Australians are highly cynical about the price guides on listed properties, with most expecting the eventual sale prices to be much higher than advertised.
A new survey indicates only 19% of Australians expect homes to sell at their advertised prices. Almost 25% expect properties to sell at least 15% above the price guide, according to the survey by comparison website Finder.
The survey found that most respondents expect homes to sell for more than the asking price – and half of them expect a sale price at least 10% above the advertised guide.
Finder home loans expert Richard Whitten says the results are unsurprising, given the rate at which prices are rising across the nation, including homes selling for hundreds of thousands of dollars above auction guides.
People in Sydney (80%) and Melbourne (79%) are more likely than Brisbane residents (66%) to expect a result above the asking price, with 28% of Sydney people and 26% of Melburnians expect sale prices to be more than 15% above.
Whitten says people are routinely adding 5-10% to price guides to get a realistic idea of the likely sale prices. He says it’s important to do your own research on recent sales to estimate current values.