Selling Tips

SIMPLE GUIDE FOR SELLERS

1.     Choose An Agent
2.     Method Of Sale
3.     Marketing & Advertising
4.     Decide On A Listing Price
5.     Prepare The Property
6.     Inspections
7.     Accept An Offer Or Nominate Reserve Price
8.     The Sale Process


CHOOSE AN AGENT:

As Real Estate agents rely on their reputation, referrals are a good place to start the search.  Google any of our professional agents to see what they have listed and / or sold in your area, the proof is in the results!

At THE Real Estate we pride ourselves on an open and honest working relationship with all of our clients to ensure the smooth process of selling your property.


METHOD OF SALE:

Exclusive Listing:

  • We recommend the exclusive agency method, where the sale of a property is in the hands of only one agency, rather than an open listing.
  • An exclusive agency is advantageous to the seller as the appointed agent will be dedicated to selling the property. This saves the seller the confusion of having to liaise with more than one agent.
  • Furthermore, this method will save the seller the time and money involved in advertising and marketing costs when a number of agents are trying to sell the property.
  • 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.

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 advantages of selling by auction can include:

  • 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:

It is no secret that the greater the exposure a property has to the market, the greater the number of buyers who are aware of the listing. THE Real Estate will create a marketing and advertising campaign designed to achieve the highest possible price for our sellers. This can involve marketing and advertising through:

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


DECIDE ON A LISTING PRICE:

Comparative Market Analysis (CMA)

Under the Property Agents and Motor Dealers Act 2000, if a seller asks an agent for an opinion of the current market price of a property, the agent must provide the seller with a Comparative Market Analysis (CMA).

The minimum CMA criterion an agent 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), the agent must provide a written explanation outlining how they arrived at the suggested market price for the property.

Don’t Over Price Your Property

Setting a realistic price can assist with generating greater buyer interest and achieving a sale more promptly 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.

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.


PREPARE THE PROPERTY:

It is important to spend a little time freshening up the look of your property, inside and out. The results may not only add to the sale price, but encourage more buyer interest.


It is also a good idea to complete minor repairs before listing the property and maintain the presentation of the property throughout the marketing campaign. 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, a couple of paintings or fresh flowers can make all the difference to the look and feel of a property.


Remove any unnecessary furniture and personal items before marketing photos are taken to ensure each room is shown at its best. A cluttered room is a turn off for most buyers. All this can be done either by hiring a professional tradesman or doing it yourself at a fairly minimal cost.

The garden and outside of a property should not be neglected. Keeping the lawns and gardens mown and weed free helps to improve a buyer’s first impression of a property.

The following identifies what buyers would respond to with respect to the property presentation:


POSITIVE APPEAL

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


NEGATIVE APPEAL

  • Dark, dingy residences
  • Unpleasant smells, especially cigarette smoke and animal odours
  • Filth and clutter
  • Loud noise (e.g. television or radio).


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.


ACCEPTING AN OFFER OR NOMINATE RESERVE PRICE:

Sellers should not disclose or discuss their reserve price with anyone but the marketing 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.

 

HOW THE SELLING PROCESS WORKS:

General Tips
• Ensure you have chosen a solicitor or conveyancing clerk as you will need their details for the contract as soon as you start receiving offers
• What date are you happy to hand over the keys?  You need to ensure you are ready to move out on the date of settlement.
• Where will you live?  Do you need to start looking to purchase a new property or rent?


Contract Process

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

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 possiblility 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 (if applicable) this is also known as the unconditional date.  It is standard practive 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% of the purchase price of the property. The Valuation Inspection will be arranged by the purchasers bank/lending institution within 14 days of the dated contract.