About Real Estate Selling Tips

METHODS OF SALE:

Exclusive Listing-

  • We recommend the exclusive agency method, where the sale of your property is in the hands of only one agency, rather than an open listing. It also means your property will get
  • An exclusive agency is beneficial to the seller as the appointed agent is dedicated to selling the property and saves the seller the confusion of having to deal with more than one agent.
  • This method also saves the seller the time and money involved in advertising and marketing costs when a number of agents are trying to sell the property.
  • Listing your property exclusively with an agent means your property will receive much more attention than if you open list it with a number of agents.
  • We will always be happy to conjunct with another agent if a buyer has a relationship with that agent.

Open Listing-

  • An open listing is when the seller has the ability to list their property with a number of agents in the local area. Under an open listing agreement, each agent can sell the property individually or work with another agent to sell the property.
  • Only the agent that introduces the buyer to the property will be entitled to receive commission from the seller.

Auction-

  • The seller has the opportunity to sell their property before auction, on the day of auction, or (in the event the property is passed in) directly after auction;
  • The reserve price and a settlement date are set to suit the seller;
  • As the reserve price is not disclosed to potential buyers, it gives the seller a chance to test the market;
  • A written marketing plan with pre-agreed appointment times enables the seller to organise their lives during the lead-up period;
  • The auction is conducted under the seller’s terms and conditions and is not subject to finance, building and pest clauses or a cooling-off period;
  • The auction process creates a sense of urgency – buyers have a definite time frame in which they must act. Buyers see other interested parties as their competition rather than the seller.

MARKETING & ADVERTISING:

History has demonstrated that the more exposure a property has in the market, there are more buyers who are aware that it is for sale. About Real Estate put together a marketing and advertising campaign designed to achieve the highest possible price for our property owners. This involves marketing and advertising through:

  • Signboards
  • Open Houses
  • Local Newspapers
  • Property Websites
  • Dedicated Property Magazines
  • Social Media

We have a professional photographer that offers packages at reasonable prices. It is important to provide a look that creates the “WOW” factor on line so your property stands out from other listed properties.

HOW TO DECIDE ON YOUR LISTING PRICE:

Comparative Market Analysis (CMA)

The Property Agents and Motor Dealers Act 2000, require an agent to provide a Comparative Market Analysis (CMA) to support our pricing recommendations. The minimum CMA criterion we must meet is to provide information on three properties, of a similar nature and style, that have sold within five kilometres of the subject property within the last six months. If a CMA cannot be produced (due to factors such as no recent sales), we provide a written explanation outlining how they arrived at the suggested market price for the property.

Don’t Make a classic Mistake and Over Price Your Property

Property prices change approximately every 6 months and many things influence this from the current financial market, job availability or recent major events such as floods, this is why when you get a property valuation from a professional valuer they only reference the last 6 months. Setting a realistic price will help to generate a larger buyer interest and achieve a sale faster than if a property is overpriced. Sellers who set too high a price on their properties can damage their prospects of a quicker sale and risk the property becoming ‘stale’ in the marketplace. This is normally evident when the number of inspections are low or not happening at all.

Adjusting Your Price

At any stage through the marketing of a property, the seller can choose to amend the listing price of a property; however, this instruction should be clearly given to the agent in writing. An agent cannot change any marketing or advertising of a property until they have received clear written instruction from a seller.

PREPARING YOUR PROPERTY:

As the TV program “Selling Houses Australia” has shown it is important to freshen up the look of your property, inside and out. The results will help add to the sale price and encourage more buyer interest. In fact, done right it can add thousands to the sale price. While the marketing program is running is advisable to maintain the presentation of your property to keep the interest at a high level. Think about it “When was the last time you wanted to inspect a property where the yard is overgrown with weeds and the paint is peeling”?

It is also a good idea to complete minor repairs before listing the property. A few ideal renovation tips such as a fresh coat of paint, sanding wooden floors or replacing worn carpet, will freshen up the look of any room. Paying attention to decorating the interior rooms by adding soft furnishings, removing personal memorabilia, a couple of paintings or fresh flowers or the smell of fresh coffee beans makes all the difference to the look and feel of a property.

Remove any unnecessary items before marketing photos are taken to ensure each room is shown at its best. A cluttered room and dirty carpet is a turn off for most buyers. All this can be done at a minimal cost to you if you do it yourself or hire a professional. Keeping the lawns and gardens mown and weed free helps to improve a buyer’s first impression of a property.

The following outlines what buyers respond to with respect to the property presentation remember “FIRST IMPRESSIONS COUNT EVEN IN PROPERTY SALES MARKET”.

ITEMS THAT CREATE A GREAT IMPRESSION

  • Clean, bright and airy residences
  • Neutral colours Well-landscaped gardens
  • Plenty of outdoor living space such as decks and covered patios
  • Soft music; and
  • Pleasant fragrances

ITEMS THAT CREATE A POOR IMPRESSION

  • Dark, dingy residences
  • Unpleasant smells, especially cigarette smoke and animal odours
  • Filth and clutter
  • Loud noises
  • Unkempt lawns and gardens

RECOMMENDATIONS

  • Clean out cupboards to give an impression of space
  • Take away all unnecessary furniture to leave rooms uncluttered
  • Fix all obvious faults
  • Tidy up yards
  • Steam clean and deodorise carpets professionally
  • A coat of paint over marked walls will brighten up a room quickly
  • Replace brightly coloured curtains and wall colours with neutral tones that are in vogue

ACCEPTING AN OFFER OR NOMINATE RESERVE PRICE:

Sellers should not disclose or discuss their reserve price with anyone but the sales agent and auctioneer. Sellers should remember to be realistic when considering an offer or setting a reserve, keep the age old principal of supply and demand in mind, and also factor in other general market conditions.

OUTLINE OF THE SELLING PROCESS

General Advice

Ensure you have chosen a solicitor as you will need their details for the contract as soon as you start receiving offers. Where will you live? Do you need to start looking to purchase a new property or rent? About Real Estate can help you with both!

Contract Process

Once you accept an offer then you need to ensure you understand the steps involved in selling the property. It is essential that you obtain independent legal advice from a solicitor.

Cooling Off Period

The cooling off period is the first 5 Business days which starts when the property is Under Contract. This is where the purchaser can terminate the contract for any reason, but note they will need to pay a termination penalty equal to 0.25% of the purchase price. This very rarely happens but you should be prepared for any possibility when selling your property.

Initial Deposit

The initial deposit is payable within 24 hours when both the buyer and seller has signed the contract and agreed on the terms and conditions of the written contract. If you are selling by auction the purchaser will have to pay the full 10% deposit on the day of the auction.

Balance of Deposit

The balance of deposit is payable when the finance clause is due, also known as the unconditional date. It is standard practice for the total of deposits to make up 10% of the purchase price, however this can be negotiated.

Building & Pest Inspection

A building and pest inspection can be arranged but it is up the purchaser to arrange and pay for, The standard time frame is 7-14 days after both parties (the purchaser and the vendor) have agreed and signed a written contract.

Valuation/Finance

A valuation request by the purchasers bank or lending institution may be required, this is normal practice in all states of Australia especially if you’re borrowing more than 80% or more of the purchase price of the property. The Valuation Inspection will be arranged by the purchasers lending organisation within 14 days of the dated contract.

Additional Clauses

Ensure you discuss your circumstances with your solicitor so that you are covered. They will review the additional clauses added into the contract and you need to understand these to ensure they meet your requirements and you are not left having to put your property on the market again.