How Much is the Average Cost in Marketing Auckland Apartments

Apartment Specialists Podcast No: 43

Summary:

In marketing Auckland apartments, you need four important components that will entail some costs at the seller's end. These costs are not much but are essential in getting buyers interested and in raising your apartment's value.

TRANSCRIPTION:

Good day. Andrew Murray from Apartment Specialists and today I'm talking about how much it costs to market an Auckland apartment.

Now you have four costs involved in marketing your apartment. That is your property improvements i.e. your fixing, your cleaning, your staging, that kind of thing. You've got your professional photos which is very crucial in having the apartment look as big as possible and in the best light. Your online presence. Now that's your advertising when it's on computer looking to search on sites like TradeMe. Then fourth is your needed documentation. Those are things like pre-contractual disclosure which your body corporate charges you for. You can't actually market your property without any of those. Otherwise, you can't write up a contract.

So now I will briefly go through these four points but before I do - this is the most important part of selling your apartment - you cannot skimp on marketing your apartment. Because that is what real estate is. It is getting it out to as many people as possible and doing it the best way possible. So if you skimp on this and make this difficult, what gets effected in most cases is the price. If an owner doesn't do what I recommend to market a property, in a lot of cases, I'll actually walk away from that property because it means I can't do the best job I can do.

Now okay lets go through these. Number one is you've got property improvements. So if there is anything wrong with your apartment i.e. you know it's got a hole in the wall, or it's really messy or filthy, you want to have that fixed, you want to have that cleaned, you want to have that improved right. Even if you've got tenants, that can still be done. Generally that can come as a cost if say a certain appliance isn't working or you need to get a cleaner in there or say the deck needs to be water blasted.

Number two is professional photos. Now that comes at a cost between $150 and $200 in the CBD. It is not very expensive at all but so, so important. So very, very important that one.

Number three your online presence. Now your biggest site is TradeMe. That's where most of your buyers go. Your cost there is around about $300 including being featured. I'm not talking about making it a big feature. That's a waste of time. It doesn't actually bring, from my experience, higher prices or that many more views or more customers.

The next one is - what I didn't actually put in there is your presence in the newspaper. It's because it's not needed. It's changed. This market has changed so much in the last 5 years. Everybody goes online. And the difference between houses and apartments is - okay you imagine - you are looking for a house. You know the area you want to be in. You see a photo of the outside of the house. It's in the area and the street you want to be living in. Well you are going to go look at that house. Now imagine apartments. There are 20,000 apartments in the Auckland CBD for example. You see a photo of the outside building. What does that tell you? Absolutely nothing. So when I go to every single open house, it doesn't work like that. When everybody goes online, you need to see 2, 3, 4, 5 photos at least. And we do about 13 or 14, if not up to the maximum 18 photos. This is to give the buyers - so they can walk through the apartment and see if they actually like it. Because that's what marketing is.

We don't recommend going in the newspapers because it doesn't bring the buyers. It's just making me look good and the company look good so it's a waste of time. You know because it's about marketing your property.

Now number four, the needed documentation. This is your pre-contractual disclosure. This is charged by the body corporate on average around $250 plus or minus GST. It does change, so let’s average it at $250. Some body corporates are free and some charge up to $350. So I've averaged it out there. So on average, the cost to market your property, your apartment, is around $750 to $1000 all up. That is an absolute must.

Next week, I'll be talking about how you can help your agent sell your apartment i.e. how you can give him the maximum opportunity to get the highest price.

Cheers.

 

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How Much is the Average Cost in Marketing Auckland Apartments