Selling Property in a Challenging Market

As the news stories about the woes of theof your property that are going to attract buyers
property markets continue to pile up in the media,and make it stand out from all of the other
more people are tempted to put their homes onproperties of the same type they will have
the market in the present climate to see if theyviewed already. If you have a huge kitchen, make
are able to sell 'at the top of the curve' and takesure it is clean and tidy but that people can see
advantage of the capital gains they have made inyou enjoy spending time in there, if the garden is
the past years of the property bubble.30 yards longer then the neighbouring properties,
While experts disagree over the size of themake sure it is tidy, the lawn mowed and some
market 'correction', or the length of any downturncolour and life are evident. You may even want
in the market that is likely to take place over theto demonstrate the its lifestyle possibilities by
next few months or even years, there is littleputting out garden furniture to show how it can
doubt that more people will be in a position wherebe used.
they feel under pressure to sell their property asA recent survey also suggested that spending a
quickly as they can. The danger is that in puttingsmall amount of money on refurbishing and
your property up for sale you will be temptedremodeling parts of your property can not only
into taking a much lower offer than you should,get you back almost the same amount of money
as well as the stress of dealing with demandingas the investment you put in, but will also help to
buyers.make the property stand out to buyers. Purely on
On the other hand, being unrealistic about thea monetary basis, it is said that a minor
value of your property, the motivation of yourremodeling of the main bathroom in a property is
potential buyers, and the market conditions couldthe best way to spend on the interior of a
lead to being stuck in a situation with a propertyproperty, with up to 100 per cent of the
that has been extensively marketed and still doesinvestment being made back on the property sale.
not sell, despite discounts to the price.Making your property ready for viewings is also
Some of the situations you may encounter overimportant. Some say that brewing fresh coffee
this period of toughening market conditions areor baking bread in the kitchen is the best way of
explored here, along with some possible strategiesmaking an impression on people viewing the
to help you sell your property at the right timeproperty, but nothing will stick in their minds more
and for the right value.than a well-presented, well cared-for home. The
Be Objective - This is particularly important whenmuch-vaunted 'kerb appeal' factor is very
you are selling your own home, rather than anyimportant in creating the right first impression and
kind of investment property, but it is vitallysetting the tone of the viewing. Pets and clutter
important that you are realistic and able to takeshould both be banished for the duration of the
the fact that agents or buyers may suggest youviewing, and if possible and necessary, you may
sell your property for less than you think it iswant to send the children and partner to the park
worth.for an hour while people are viewing the property.
This does not mean that you should just give inWhat you really want to create in a competitive
without a fight to the first offer that comesmarket like we have at the present time is a
along, when you are convinced that the propertylasting impression on potential buyers. If you can
is worth far more, but make sure your position islet each of your viewings leave with a sense that
backed up with solid facts. In market conditions asthey want to be in your property, and can see
they are at present, research in the local area isthemselves happy there, you have won half of
even more important, and can be the key tothe battle and will have a better chance of
making your sale successful. Check estate agents'sticking in their minds.
windows regularly to see what at price similarThink differently - Don't be afraid to do something
properties are on the market, as well as howa little different in marketing your property to the
quickly they move.buyers that are out there. Remember that there
Also, try to compare your property to otherare always people who are looking to buy
similar ones for sale in the same area, and be asproperty, even if there aren't as many as there
objective as you can. Essentially, these similarwere, or as many as you might want to see. In
properties are your competition for buyers, andfact, many buy-to-let investors are looking to
you need to know where your property stands inexpand their property portfolios now as they see
relation to them. Think about things like proximityit as a perfect time to buy the properties they
to schools, shops and leisure facilities on thewant, as well as a time when there will be more
positive side, and main roads, traffic black spotspeople who have to rent instead of buying
and industry on the negative.themselves and getting on the property ladder.
Knowing all of this, and listing where yourSome sellers will see this as the right time to look
property is stronger than most of the otherinto selling their property on their own, and not
similar properties on the market at the time, willusing an estate agent. Certainly the fees that will
allow you to price your property effectively andbe saved on any purchase are a welcome bonus,
realistically, as well as helping in its marketing. Theand perhaps that will allow you to be a little more
knowledge that your property has the bestflexible on your pricing than someone who also
gardens of the type, or has an extension as ahas to pay their agent a commission at the end.
utility room should allow you to bring out theSelling without an agent is not something that
advantages in the details as supplied by the agent,should be tackled without careful thought and
as well as helping you to sell the property whenpreparation however, as doing things wrong will
you are conducting viewings.waste time and money, and will ultimately make it
Aggressive buyers and tactics - One of thedifficult to sell the property later through an agent
biggest problems with selling with the currentif the independent route fails. Many agents will be
turbulent market conditions is that buyers will feelreluctant to take on a property that has been on
they are in a true 'buyer's market'. This meansthe market independently in the recent past, as
they will feel emboldened by the prospect ofthey will feel that it has been overexposed to the
being more sought-after than the property theymarket, and their chances of success are
are considering buying. Given this fact, buyers aretherefore diminished.
taking up some practices that have not beenEven if you are using a real estate agent to sell,
seen by vendors for a few years - some ofyou can still get creative with your own marketing
which are just a shift in the landscape andstrategy. There are some wild and interesting
relationship between buyer and seller, other whichideas of how you can bring attention to your
are a degree more unsavoury or even immoral.property sale, from having bumper stickers made
One of the biggest differences that sellers willup and taking out advertisements in local papers
notice in the current climate is the time factor.on your own. One of the more targeted
Buyers are now far less likely to be rushed intoapproaches works very well if your property is in
making an offer, or improving an existing offer asthe catchment area of a well-regarded school.
they will have the impression that you need themSome sellers have been known to hand out flyers
more than they need you. While this can be true,at the time when parents are arriving to collect
it pays to be prepared to wait for offers andtheir children, as they often know someone who
responses to come in.wants to move to the area.
Of course, this is a legitimate buying tactic in theIf your property is particularly attractive and
same way that in a rising market sellers are ablestands out from the crowd, you may want to
to make buyers wait for their responses to tryconsider holding an open house for potential
to make sure they would be prepared to movebuyers to come along. This is a particularly good
their offer upwards. Buyers will feel that byidea for desirable properties - it brings in
holding out on making their first or follow-up offer,interested parties to have a more leisurely look
they are sowing the seeds to make sure thataround the property and even to take a little
you are 'softened-up' for a lower offer thanmore time to discuss finer points with you
would otherwise be normal.personally, and if you are lucky it will also mean
Be aware in this situation of the research youthat they will see other interested potential
have done on the right price for your property,buyers arriving to look around and spur them into
and be prepared to stick to your guns - but notmaking a good offer.
too much. While it is quite fair to ask for a fairDon't panic! - Despite some of the media stories
price in negotiation, if you are completely inflexibleto the contrary, there are still properties that are
in the money stakes, you will scare off legitimatebeing bought and sold across the country, so
and fair buyers.there are buyers out there. They may not have
Once you have accepted an offer for thethe huge and easily-accessible finance options that
property, there are other things that buyers maywere available a year ago, and they may not be
now feel emboldened to do given the marketas willing to enter into a bidding war to get your
conditions. For one thing, the agreements forproperty, but they are still out there. A
fittings and fixtures may go on longer and bewell-presented, loved, realistically-priced property
more intense that you might expect. Again,will sell, as there will be a buyer out there who
buyers will feel that they are in a stronger positionwants it.
to demand that some of the items you wouldTry to be patient in waiting for viewings, offers
have taken with you remain in place or areand negotiations - not only will you find it stressful;
prepared to pay less than you want for them.you will also transmit a kind of desperation to the
In this situation you would be well-advised to trybuyer that they can use to drive your price down.
to keep the two issues separate, while the buyerIt is also a good idea to have a set of limits and a
may be keen to suggest that unless you moveback-up plan if the market turns out not to want
on the fixtures and fittings the whole deal couldto buy your property in the timeframe you have
fall apart. If they continue to be stubborn on thisin mind. Set a lower limit for offers that you will
point, and you feel that they are close to pullingaccept, a time limit that you want to lave the
out of the sale, there may come a time to makeproperty on the market. Should a sale not
a difficult choice. If you give in to their demands,happen, or the price you are offered is too low,
can you be sure that this is the only issue onconsider updating and improving the property you
which they will be aggressive, or will it be a signalalready have - either for you to continue to
to them that they can push you into a corner inenjoy, or for a fresh assault on the market.
any of the negotiations? Would you prefer toIf you need to sell quickly - Should you get to the
keep this sale, no matter how much you have topoint where you need to sell your property
smile through gritted teeth, or are you confidentquickly, there are a couple of options that should
in finding a buyer? There is no blanket answer toat least allow you to escape from a sticky
this, and each situation can only be judged uponfinancial situation. Sometimes these options are
your feelings at the time.looked down on by many in the industry, and
One of the more worrying trends in recentwhile they do offer opportunities to those
weeks has been the idea of buyers gazunderinginvolved to make money from buying your
sellers. Gazundering is a process by which buyersproperty cheaply, they can offer sellers a way
agree a sale price and put the wheels of the saleout and still give them some equity to play with.
in motion, only to demand a hefty discount on theAuctioning property in the UK has not really taken
property price at a very late stage, often justoff significantly, despite numerous efforts to
days before completion. The discount demandspromote it as a good way to buy property.
can be anything up to 20 per cent off the agreedSome properties are auctioned, and it is often
price, and sellers are left with the option of eitherrepossessed or probate properties that make up
giving in to the demands of their buyers or riskingthe lots. This can be a good way to make sure
losing their sale, the house they want to buy andthat you achieve a reasonable sale, so long as
causing the rest of the chain to collapse.you don't put an unrealistic reserve price and are
Some websites are deliberately promotingprepared to accept a slightly below market value
gazundering as a legitimate bargaining tool in theprice. If you are lucky enough to have two or
house buying process, and even go so far as tomore bidders who are keen to get hold of your
say buyers should have offers accepted on threeproperty you may get a higher price than you
different properties to maximize the chances ofimagine.
one of their gazundering attempts beingAnother option is to go to one of the quick sale
successful. Most people will see this as acompanies in the UK market, who offer a range
morally-questionable way of entering into a sale,on service to allow you to sell your home quickly
but be aware that there may be some peopleand get your money out in a short space of time.
out there who are willing to try it.Backed by the fact that they have cash
Make the most of what you have - Many of thereserves, these companies are able to offer cash
properties that are coming on to the market atwithin days to most sellers. They make their
the moment are quite similar - in some areasmoney from buying properties below the true
there are so many two-bedroom apartments formarket value, but that is the price you pay for
sale at the moment that sellers are dropping theirbeing able to get your hands on a significant
prices by up to £100,000 (approxamount of capital in a short space of time. For
$200,000) in order to attract attention from apeople who are in more dire financial straits, these
smaller pool of potential buyers than has beencompanies also offer 'sale and rent back' schemes
seen for some years.to allow them to get their capital out of the
In this situation, the best thing you can do is toproperty and still have their home to live in.
make sure that you have maximized the features