordance with a ‘no grounds’ notice.

Rent arrears evictions
The Act will shorten the time it takes for a landlord to get their application heard by the Tribunal where the tenant is behind in rent. It also gives a guarantee to tenants that their tenancy can continue if their rent arrears are paid or if they follow an agreed repayment plan. However, this guarantee will not apply if the tenant is shown to have frequently failed to pay their rent on time.

Alterations
The Act gives tenants greater flexibility to add fixtures or make minor alterations at their own expense, provided they obtain the landlord’s consent. Landlords will be able to reasonably refuse such requests, for example, if it involves painting the premises or structural changes. The Act also clarifies the rights of landlords to seek compensation where the work is not done to a satisfactory standard or will impact on the ability of the premises to be rented in the future.

Rent payments
The Act will require all tenants be given at least one free and easy option to pay their rent. Tenants will be required to pay the landlord’s costs if a cheque for rent bounces or if a direct debit payment is dishonoured.

Security of tenure
The Act includes measures to encourage more long-term leases and gives greater protection against eviction for tenants who have lived in the same premises for over twenty years.

Tenancy databases
The Act limits the type of information that can be listed in a ‘bad tenant’ database and the period of time such information can be kept. It also gives the Tribunal broad powers to resolve disputes about listings.

Sub-letting
The Act gives tenants greater flexibility to sub-let part of the premises or bring in an extra co-tenant, provided they obtain the landlord’s consent. Landlords will be able to reasonably refuse such requests, for example, if the person is listed on a tenancy database or if the request would exceed the number of occupants permitted on the lease or otherwise lead to overcrowding.

Water efficiency
The Act will require rented premises to be water efficient if tenants of separately metered premises are to pay for water. The standards for water efficiency will be determined when the regulations are made later this year.

Co-tenant disputes
The Act introduces new measures to resolve disputes between co-tenants or shared households, including domestic violence situations. Victims of domestic violence living in a rented property will have the right to change the locks and seek to take over the tenancy if their name is not already on the lease.

Goods left behind
The Act will streamline procedures and reduce costs for landlords when dealing with goods left behind when a tenant vacates. At the same time, it introduces more practical methods to help tenants retrieve their goods and personal papers.

Pre-tenancy
The Act will permit holding fees to be charged only after an application for a tenancy has been approved. It prohibits certain terms from being added to a lease and requires the disclosure of material facts to prospective tenants, such as if the landlord has drawn up a contract to sell the property or if a mortgagee has taken court action to recover possession.

Breaking a lease early
The Act will enable tenants to break a lease early without penalty in certain situations, such as when they accept an offer of public housing or need to move to a nursing home. The Act also introduces the concept of an optional ‘break fee’, fixing the penalty payable in other cases where a tenant breaks a lease early. Where there is no break fee term in the lease the tenant would be liable to compensate the landlord for any loss.

Sale of rented premises
The Act requires the tenant to be told before a rental property is placed on the market. It obliges the selling agent to make reasonable efforts to agree with the tenant on the days and times the premises will be available for inspection. Two inspection periods each week are provided in the Act, and the parties can negotiate if more access is required.

Security and safety
The Act gives guidance as to what is meant by rental properties needing to be ‘reasonably secure’.

Information from: www.fairtrading.nsw.gov.au

Should you need further explanation on how this may effect you, please contact Laura Matthias on
02 4261 3333 or email laura@prddapto.com.au .

PRDnationwide - chooses a charity

PRDnationwide - proudly supporting Youngcare!

Right now, there are more than 6,500 young people with high care needs living in aged care - simply because there are very limited alternatives. A further 700,000 more are being cared for at home by family and friends.

At the National Conference, we were proud to announce our new partnership with the national charity Youngcare. We are very excited to provide support and exposure to this wonderful cause which works to provide choice in care and accommodation options for young Australians with 24/7 care needs.

We asked our conference attendees to dig deep and purchase a pair of Youngcare Thongs to show their support for this very worthy cause. In just a few hours, we were able to raise over $2500 in donations from our generous franchisees and agents. Thank you to all who made a donation.

If you would like to know more about Youngcare view www.youngcare.com.au

You surely will be amazed and PRDnationwide is currently working with Youngcare to see how we can assist this charity now and in the future.

PRDnationwide Dapto - still #1

PRDnationwide Dapto has been monitoring our market position to ensure that we are providing the best knowledge and experience for our clients.

Our information is sourced from EAC Red Square and collated, showing that:

* We are the largest selling agent in 2009 and currently in 2010.
* We are the largest listing agent in 2009 and currently 2010.
* We have the lowest list to sell ratio for Dapto agents over the past two years. This means more money for our vendors.
* The average days on market for Dapto is 80 days, were PRDnationwide Daptos’ average, at present, is 66 days on the market.

In summary, we are selling quicker and obtaining more money for our vendors.

Two more reasons to list and sell with PRDnationwide Dapto.

Should you want your property appraised, please call 42613333 to arrange for your appraisal. It is free and is no obiligation.

Don't Wonder - Ask!

Attributing to our success is having access to PRDnationwide Research division. They update our suburb profile and demographics, then release quarterly reports to other industry bodies as their source of information. Great support and knowledge is how the PRDnationwide Group got our name.

Property * Research * Development

You may notice this report being posted on our Blog in the coming weeks. We find the information very useful and hope that keeps you up to date with the changes in Dapto’s real estate market.

Should you wish to know anything else with regards to changes in the real estate industry, interest rates, changes in the local LEP or Dapto’s new land release, then, we encourage you to send us an email at nardia@prddapto.com.au and we will provide the information to you.

CONGRATULATIONS to PRDnationwide Dapto

Well the results are in and PRDnationwide Dapto were extremely pleased with the announcements at the National Awards evening receiving:

* Dapto Office, Bronze Sales Award
* Greg Pollard, Bronze Sales Award
* Daniel Lambert, Bronze Sales Award
* Jeremy Tillman, Bronze Sales Award
* Nardia Guillaumier, Research Marketing Award

Set in the beautiful Hunter Valley at the Crown Plaza the awards evening was followed by a day of networking and then a full day workshop learning more from industry leaders and gaining more excitement to push harder for next years’ event.

The entire team in 2010 has shown commitment, drive, innovation and amazing customer service and have been rewarded for their efforts.

The team at PRDnationwide Dapto wish to thank all of their clients and associates for their continued confidence and support. We couldn’t have done it without you all.

Research Update

Do you know what P-R-D stands for?

Professional Research & Developement.

To learn more about your local real estate office, go to www.prddapto.com.au

PRDnationwide Quarterly Economic Property Report Issue 2 2010

Be updated with the latest changes in Australia's economic situation.
Quarterly Economic Property Report Issue 2 2010

http://www.prddapto.com.au/uploads/PRDnationwide%20Quarterly%20Economic%20%20Property%20Report%20l%20Edition%20Two%202010.pdf

Tax Time for 2010 - only 6 days away.

Don't be caught out by claiming items on your investment portfolio that don't comply with the Australian Tax Office.
View their website for the full explanations on what is able to be claimed:
http://www.ato.gov.au/individuals/pathway.asp?pc=001/002/002/010/005

Property Management Newsletter

PRDnationwide Dapto - About Us

PRDnationwide Dapto is a professional, results oriented real estate business. We have a diverse range of experience and providing a wide range of expertise and knowledge. The Dapto office was also the number one real estate agency in Dapto for 2009, 2006 & 2005*.
Having expert staff with a wealth of experience in residential sales, leasing and management, commercial sales, leasing and management, prestige property, rural property, investment sales and project marketing, we can truly offer a complete in house service. We provide specialist service and attention to meet your every real estate need. We are structured to maximise the expertise, skill and experience of our people to deliver the best possible service to clients, and to ensure we stay at the forefront of the industry.
Our performance*In the last few years, our office has grown to be the market leader in our area, we have also established ourselves as the local prestige specialists, some of our achievements are below:
Dapto's No 1 Real Estate Office - We sold more properties in Dapto than any other agent in 2005, 2006 & 2009*.
2009 - Our sales staff received Gold, Silver & Bronze awards for sales performance at the annual PRDnationwide national awards
2009 - Our Sales Co-Ordinator Nardia Guillaumier received the National Marketing Award at the PRDnationwide national awards for her outstanding results creating all the inhouse advertising designs for our clients.
We are now the largest sales team in Dapto with 4 sales agents. This means that our clients have access to the biggest database of buyers enabling an opportunity for a quicker sale.
We have the closest list to sell price ratio than any other real estate in Dapto. Currently we are selling properties (on average) at 1.4%* of the listed price. This means that we are the most experienced agents when negotiating the best sale prices for our clients.
(*source: red square)

New website feature for Buyers