Selling Tips

Selling Tips

Selling you home is probably one of the most difficult and stressful things most homeowners had to do in their lifetime. With the right advice and support and engaging the services of a Property Sales Professional can make this transition uncomplicated and manageable. You have to be clear about your decision and reasons for selling and be open to suggestions and alternatives.

Once you have taken the decision to sell your place it’s a good idea to do some market research before engaging the Professional services required for the Sales process.

Objectives

Create a list of your primary objectives which can be a range of things but more commonly such as

  • Getting the best possible price
  • Keeping to a timeline
  • Reducing stress 
  • Hassle free process
  • Reduce the inconvenienceco
  • Good marketing strategy and plan (your agent will discuss this with you once you have engaged their services including fees, charges and costs involved)
  • Manage a cost effective solution to market the property without running an overwhelming and unnecessarily expensive campaign.

Research

Do the market research to see what properties are selling within the area and then using this information to gauge what the sale price range is more likely to be. As good measure look at the completed listing or recently sold properties with similar characteristics to your own property.

If you have access to a computer and internet this is easily done online with thousands of properties selling or sold etc. on hundreds of marketing portals. Most popular searches are http://www.realestate.com.au  or http://www.domain.com.au

Note: Most homeowners have a subjective opinion of the properties which is normal.

However you must be prepared and open-minded about the Agents appraisal report for your Property as they are the Industry Professionals and do extensive market research when compiling the report for you.

 

The Real Estate Market Place

The property market is a volatile one but this is not noticed as the changes can fluctuate over month’s seasons to several years. Our current market is experiencing a lot of corrections over the past few months and as a result it’s encouraged more buyers into the market along with the contributions brought about the interest rate cuts.

When considering to sell now would be good time as it’s considered a sellers’ market.

What’s a seller’s market? This is when there are an overwhelming number of buyers and a shortage of properties for sale. However keep in mind that the ratio changes as the prices do as well.

Example.
There may be 1000 buyers in a particular area for properties within a price range of     ($600k - $800k) but on the flip side there may only be a handful of buyers for a higher price range ($1mil plus) thus creating a balanced or buyers’ market.

Buyers’ market is when the ratio of available properties to buyers is lower, meaning more properties and fewer buyers therefore leverage changes.

A Balanced market is where the ratio of properties for sale to buyers looking to buy these properties are almost on par therefore a level field.

Selling your property in a balanced or buyers’ market may not generate enough interest as there is more competition and thus reduces your properties demand and your negotiation advantage. You should also consider seasonal factors as these can also affect the market.

A Professional Agent should be able to

  • demonstrate the current market status
  • make suitable suggestions on the selling process and marketing options
  • Provide fair and neutral advice, and not try convince you to sell in a slower market just to get your listing.

Make sure you understand all aspects of the presentation and services and products before you sign any agreement.

Note: You have till the end of the next business day after the day on which you signed the agreement to terminate it. Beyond this time you are legally obligated to compensate the agents as per the contract


The Appraisal Process

The agents you invite to conduct a property appraisal should do their due diligence and not be complacent. You should join them if you wish in case they have questions.

Please note that you may be asked to provide evidence of ownership before this commences.

They should do these things as a minimum

  • A thorough inspection of your property (take photos with your consent)
  • Build and construction type.
  • Note external feature like landscaping, outdoor areas, pools etc.
  • Age of the home, floor area and land size
  • Identify the qualities and features of your property, distinguishing features
  • Walk through every room in the house and take notes on the layout, design, state of repair, fixtures and fittings, and overall appearance of the place
  • Built-ins, appliances, cooling and heating systems etc.
  • Floor coverings, window type furnishings etc.

 

Listing Presentation

After deciding on an agent you want to use, invite them to do a listing presentation.

You will possibly have to sign an agency agreement with them and have a copy of the Contract for Sale prepared by your Solicitors or Conveyancers for this appointment.

During this time the Agent should present to you the following.

  • An inspection and condition report from the previous or current appointment.
  • An agency agreement (preferably an exclusive agency agreement)
  • Proof of ownership checklist issued by the Fair Trading NSW
  • Schedule of fees and costs
  • Marketing and promotional expenses (online advertising, photography, marketing material, presentation consultants etc.
  • A printout of the property data from R.P Data or similar sources
  • A copy of the consumer guidelines for your reference
  • Fraud prevention guidelines
  • Material fact disclosure statement to be signed by you
  • A marketing plan
  • A sample of the advertisements for print and/or online marketing media
  • Sample flyers and brochures, letterbox cards etc.
  • Price substantiation checklist
  • A comparative market analysis report
  • Current market data for comparisons and market status
  • A target market analysis which should include
  • Buyer profiles
  • Demographics, socio-economic factors and market conditions
  • Suggested presentation tips for open homes and proposal for repairs and maintenance to add values to the property if applicable.


Method of Sale

Your Agent is the best person to advice you about the best method for selling your property as at this stage they have done extensive market research and have probably prepared a marketing and promotional plan for the sale of your property.

The more common types of sales methods are

  • Sale by Private Treaty – usually a fixed price or a price range sale type where the property is available to all potential buyers until under contract. No fixed time frame to sell but general in the current market a well presented and priced home usually clears within 2-4 weeks with some much sooner and even sold before the property is marketed to the public. All offers are submitted to the owners on the next business day off receiving and as per the vendor’s instructions.


  • Expressions of Interests – more common for development sites and off the plan property sales but some private vendors also use this method to secure a range of buyers who have to formalise their interest in the property and thereby paying either a holding deposit (can vary between 1% - 10%) of their submitted offer if accepted.

    Note: The vendor is not obligated to sell the property to any particular buyer and the buyers have the time till the property launch to get the finances in order and make their highest and best offer. At this point the vendor can decide to go with the best offer and has to refund the deposit to the unsuccessful buyers.

  • Sale by Auction - is a method where a property is launched and open for viewing over a few weeks and then sold at a public or private Auction where only registered persons can bid on the property and usually sells under the hammer to the highest bidder or is passed in for further negotiations amongst the highest bidder or few. Sale is an unconditional sale on the day and a preliminary deposit is payable at the time and the remainder usually by the end of the next business day or whatever the terms of negotiation. Sale is final unless the finance isn’t available in which case the buyer forfeit their cash deposit. Property can generally sell well above the market price if there is healthy competition.

Note: Your agent should be able to determine whether this is an option depending on the interest generated in the property or recent market activity

 

Property Presentation Tips

First impressions

  • Create Street Appeal – clean up the front yard, tidy up the façade and remove any unwanted items to create an open and welcoming property ( make it look like a home you would be happy to pay the asking price for)
  • Some cosmetic touch-ups like painting and minor repairs (paint chips and cracks, fix jamming doors and windows, clean or replace curtains/ blinds light fittings door knobs or handles etc. where needed)
  • Declutter and clean the house and all hard surfaces outside
  • Light some scented candles, make a pot of coffee and leave it to infuse the house, open the curtains and windows weather permitting.
  • Turn on the heater or air-conditioner to create a comfortable environment.
  • Turn on some soft music to create an inviting atmosphere.
  • Remove all personal belongings and photos etc. and store them securely
  • Remove your pets or take them with you when you leave during the open home (this is imperative so that the viewers are more comfortable and can speak to the agents openly and freely.
  • Tidy the lawn and gardens (plant some seasonal flowers a couple of weeks ahead of scheduled open homes) trim bushes and overhanging branches as best as possible and allowable.

During or after an open home most property viewers will express their opinions and offers on the property which your agent should present to you after wards or at the next meeting depending on your arrangements.

Open homes are a great way to assess the interest your property generates and is a convenient option for the owners as there are set times for these and you get enough time for all your preparations.

At your discretion you may opt for open for inspections by appointment only that way you have an idea of who’s coming through your place for added security and peace of mind.

 

So there are some general tips for Vendors looking to or selling their property and usually helps you envision the order of things and what to expect during the sales process.

Your agent should be able to assist you further regarding various other presentation tips ideas.

Give MAX REAL ESTATE a call when you ready to sell and let us do the hard yards for you to make the sales process a rewarding and pleasant experience that it should be.

Good luck!