Property Sellers' Frequently Asked Questions
Property Sellers' Frequently Asked Questions
Q. When I sell my property, shouldn't I price it a little higher - I can always drop the price later?
A. It’s a strategy that sounds good – but is actually more likely to result in a lower price! And here's why. The first few weeks a property for sale is on the market is when it will have the most activity, particularly on the Chas Everitt and associated websites. If a property is overpriced, it has to compete with others at that higher price level, which are almost certainly larger or have more features, or a better position.
An overpriced property is unlikely to attract any interest of more importantly, offers. Those first weeks in a multi listing network are also when estate agents preview the property. If it's overpriced, they may not even bother to show it to their buyers, or buyers who do view it will draw comparisons to better priced properties they view in the area – and buyers buy by comparison.
Eventually, the seller will have to drop the price – and may end up with an even lower price because buyers will wonder why the property has been on the market for so long and may factor that into their offer. A Chas Everitt CMA provides a quantifiable method for arriving at a selling price that takes the local market vagaries into account.
Q. What is meant by the term "subject to” in a sales contract?
A. Sales contracts typically contain several "subject to" clauses, or stipulations that the sale is subject to. For example, with a bond, if the buyer is unable to obtain financing within the specified timeframe, neither the buyer nor the seller is required to complete the purchase. Amongst other common provisions in the "subject to" section there may be a provision where the purchaser needs to sell their current property first.
Q. What is an “escape” clause?
A. An escape clause is a provision that allows the party to void the contract. For example, the seller may retain the right to look for a more favorable offer, with the original purchaser retaining the right, if challenged, either to firm up the first sales contract (such as by waiving a condition) or to void the contract.
As another example, sellers might insist upon an escape clause in a contract that hinges on the buyers' selling their own home.
Q. What is my property worth?
A. A pricing strategy that is sensitive to the prevailing property market trends is most likely to achieve the best end result. Pricing your property for an optimal result relative to market conditions is a mix of both science and art, and Chas Everitt Estate Agents put considerable effort into this critical task.
Determining an attractive initial listing price is vitally important, because properties almost always gain the most attention in their first two weeks on the market. As you can see on the chart below, pricing greatly affects the number of buyers you will attract.
To start with, your Chas Everitt Estate Agent will thoroughly research comparable homes in the relevant area. They will advise you of recent sale prices and how similar homes are priced right now, and even review properties that didn't sell and were taken off the market. Location, property size/features, style, age, physical condition, features & recent improvements/additions are all important in the market and will all be considered in the assessment of your property’s value.
To analyze the data, the Chas Everitt Group has developed a unique Comparative Market Analysis (CMA) system. It goes beyond the capabilities of a typical Comparative Market Analysis (CMA) by breaking properties down to square metre rate to allow for true comparatives, even when there may be large variation in property types in your area.
With this Solution, your Chas EverittAgent can use the many market influences that impact price – including supply of homes versus demand, how the local market is faring, and traditional appreciation rates, which all help you determine the best asking price for your property.
Marketing your Property “Chas Everitt” style
Q. "What does it take to get the buyers?"
A. The process begins with getting to know you and your home. In an initial listing meeting before you commit to hiring a Chas Everitt Agent, they will take exterior and interior photos, examine the property, and assess your home's best features. The Agent will also ask about any improvements you may have made over the years and listen to whatever concerns you may have. Your input is critical – nobody knows the property and its benefits like you do!
Everything our Agent learns will go into creating a customized Chas Everitt International Property Group marketing plan, discussed and agreed with your needs in mind that will provide you with a clear idea of what will be done to attract the most potential buyers to your Property. Your Chas Everitt marketing plan will include such features as:
- Detailed marketing activities
- Schedule of Showhouses hosted by your Chas Everitt agent or their marketing assistant/s
- A list of Chas Everitt International Property Group print materials & websites that will carry the ads for your home
- Promotional Chas Everitt materials to hand out/mail/email with photos of your property and its features
- Unique Chas Everitt International Property Group Solutions© initiatives
- Follow up and Feedback methods
- Once you list with Chas Everitt, your Agent will immediately start putting the marketing plan into action to help you achieve the fastest sale, with the least hassle, in the best possible price.
Have your questions answered by Estate Agents that specialize in your specific area.
Q. Do Chas Everitt Show Houses Work?
Did you know that almost 3 of every 4 property buyers visit at least one show house?
Although not everyone decides to hold a showhouse, at Chas Everitt we strongly recommend that you do. Our commitment to our Show House programme and Show House Bonanza programmes has turned it into an exceptionally powerful national marketing technique. Chas Everitt showhouses lead directly to many successful home sales each year.
Chas Everitt International Property Group holds more showhouses than most other agencies because we understand how to make them work so well for our clients.
We have learned that what's done before and after the showhouse are just as important to selling your property as the showhouse itself!
Chas Everitt Showhouse Preparation:
- We use all and every method to get customers to attend.
- Internet and newspaper advertising
- Direct mail
- Database telephone calling
- SMS buyer programmes
- The ever present Chas Everitt For Sale signs – our “silent salesperson”
Chas Everitt Showhouse Hosting:
- We don't just "show" the property, we sell it to prospective buyers.
- We explain your property’s benefits using detailed and professional showhouse brochures
- We emphasize its affordability and correct pricing
- Our agents know and can advise on competing listings to compare your property in the best light
Chas Everitt Showhouse Follow Up:
- Contact every visitor who signed your guest list usually with a phone call within 24 hours
- Ongoing contact with all interested parties
- Feedback to you the Seller on price acceptability and Buyer comments
Marketing Your Property to the Right Buyers
Q. "What happens after I get an offer?"
A. When you receive an offer, you'll be excited. If the offer is a little low, however, you may want to counter that offer, and that's where the negotiating skills of your Chas Everitt Agent will come into play. Rest assured that Chas Everitt Agents are well trained in the techniques and psychology of negotiation and can negotiate on your behalf with your best interests in mind.
Remember to keep the emotion out of things if the buyer counters your own counteroffer – its their right and its part of the buying ritual! Always consider your next move carefully before reacting. Often introducing an issue other than price can be a deal maker. For instance, your Agent may suggest to the buyer that while your price is set, you could accommodate an earlier moving in date.
Your Chas Everitt Agent can help you get favorable terms as well. A flexible or delayed occupation date, for example, can give you the time you need to purchase another property. By the same token, an early occupation date can have real financial benefit if you've already bought another property and need to move quickly to avoid being burdened with two bonds.
When you receive an offer, or if multiple offers come in, you also want to look at how "solid" the offer(s) is/are. Your Chas Everitt Agent will assess the offer(s) by weighing crucial issues up on all of the offers you have to assist you in making the right decision. Sometimes the highest offer is not the best offer.
Author: Chas Everitt