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“I have not sold a property before and I do not know where to begin”

This dilemma is quite common today! Many potential vendors will be faced with this overwhelming situation.

Our advice to potential home sellers involves a 3-step guide. The guide covers

1) Selecting an Agent, 2) Selecting the method of sale for you &3) The cost of selling

Step 1 – Selecting an Agent

When selecting an agent you should consider the following:

  • Office Profile
    • Who is conducting the majority of business in the area?
    • Who’s name and number is on the most homes being sold?

  • Commitment of Sales Person

Select firstly some one who has a proven track record. Do not make the mistake of selecting an agent on the basis of being a nice person. Select a person who is:

    • direct
    • well spoken
    • enthusiastic
    • confident

Remember that this person is handling your financial future. Select carefully.

  • Advertising

This is an essential part of the formula. Creative ads and nice big colour photos attract buyers. Always ask to see copies of advertising and always ask the agent for an advertising schedule. Do not settle for an agent who just tells you “yes, we’ll advertise”. Get it in writing.


Step 2 – Selecting the Right Method of Sale to Suit You

There are 2 commonly used methods of sale. They are as follows:

1)      Private Treaty

    • Establish a price for the property first
    • Advertise the benefits of the property with the price attached
    • No time limit is set for sale
    • Once a price is established, the market is aware of the vendor’s expectations
    • The market usually responds by discounting the asking price

2)      Auction Sale

    • No price is attached to the property
    • The benefits of the property are advertised attracting people with no price limit in mind
    • Buyers will then compete to establish the top market price for the property
    • A time limit is set for the sale of the property
    • Interested purchasers conduct all searches and inquiries in advance
    • No ‘cooling off’ period is required by law when the property  is sold on the day of the auction

However you may also wish to consider:

3)      By Negotiation

    • A price range is established for the property
    • The benefits of the property are advertised attracting people with a broad price expectation in mind
    • Offers are solicited from potential buyers in order to create competition and achieve the best possible price
    • No time limit is set for sale

Step 3 – The Cost of Selling

How Much Will it Cost Me?

There are 3 expenses directly related to the sale of your property. They are as follows:

1)      Solicitor’s Fees

 You may ask your solicitor what he or she charges for the transaction as they do vary, If you do not have your own solicitor we can refer you to an excellent practitioner whom is also very reasonable.

2)      Real Estate Agents Fees

Agents fees are only payable upon the successful sale of your property. Remember that achieving the maximum sale price is where the vendor makes the biggest gain. It is not achieved by the vendor selecting the cheapest agent.

In New South Wales agents fees are now deregulated and as such we are prepared to negotiate our fee to the mutual advantage of both the vendor and the agent. Our fee differs according to the type of property and the method of sale chosen by the vendor.

It is important to know that both the agent and the vendor are on the same side, as both should be striving to achieve the best possible sale price available in the market at the time.

3)      Advertising Costs

 As we mentioned earlier the exposure of your property is one of 2 important factors required to enable a sale at the best possible price for the Vendor.

Arriving at the best marketing and promotion of your property with an agent is an important way to increase the exposure of your property. Many property promotions fall flat because it is done cheaply or the Vendor simply leaves it to the agent who will want to minimise costs.

If you were to do a cheap extension on your property the value of your property would suffer just as it would by doing a cheap promotion. The promotion should be cost effective but the important thing is to reach the target market for your property, and to have quaranteed advertising appearing for the first 4-6 weeks, which is so crucial to the success of your sale.