Making the decision to sell your home can be the most difficult one to make. No doubt you will have numerous questions and concerns. Some of these may be:
· When is the best time to list?
· How much is my home worth on the current market?
· How do I choose the best Agent?
· What do I need to do to get my home ready for sale?
· What is it going to cost me?
· How do I market my home?
· Do I list with a price?
· What happens when I list my home and am I protected?
· When do I need to involve my Solicitor?
· What happens when I get an offer?
These are all very real concerns and they need answering. This is where your chosen Real Estate Professional steps in.
They should present you with a plan and have the knowledge and experience that answers all your questions and concerns so that you feel comfortable, fully informed and prepared, when the time comes to list your most valuable asset for sale.
You obviously know why you are selling, and where or what you intend to do after the sale of your home. However, there are some other important factors that you need to discuss with your agent to ensure you get the best possible outcome.
By discussing your personal situation with your chosen Agent, they will then be able to present you with a personalised marketing programme, that takes all your needs into account, such as budget, time frame, management of inspection times, security etc. This Personalised Marketing Programme will detail how the Agent suggests you market and sell your home and what costs will be involved.
There are several different methods for selling your property. Your Agent will help you to determine the best option for you based on their knowledge of the market and potential buyers that it will appeal to.
- Deadline Marketing
- For Sale by Negotiation
- Exclusive Agency with an Asking Price
- General Agency
- Private Sale
Your Agent will discuss these methods with you, as well as the different pricing strategies available to you.
The next step is to determine a price for your property. This is one of the most important factors in selling your home.
When setting a fixed price it is vital that your home is priced correctly from the start to maximise your chances of attracting as many buyers as possible. There are many factors to be taken into account when fixing a price, such as; location, house size, land area, condition of the property, current buyer demand, prices of recently sold properties in your area and prices of properties that currently for sale in your area. Your Agent will have access to all this information and will be able to help guide you in this regard.
There have been numerous discussions regarding setting the asking price higher than market value versus setting the price at the current market value.
Many Sellers worry that if they set the price too low or even at market value, that they could achieve more. This is human nature. However this is where your Agents advice is crucial. Your Agent will know where your property sits in the current market and will have suggested a proven successful marketing method, to ensure that you get the best price the market is prepared to pay.
If you do choose to price your property too high you run the risk of alienating the buyers as they will know that your price is too high. With the technology available today, buyers do their homework and know what comparable properties are selling for and have recently sold for. They will pass over your property and look at others that seem more realistic and better value. This means you will on the market a longer period of time and eventually you will have to lower the price and meet the market, but the property will be stale and have lost the opportunity of competition from multiple buyers, which is what creates a premium sale price.
Of course if you set the asking price too low, the property will sell more quickly, but it will also make buyers wary that there is something wrong with the property.
Your Agents goal is to get you the best possible price in the shortest possible time.
You will need to be aware of current market conditions, so you can be realistic with the sale of your home.
There are three different markets:
A Buyer’s Market
· There are more homes on the market than there are buyers to buy them
· Homes usually take longer to sell
· Prices generally decrease
A Seller’s Market
· There are more buyers than there are homes for sale
· Homes sell quicker
· Prices generally increase
· There is quite often multiple offers on one property
· There is a similar amount of homes for sale as there are buyers looking to buy
· Sellers will consider realistic offers
· Homes sell within reasonable time frames
· Prices are generally stable
Present your home at its best.
Purchasing a home is nearly always an emotional decision for buyers and first impressions do count. It is important that your home is presented at its best so it will be as attractive as possible to buyers. Keeping the lawns mown, gardens neat and tidy, obvious small repairs fixed, curtains and blinds open and your home clean, tidy and free of clutter will make a good first impression with potential buyers.
Houses should be thoroughly cleaned and de-cluttered. Anything that detracts from a potential sale needs to be thrown out, put in storage or sold at the local auction rooms, market, garage sale or on Trade Me.
Create street appeal: It’s important to have the property looking smart from the outside because that’s what many buyers fall in love with.
Remove Pets at inspections times as not everyone is an animal lover and it can be distracting to the buyer, especially when we want them concentrating on deciding this is their dream home.
There is no doubt that presentation adds value to your home and certainly makes it more saleable. Please see our ‘Preparing Your Home for Sale’ checklist to assist you.
It’s now up to your Agent to market your home to potential buyers.
Your Agent will have a pool of buyers and investors who, right now, may be interested in your home.
Marketing a home is a complex process which involves attracting buyers from a variety of different sources:
· Media Advertising
· For Sale Signage
· Neighbourhood Marketing
· Open Homes
· Internet marketing
· Flyer Drops
· Database Marketing
· Team Contacts
It is the competition created by all these buyers that achieves the best possible price for your property.
Now the work really begins for Your Agent and they will be implementing your personalised marketing programme on all levels. Your Agent will keep you informed on the progress towards the sale of your home. It’s vitally important that you know what’s going on. That’s why your Agent will make a personal commitment to keep you up-to-date and fully informed every step of the way!
The obvious goal will be to bring you as many offers, at the best possible price the market will pay and in the shortest possible time frame.
A buyer’s expectation of price and a seller’s expectation of price are very seldom the same. In fact, there is often a big gap between what the buyer is prepared to pay and what the seller is willing to accept. That’s why a good salesperson is worth their weight in gold when it comes to negotiating. It is their job to close this gap in your favour and get you the best possible price for your home.
When your Agent receives an offer on your property they will present it to you in writing. They will discuss all aspects of the offer with you, including the price, deposit, conditions – what the offer is subject to, possession and settlement date, chattels that are staying with the property, GST, etc, so that you understand what it all means and what the implications are.
You will then have a choice of:
· Accepting the offer – and your home will go under offer subject to the buyers conditions or it will be sold unconditionally
· Rejecting the offer – and starting to look for a new buyer
· Negotiating the offer – and try to achieve an agreement with the buyer that is acceptable to you
Once you’ve received one – or possibly several – offers and you have considered all the components and decided to accept an offer, the next step is for the buyer to ensure that all the conditions, if any, are satisfied and then pay the deposit.
If the offer is conditional and the buyer finds he cannot satisfy the conditions, then the deposit is returned to the buyer. If the conditions have been satisfied it is unlikely the buyer will cancel the agreement and he/she does not get their deposit returned.
Once you’ve accepted an Offer to Purchase, your Agent will forward the sale & purchase agreement to your solicitor who will administer and take care of settlement and conveyancing matters.
Then Congratulations will be in order as you will have successfully sold your home!
The SOLD sign will go up and you can start preparing your move.
Please see our ‘Moving Checklist’ to assist you in your move.