A home is one of the biggest investments that you will make in your lifetime, so when it comes time to sell it, it is crucial that you set yourself up for success.
Grant Smee, Managing Director, Only Realty Property Group said: “Making informed decisions early in the process can be the difference between profiting from the sale of your home or potentially facing a failed transaction.”
According to Smee, sellers are up against various uncontrollable factors, this means that they need control the controllables.
“It’s vital that you take the necessary steps required to give yourself the best chance to succeed – regardless of where you are in the home selling journey,” Smee said.
For property listings that are on the market for six months or more without any interest, here are four factors to consider.
Make sure that the price is right
Smee said that the sale of a home almost always comes down to the price, especially in a buyer’s market.
“When it comes time to set the price, make sure that it’s market related. Remember, that buyers will almost always (except in a case where there are multiple offers) try to offer a lower price, so be sure to take this into account,” Smee said.
“Clearly communicate your lowest price to your agent so that they know upfront and can work with the potential buyer to negotiate.”
It is is vital to factor in additional costs which could hamper the sale such as levies.
Smee said: “We are seeing many properties with levies upwards of R5,000 per month, and while these are imperative to the upkeep of the property, they can also be viewed as a further cost by buyers.”
It is important to chat to an agent to ensure that they have a clear point-of-view and a strong argument for this.
Know Your ‘why’
“Selling a home can be an emotional process but where possible, I strongly advise you to take the emotion out of it,” Smee said.
Smee said that there is a clear difference between selling because you want to and because you need to.
If the home is sentimental and you cannot part with it for a lesser price, then this needs to be communicated to the agent and be prepared to wait for the right buyer at the right time.
“If, on the other hand, you are determined to sell because of financial pressures, downscaling, upscaling or even emigrating, then you may be more willing to negotiate further,” Smee said.
If you are thinking of opting to hold on or decline lower offers, they you should weigh holding out for a better price and the costs associated with monthly repayments, levies and maintenance in the interim.
According to Smee, another option is to consider a good tenant in the meantime to the cover the expenses, given the robust state of the rental market at present.
Know Your Buyer Pool
“While a great agent has a clear understanding of the market and will offer you all the data that you need, it’s important that you too are clued up,” Smee said.
Take the time to:
– properly research the area
– talk to people around you
– see what homes are selling, what their specs are, what they are listed for and what their clear points of differentiation are from your home.
Sellers should not only consider what they are up against in terms of properties for sale but also rentals on the market.
“The rental market is buoyant, and some potential buyers may want to rent for the time being until the interest rates begin to drop,” Smee said.
“Finally, put yourself in the shoes of a potential buyer and remember all the things that stood out to you about the home in the first place – perhaps it’s close to schools, has a home office or it’s in a secure complex. Be sure that these USPs (unique selling propositions) are clearly communicated.”
Work with your agent to determine what may best work for you.
If show houses are not working, then speak with your agent so you can come up with a better plan like a virtual tour, one-on-one appointments, cold calling or less frequent show houses.
Having the right agent
Smee said: “Cliché but true, the right agent will be focused on your property and will dedicate a lot of time and effort your sale.”
To avoid disappointment with your agent, you should do your homework before signing an agreement.
“Meet with various agents and prepare a Q&A to determine how they would best market the property and what differentiates them from the rest. It’s all about finding your fit,” Smee said.
According to Smee, the right agent will know the right buyers and have a clear understanding of the property market.
“Take your time when finding an agent, as this could make or break your sale,” Smee said.
IOL Property