17 August 2018
When selling your house, two of the most important factors to consider are price and time frame.
While some sellers may be in a position to sit on their property and wait for the best possible value, others may need to sell their house in a hurry.
In the latter case, if your sale is urgent and you want to complete as soon as possible, it’s important to recognise that there will often be a trade-off between price and selling time.
That said, in this post we’ll show you some of the ways to achieve a fast sale without taking too much of a hit on the price…
Traditional high street agencies have seen their market share being challenged by the new breed of online players (see below). However, some vendors prefer to use them as they often have local knowledge and expertise.
At the same time, many have been known to deliberately overvalue properties to win instructions due to fierce competition to sign up home owners. This leads to a slow sale process as sellers are often forced to gradually adjust their price to find a buyer.
Occasionally, an unsuspecting buyer will overpay for a property listed on the high street so sometimes the vendor can end up with a higher price – but this is rare.
In most cases therefore, do not expect the sale to be quick. The fees to sell are also often higher than online agencies due to increased overheads.
If you choose to go down this route, here are some tips to ensure you get the best outcome:
Express estate agencies have emerged as homesellers look for a more efficient online service. They will typically use aggressive pricing to generate an offer within a shorter timeframe.
The advantage of express estate agencies over traditional estate agents is that you will avoid situations where your house may get valued over-ambitiously. This invariably leads to wasted time while the price is slowly lowered until an offer is made.
Many of the tips that apply with traditional estate agents (above) would be the same here, but it’s also worth considering the following:
Hybrid estate agents combine the functions of traditional and online estate agents.
The benefit is that they offer cheaper prices than high street / local estate agents while offering many of the same services – such as using local ‘experts’ to value homes, meet potential buyers, list the property and so on.
Their running costs are relatively low. So, although they may value your property at the same price, you will save money on the fees charged for handling viewings, offers and negotiations compared to traditional estate agents.
Again, many of the same checks will apply as with traditional and express estate agents – but you may also want to run through the following:
Selling via auction can work well – especially for unique, quirky and problem properties. You’ll often find that buyers are more serious, so there’s better chance of a faster sale.
Also, once the hammer falls, contracts are exchanged. This means that the buyer usually has between 20 and 28 days to complete the sale, or else lose the deposit and any fees paid.
However, auctions can be risky. Although you will establish a minimum reserve price, you will still need buyers to bid against each other to get to that level.
Should you be thinking about putting your property up for auction, it’s worth taking the following factors into consideration:
Sometimes referred to as a conditional auction, this can be best described as a cross between an estate agency sale and an auction sale.
The buyer places a non-refundable reservation fee and then has time (usually about 28 days) to exchange and then complete (another 28 days). Paying this fee is a real bonus, as 1 in 3 sales on the open market fail due to buyers withdrawing their offer. It also means that only buyers who are seriously interested in purchasing your property will make an offer.
As it’s quite a new concept in the property industry, it remains to be seen if it will become a mainstream way of selling.
Many of the checks worth making would be the same as with an online/offline auction house. However, you may also want to confirm that:
Cash buying firms are a relatively new phenomenon, but a good option to consider when looking for a fast sale.
With a quick cash sale, you will typically receive up to 75% of the full market value – depending on its condition.
However, the benefit is that they are much faster than estate agencies and auction houses. As a general rule, you’ll be able to complete in just 7 – 14 days. These companies do not rely on external finance and take out the right insurance policies, enabling them to work to strict deadlines.
In addition, quick sale firms do not charge additional fees like estate agents and auction houses. This helps to offset the reduction in the selling price that is inevitable when dealing with them.
Before using a quick house sale firm, always make sure you check through the following:
If you’re looking to sell your house as quickly as possible this could be the best option. But keep in mind that you will not receive the full market value, and make sure to confirm that they are true cash buyers who do not charge fees before proceeding.
Ruban Selvanayagam and James Durr are co-founders of the hybrid estate agency Property Solvers that offers quick cash sale and low-fee express estate agency services across the UK.
This content has been provided to us by the writer. Whilst believed to be factually correct, we cannot accept responsibility for content contained within it.