How to take your home to market – Part One
Taking your property to market is not something that you do every day. We understand that it’s a process that most people only go through a couple of times, and it can be overwhelming.
If you are considering selling your property you might need a quick refresher on what to expect. We’ve put together this handy guide to help you through the process and understand what to expect when selling your home.
Finding out the value of your asset
The first place you will want to start is getting an idea of what your home is worth in the current market. Market conditions can change quickly, and different areas and property types can impact your home’s value significantly.
Core Logic is a great place to start gathering some research on comparable sales. An experienced, local real estate agent will be able to give you a property appraisal to estimate its value. This information is based on recent sales as well as the real estate agent’s own knowledge of buyer sentiment and supply and demand in the area.
A property appraisal is different from a formal valuation that you may obtain from a licensed valuer. Typically, a local agent will be able to give you a more accurate assessment of what your property might sell for as they are in the market every day interacting with buyers. A valuer will base their assessment on market facts as they are legally responsible for the report they provide.
Interview local and experienced agents
When searching for a great real estate agent to represent you it’s important to put in the groundwork. Having the right agent on your team can make a huge difference to the outcome of your sale. It’s important to choose someone you like and trust but also to assess their skill set and experience.
Here’s what to look out for when interviewing an agent:
- Local knowledge – Understanding of the area, past sales experience in similar markets and properties, and a solid track record of results is crucial
- Positive client feedback – Research your agent online and find out what other clients are saying about them. What are their key strengths and are they the right fit for you and your property?
- Negotiation skills – Observe how they negotiate with potential buyers to get the best result. Attend their open homes and auctions, if they hold them, and watch how they work the room
- Operational efficiencies – we believe strongly that the little things have a huge impact, take note of how potential agents operate in their dealings with you and how they present the listings they represent
Once you appoint an agent you will need to sign an Agency Agreement, this is a legal document, and is required to be executed prior to any buyers being shown through your property.
Methods of Sale
There are a couple of methods of sale you can consider for your property. Your agent should recommend the best method for your circumstances and explain the reasons why it should be used. It would be prudent to research past sales in your area as well as what’s for sale currently, to see what method is used most and what yields the best results. You can do this using property portal apps such as domain.com.au and realestate.com.au.
- Auction – Taking your property to Auction is a great way of attracting and engaging with the widest range of buyers, towards achieving the best possible price for your property in the current market. Buyers are comfortable with the Auction process, which often creates a competitive environment allowing buyers to bid upwards against each other to secure the property. As part of the Auction strategy, you can also encourage offers to be submitted prior, using the sale date as motivation for active buyers to declare their interest pre-auction.
- Private Treaty – If you would like to market the property broadly to attract many buyers, but are averse to an auction campaign, ‘For Sale’ by Private Treaty may be the best option for you. By establishing an asking price, buyers will feel confident in inspecting the property and submitting offers, allowing the ability to negotiate offers and terms that suit your requirements. There are several ways to approach the advertised price which can be discussed with your agent, from a list price to a price range or by requesting buyers contact the agent for a guide.
- Off Market – In some instances, it may be appropriate to list the property for sale ‘off-market’. This strategy leverages activity from the pool of existing buyers an agent may already be working with. A typical ’off-market’ campaign still involves several marketing elements to generate buyer engagement and can include an email and a call out to the agent’s client portfolio and an information page on the agency website. This method is usually recommended when privacy is required, or the agent has several qualified buyers already for the property.
- Two Stage Campaign – This can be a good way of testing the waters for a pre-market offer from our existing client list of active buyers before commencing a marketing campaign. The main benefit of adopting a two-stage approach is being able to obtain valuable buyer feedback, alongside any offers, prior to going to market with a full campaign. This can also help the agent validate your price strategy prior to setting an Auction guide or list price. If an acceptable offer is negotiated during the off-market stage, prior to listing the property online, there are some savings in terms of marketing investment and time.
That’s it for Part 1 of our guide to listing your property for sale, in Part Two we cover several other key factors such as marketing your property, property presentation, choosing a solicitor and the key costs of selling your home. Read the blog here.
And of course, if you are thinking of selling we are always here to help guide you through the process, get in touch with our team today.
We are for apartments.
If you are considering buying or selling your apartment in Sydney city or its surrounds, we would love to help you. Ayre Real Estate are specialists in apartment living and ready to help find your ideal property. Talk with us today to find out more.
