Real Estate Market Wrap 🗞️ Is the PM Albo tone deaf?

He purchases a $4.3m property whilst everyday Australians are forced to put their property on the market!

We’re seeing big auction volumes nationwide with an oversupply of listings. 

There won’t be an interest rate anytime soon.

How much do Buyer’s Agents make if they're good?

My Clearance Rate: 5/10 SOLD

Chapters

• 0:00 Labor Party's Property Controversy and Trends
• 8:11 Real Estate Agent Ethics and Homes

Transcript

Tom Panos: 0:00

I have had a lot of people sending me direct messages about me and my comments about Anthony Albanese during the week. So Anthony Albanese last weekend pulled off auction his investment property in Dullachill, obviously because he didn't have buyers on the Saturday right because he didn't have buyers on the Saturday right. And I've got to tell you that this week he's gone off with his partner and exchanged on a property on the Central Coast for 4.3, a nice beachside property, luxurious property, of course, at Copacabana. 4.3 is going to get you something special and I have no issue, that's a private matter. The guy's on $540,000 a year and let me tell you, even when he no longer will be prime minister, he's going to be on a reoccurring revenue of over $300,000. I think $330,000 is the sort of pension that you get once you've been the prime minister. So life's going to be pretty good. He's going to be able to afford the mortgages of their property whether he's prime minister or not, and I have zero issue with people who make money on how they spend their money. That's not illegal at all. He can buy whatever he wants. He can buy a Maserati, he can go buy himself an investment property. He can go get himself a studio unit, he can go, get himself a mansion, he can go wherever he wants, but I've got to tell you it's dumb. It's dumb In a week where, for the first time, on market polls, if there was an election, the coalition would win.

Tom Panos: 1:55

Why would you get your team negatively impacted by you deciding to go off and buy that kind of property in the middle, in the middle of a housing crisis, in the middle of what will be an election that will be won or lost in housing? Why would you do that to your team? Why would you do it to the whole Labor government? They would be fuming. They would be fuming. So, yes, it is a private matter, and for those there that want to probably throw a punch in my nose because they're thinking that this is some political speech, a liberal guy being anti-Labor, let me be very clear. I have voted for Labour more than I voted for Liberal. I'll say that again I have voted for Labour more than I have voted for Liberal. I have been a swinging voter. But I can tell you and, by the way, I sold well, my business under real estate company, sold Albo's house decades ago, his own home. Now I've got to tell you he can go off and buy anything, but what is the IQ of the advisors inside that Labor government, that Labor government? Didn't someone sit there and think, hey, it ain't a good look if we want to win this election? You know we've positioned you as being the boy from the housing commission in Marrickville. I don't think it's a good look if you're getting yourself a luxury property by the water side for $4.3 million when we have Australia having lost their hope ofed to buy a property even less than a million dollars, and he goes, buys a property for 4.3. There's one reason why Labor shouldn't win the next election and that is they're out of touch. And they're out of touch because not one person would have sat there and said what are you doing? Now's not the time to do it. Now's not the time to do it. And they've done it and they got bucklies. They got zero chance of winning the next election. Now Big auction volumes around the country all over, and I've been going around the country for the last two weeks with conferences, which is what I do Monday to Friday training, coaching, education.

Tom Panos: 4:55

In fact, it was a very big two weeks. I closed my 200th conference for this calendar year, so at that rate, we'll probably finish the year at 220 events, which is the highest I've had since COVID. Actually, 220 is roughly the number that was taking place prior to COVID. So between 215 and 220, they were roughly the numbers. And as I've been going around the country and I've been talking to people about the markets, there's also now confirmation that things are actually slowing up in various price points. Even in our hottest markets, which has been Perth and Brisbane, they're now beginning to see a change in market, all spurred by the oversupply of listings that have come onto the market. And that's all happened because the hopes of an interest rate cut were dashed a few months ago when the Reserve Bank basically said it's not happening anytime soon. Our friend Sandra Bollock well, I call her Sandra Bollock and it's been confirmed again this week with employment numbers coming out the other day. Lots of jobs have been added and that means it is highly unlikely, close to impossible, that we're getting a rate cut anytime soon. That news is what's actually spurred a lot of people to put their properties on the market, because they thought there would be a rate cut and there'd be a surge of buyers and they'd get their price. But that's not looked like it's happening. Today's results, my friends. I did 10 auctions, including properties that were sold prior. In total, the final result is five out of 10. It's getting hard. It's getting hard and it's getting hard because buyers are simply saying if you don't take my offer, I now have choices. I had less choices before and now I have choices, and let me tell you they will continue to have choices with all the listings that are on the market.

Tom Panos: 7:10

Last week I touched on the subject of the cowboyness I'm seeing in the buyer's agent segment. Many years ago, buyer's agents were a rarity. There were hardly any buyer's agents. Then, due to this big appetite for people thinking they're going to make a lot of money, there's various courses that are run. There's a bit of a perception out there that if you're a buyer's agent you'll make a million dollars. You won't make a million dollars. The buyer's agents that I know that are even good buyer's agents that are in their first half of their life would be lucky to make $100,000, $150,000. And they're reasonable buyer agents. I mean, think about it. We've got people that are cleaning McDonald's one week and the next week they're out there advising people on what properties to buy.

Tom Panos: 8:11

And I also spoke about some of the behaviour, of the interaction and the relationship that real estate agents are having with buyers' agents. Example giving them their complete open home list and saying there you go, take them, it's all yours. If you sell them something, flick me back 20% and if they've ticked the right box, you know when you're at an open home. If a buyer ticks the box and accepts that their details might be handed to a third party example a mortgage broker, a buyer's agent or anyone else look, it's probably not illegal if they've actually ticked it, but it needs to be explained. But I'm going to tell you I don't even think it's being done properly. I just think there are real estate agents that are handing over their open home register and saying ring these buyers and I've got a problem with that. I've got a problem with it because that vendor has invested in vendor paid advertising to generate buyers for that property, not for the real estate agent to flick them off to a buyer's agent to clip 20% or whatever they cut.

Tom Panos: 9:25

Two there won't be an interest rate cut due to those employment numbers during the week. There won't be an interest rate cut this side of Christmas. There will be an interest rate cut at some time in the future. The sooner it happens in 2025, the better it is Signing off.