Selling a house can be a daunting task. Some of the questions which you should ask when you think about selling are:
- Is this the right time to sell?
- What is the value of my house and what do I do with the money after selling?
- What will happen if my house doesn’t sell at the price that I want?
- How can I do some research myself?
- How much should I pay as agent fees and marketing fees?
With so many knowledge based website available, we generally start by searching on our favorite topics. Now some of the information may be old and some may be relatively new.
Value of your house
The best way to figure out the value of your house is to search for properties sold in your area which is similar to yours and which has sold recently. Sometimes it is very difficult to find a property similar to yours, in that case you have to work with some logic and a lot of guesswork. In many cases, value depends on how the property appeals to its buyers.
Historical sales data is very useful and can be an indication of the value but is not a guarantee.Historical data can be acquired from published data but cannot be relied upon as market keeps going up and down.
Selling house in Australia is full of uncertainties. Best person to ask for advice is somebody who is local to your area and have closely watched and operated in your area for a few years. As a seller make, sure you talk to more than one professional and use your common sense to decide who is right and who is giving a sales talk.
The real estate professional who values your house the highest may not the always the best agent to hire. You have to judge it and be careful as it’s your house and it is very important that you hire the right person for the job.
Cost of Selling
Apart from the standard fees for conveyancing, search cost, rates and taxes etc. you also have to incur major expenses on agent fees and marketing costs. Cost of selling varies from state to state primarily because of different tax rates and agent fees.
The agent fees can be of two types
- Variable – Percentage based on the sale price
- Fixed irrespective of the sale price
You have to be very careful of the variable pricing, even a 0.5% can have a large fee amount (0.5% of $600,000 is $3,000)
Some of the other expenses you may have to consider are:
- Minor repairs and touch-ups
- Staging of your house
- Cleaning, garden upkeep and garbage removal
- Painting in some cases
How do you increase the chances of a successful sale?
This is probably the most difficult question to answer. The best answer would be to talk to as many people as possible about your objectives and choose the best possible option in your opinion. Don’t you wish you had a way to test the market before you decided to sell the house.