Lots of ways to secure your lot
Understanding the different ways of buying land can help you secure your ideal lot.
From auction, private treaty, ballot and tender to the increasingly popular online registration systems, there are a range of avenues developers take when selling lots.
LandCorp chief operating officer Nicholas Wolff said while the methods of sale had remained largely unchanged over time, developers were employing “increasingly creative marketing measures and early initial sales campaigns” on both sides of a transaction.
“Each method of sale has its merits depending on the market conditions at the time, ” Mr Wolff said.
“In WA, private treaty remains the most common method of sale.
“However, within this there are several sales methods used to deliver different objectives.
“Pre-sales, which is the release of land prior to titles, provides speed to market for the buyer.”
Mr Wolff said pre-sales allowed buyers to lock in a price and start engaging with a builder so work could start on the site shortly after titles were issued.
“By using the extended contract period to agree on plans and obtain necessary approvals, the purchaser can be better prepared to build immediately after settlement, ” he said.
He added that the trend of people camping out to secure a home site had died down thanks to land supply catching up with demand and lessening the urgency for buyers.
However, when the numbers of people braving the elements was high, developers were pushed to look at other avenues where buyers could ensure they got the lot they wanted.
LWP Property Group managing director Danny Murphy said the company launched its online purchasing system, LWP Advantage, in response to the high levels of campers.
“This concept was to make the process of buying land as easy as possible for the customer, ” he said.
LWP Advantage members get online access to home sites a week before release to the general public. They can reserve a home site with a deposit through an online portal.
Mr Murphy said digital means had grown exponentially as a vehicle for researching properties.
“While we always recommend an onsite inspection of the project and general locality, the actual purchase process can be managed efficiently and conveniently online, ” he said.
Mr Wolff said online and phone registration processes were now standard practice for many developers.
They worked well where there was high demand and assisted in moderating prices.
“Over the past four years there has been a definite shift to digital registration processes which are viewed as providing fair, inclusive and convenient sales methods, ” he said.
“LandCorp is now releasing more residential lots annually through phone and internet registration than any other method.”
Satterley Property Group employs an online sales system for their Catalina estate, which has been a success for northern suburbs sales.
But chief executive Nigel Satterley said nothing beat a face-to-face sales approach.
© The West Australian
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