It’s quickly becoming a buyers’ market out there and every buyer figures he can get the best deal for any Sorrento property listed for sale or elsewhere in Perth. Sellers outnumber buyers these days and therefore it’s common to see steep – to be politically incorrect, cutthroat – negotiations at the table. The going has especially gotten tough for sellers because there are many hardnosed property investors in the market. As you are aware, a skilled investor always talks his way into a top property at bargain basement prices.
In the middle of all this disturbing news, comes a ray of hope for Sorrento real estate sellers. That’s us – You have us by your side and here’s a quick guide on how to extract the best price for your property.
Hire an Experienced Professional
You don’t want a real estate agent who talks like a glib salesman, you don’t want an agent who talks too much, you don’t want an agent who hides key information and you don’t want an agent who is desperate to make a sale.
You want an experienced professional – An agent who talks straight and presents the right facts and figures on a salesman’s platter. Therefore, choose your agent with care.
Research the Market
You may want top dollar for your property, but will the market fulfill your desire? That’s one tough question. It is common knowledge that both buyers and sellers want the best deal. The truth lies somewhere in between.
You should research the latest sale trends like number of properties listed, properties sold, highest-lowest prices, days on market, and more. Reading between the lines will help you arrive at a true current market price of your home. Try to sell your property around this price, depending on your goals.
Okay, you now know the lowest price you want and you will not go below it. But have you factored in selling costs? Remember that you will have to pay some or all of the following:
Agent’s commission plus marketing expenses/Auction costs
- Selling and marketing costs
- Mortgage discharge
- Rates and taxes
- Settlement agent and legal fees
- Lender’s fees (early exit, settlement fee, etc.)
- Moving expenses
- Repairs, approvals if required
- GST, if any
- Outstanding bills
Work these out in advance to know how much you will actually get in hand. Always plan ahead and know that failing to plan is planning to fail.
Be Clinical, Not Emotional
Remember that a hardened real estate investor will never make an emotional decision and there are many investors looking to strike a bargain deal these days.
Therefore, as a seller, you must never make an emotional decision. Know your lowest selling price and try and get a higher number. You can negotiate all you want, but do not get emotional and always stick to your predetermined number, because you arrived at it after considerable research and feedback on the market from your agent.
Do not make hasty decisions as well. Always buy time and chew over the offer before accepting it. Rely on your agent’s advice too. If they figure there are many buyers for your type of property, then that’s all the more reason why you should not jump at the first offer.
Did We Just Say Emotional?
- Heck, we’re asking you not to get emotional or make hasty decisions, but you can always do things that will make the buyer all emotional and hasty.
- Do this to make the buyer fall in love with your house (and rush into an emotional decision):
- Get your Sorrento home ready for sale by fixing up all imperfections. Fix chipped paint work, dripping taps, broken tiles on the roof, blocked/overflowing drains, guttering, and other stuff, as needed.
- Create a solid first impression by ensuring a well-kept, cute garden, fence and pathway.
- Replace doorknobs and taps, if required.
- Remove all clutter and make your home look neat, tidy and cozy. Organize furniture and stuff in all the rooms and make them look appealing.
- The buyer should smell freshly baked bread or coffee when they walks in. He must not whiff on sharp or strong food odors.
- Keep the bathrooms dry, put in place the shower curtain, and add a flower pot to make for an aesthetic look.
- Restore old furniture and fittings as needed.
Decided to Auction Your Sorrento Home?
If you’ve decided to auction your home because you just do not want to go through the negotiation process, then you must be prepared for it. The best way to prepare for a home auction is to understand how auctions work. Therefore, you should attend a few auctions to understand the pros and cons.
You also must consult your agent, keep all documents ready and read the fine print in the contract.
Set your lowest selling price as the reserve price and spend judiciously on marketing. However, know that investors take part in auctions and therefore your property may receive low bids. It may also get “passed in.” If this happens then the true market value of your home may run into very rough weather. You should think things through or take your agent’s advice before deciding to auction your home.
The Negotiating Table
An investor is usually a skilled negotiator who’s done his homework. He probably knows why you are selling your Sorrento house, whether you are testing the market, and how many offers you have received.
He will likely not throw a very low number at you because that will make you aggressive and angry. He sure will make a low offer though – but he will make an offer that seems fair. He also may offer you his reasons, which you will find reasonable.
However, our advice to you is not to jump at the offer. Like we said earlier, consider the offer, maybe shortlist it, and ask for time to make a decision.
Though the mining boom is over in Perth and there is an oversupply of real estate, the good news is that experts reckon that the market has almost bottomed out. It is a matter of time before it starts consolidating. Therefore, do not rush to sell your Sorrento property at rock bottom rates. Follow the tips above and hire an experienced real estate agent who knows Sorrento like the back of their hand and seek their guidance to get a great value for your home.