Umdloti Beach Homeowners Newsletter

1.) Homeowners Hints and Tips on preparing the home for a successful sale.

If you’re thinking of selling your home or, it’s currently on the market, then you’re probably already aware that, owing to market force changes, we are now in a “buyers” market. In this stage of the economic cycle, supply exceeds demand and only well priced homes in their respective segments are moving within the twelve week average. Today, your estate agent must be be a masterful negotiator to meet your needs and close the deal to the satisfaction of the buyer, who is mostly in control.

It has always been important to prepare or stage your home when selling and in the present market, even more so, because of the availabity of choice to the buyer. Click on the link under “staging your home for sale” to see what I mean, it’s self- explanatory. But, please don’t overlook the exterior appearance, including walls, roof, gutters and garden as well. A few hundred Rands spent on paint could mean thousands more in your pocket and a faster sale !

2.) Five Primary Reasons why your Home won’t sell !

a.) Your home is overpriced.
In the current market, this is probably the main reason why properties languish for over 180 days without an offer. Estate agents advise that anything properly priced will sell. Many sellers get inflated ideas about the true market value of their property and think they can hold out for the price they want. Properties sell according to market forces and are priced according to supply and demand. Your professional estate agent will give you enough information to enable you to select the right selling price range. This is done by completing what is known as a CMA (Competitive Market Analysis). If your estate agent suggests a price range lower than your expectations, find out why this is. If he or she can justify that your anticipated price is too high (and without negotiating commision), you need to reconsider your asking price, or whether you’re actually ready to sell. Most often, over-priced homes end up being sold under-priced, because after a few months of no action, the owner becomes desparate and slashes his price accordingly. Buyers purchase by making comparisons, are far better informed about prices and today are spoiled for choice.

b.) Private selling rarely works.
Most successful private sales take place between sellers and buyers who know each other. Cold private selling through newspaper advertisements and the odd sign outside your house usually doesn’t work. It’s better to pay commission to an agent who can be available at any time to introduce possible buyers to your home and who has greater access to them. Very few people also have the know-how to manage the mechanics of property selling and the chances are that without some guidance on the local market values, you’ll also be inclined to overprice. Most people don’t have the luxury of six months to sell.

c.) The property’s in poor condition.
Even if you reduce the price, a home in poor shape will put off most buyers who really do not want to be put to considerable expense to renovate it before it suits their tastes. Rather spend a little money now (but don’t over-capitalise) to repair, upgrade, repaint and do whatever necessary to attract buyers who are invariably more likely to buy a property that has a fresh new feeling about it. You’ll find that by spending some money buyers will materialise, even if you have increased your selling price to cover your expenditure.

d.) Imbalances discourage most buyers.
Too many property owners add unsightly extensions, build fitted bars, construct garden lapas and other features which may be just what the current owner wants but which will drive away most buyers. In particular, avoid adding extensions which detract from the original balance and appearance of the home.

e.) Open Mandates restrict selling potential.
Many homeowners offer their properties for sale through multiple estate agencies on an open, verbal mandate, meaning they don’t make any committment to pay commision or even to sell at a pre-agreed price. In today’s conditions, additional marketing strategies are required in local, up-country and even in some instances, international media which is very expensive.There are only a handful of companies which can offer all three approaches and you need to interview those that do and also have a market specialist exclusively for your area. Ask for a specimen of their written marketing plan and service guarantee before making a decision, which should also be based on whether the agent understands your needs, will give their undivided attention and is someone you can trust. Pledge yourself to a good agent and reputable agency, and they’ll reciprocate the committment !