A Seller's Guide: Frequently Asked Questions
Category Property Advice
Selling a house comes with a lot of questions. From when to sell and how much to sell for to how you should prepare your home for a potential sale, we have heard it all. Take a look at our FAQs for selling a house below.
1. When is the best time to sell my home?
Understanding the market and the timing of your sale will go a long way in ensuring you not only go in at the right price, but at the right time. We do a lot of homework and have experienced estate agents working focused markets. Our agents have access to the latest technologies and systems, and utilise best-in-class data portals to perform in-depth comparative market analysis'. This critical data, coupled with our agent's experience in the area is crucial to determining the launch price and achieving a sale. For a more in depth answer, read our article about tips for selling your property.
2. What steps should I take to prepare my home for sale?
The Agency has never been keen on show houses, preferring instead to offer a curated, appointment only viewing, but the rules are the same: keep your property clean, and keep it ready for viewing at all times. The outside of your property sets the tone for all that lies in wait. Inside, avoid any clutter, keep the counters clean and clear and ensure the dishes are clean and packed away! The same goes for your outside areas and if you have a pool, make sure it's clear of leaves and crystal blue, not swampy green.
3. What should I disclose to potential buyers?
Before a transfer can be registered, the seller needs to provide compliance certificates for electrical, plumbing, gas, and in some cases, beetle (for wooden floors) and electric fence certificates. Fortunately, there are companies now that can provide the full service and ensure all the necessary requirements have been met in your property. The new Property Practitioners Act has made it mandatory for sellers to sign a disclosure form that declares that they are aware of any defects in the house. This is a great new move that goes a long way in avoiding any issues for both parties further down the line.
4. How much is my home worth?
Pricing your property correctly is an important decision to make because this will determine how It is received by the market. Understanding the market and the timing of your sale will go a long way in ensuring you not only go in at the right price, but at the right time. Choosing the right agent is a crucial part of the sale. To sell your property for the best possible price, in the shortest amount of time, you need to ensure you have all the information you need, and the best source of knowledge lies with the right agent.
5. What are the usual costs involved for a Seller when selling a property?
The selling of your property is a personal endeavour. It can be emotional and incredibly stressful, but it's important to go into it with your eyes wide open and to be aware of the hidden costs attached to the sale. Once an offer has been accepted, it is not as simple as picking up the cheque and moving on. There are a number of costs that need to be considered before you can hand the keys over to the buyer.
6. Can I determine how much my home is worth from an internet website?
No! Ensure you partner with the right agent who can guide you on the best price for your home. See Question 4 for more.
7. Should I price my home higher to leave room for negotiations?
No. Pricing a home higher to gain leverage in negotiations over buyers usually backfires. Firstly, you eliminate buyers before they ever get a chance to see it, because it falls out of their desired budget. You also run the serious risk of staying on the market longer. The longer your home stays on the market, compared to the average selling time for your neighbourhood and comparative homes, the worse it gets for you. Remember, buyers have agents who have access to the same statistics. You risk having a stigmatized home.
8. How long does the listing mandate last?
Timings on a mandate can vary and are often dependent on the area and the average number of days a house sits on the market. Historically, in some areas a property may sit for six months, so you would ask for a mandate to cover the period it generally takes to sell a property in the area. Having a skilled agent to market and position the house will help ensure your mandate period is aligned.
9. How much commission do you charge?
Commissions vary greatly. Experienced agents can work anywhere from 5-7.5% and, of course, you get agencies that come in low, and then you also have fixed-priced agencies, but ultimately you get what you pay for.
10. What is a seller's market?
A seller's market is when there are more Buyers than houses because the demand for property is greater than the supply.
11. What is home staging?
Home staging is the act of preparing a private residence for sale in the real estate marketplace. The goal of staging is to make a home appealing to the highest number of potential buyers, thereby selling a property more swiftly and for more money.
12. Should I make repairs to my home before I list?
It's a good idea to get an accredited inspector to inspect your home to uncover any defects that may need your attention. Smaller, cosmetic repairs can be done to make your property more marketable (and more valuable). On bigger, known issues, like a damaged roof, you have two options: make the repairs and foot the bill yourself, or adjust your price accordingly.
13. What can I do if my home isn't selling?
This is where a skilled agent comes in. A correctly priced home will sell quicker than one that isn't. With one of our trusted property advisors, we can ensure you house is assessed and priced correctly from the outset, and should it sit longer than expected, they will be able to offer the right guidance and course of action.
14. Can I take my light fixture (or other home features) with me?
A great analogy for this is: pick up your house, turn it upside down and give it a shake. Whatever doesn't fall out - it stays with the house.
15. Multiple interested buyers on a property, what now?
There are a couple of scenarios here. If the seller has accepted an offer on suspensive conditions and the buyer on the initial offer has complied with the suspensive conditions of the Offer to Purchase such as securing a bond, you can no longer accept offers. If the terms of the agreement allow for continued marketing and a competing offer to be taken, then further offers are allowed.
16. What is the difference between open and sole mandates?
A sole mandate is a written agreement giving one agency exclusive rights to market and sell your property, while an open mandate allows a home to be marketed by more than one agency or estate agent at a time. With an open mandate the estate agent that closes the deal is the agent that receives the commission.
Author: The Agency Property Group
