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7 Things To Consider Before Selling Your Property Privately

Thursday 24 February 2022, 6:59PM
By Your Property Solutions
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Selling your house privately is quite foreign for kiwis…. So first you need to find out if a private sale is right for you.

 

Because the last thing you want is to feel like you’ve made a mistake once you’ve signed the paperwork and everything is final.

 

So before you make any decisions, here are the 7 most common questions asked by our clients.

 

Who is a private buyer good for?

 

Ultimately a private buyer is ideal for a seller who needs a result. 

 

What do we mean by that?

 

Let’s say you have a new job opportunity in another part of the country, or you have some health concerns, or maybe your property is damaged and it’s time to move on. If you’re in this category you tend to be more time-sensitive and a sold house is your primary outcome… You need your house sold without any extra hassles.

 

Sadly, It's not all sunshine and rainbows, we have clients that deal with deceased estates, marriage breakups, and job losses. 

 

The truth is these things happen more than you think.

In 2020 alone there were over 7,000 divorcees, 30,000 deaths, and 37,000 people who lost their jobs. 

 

Where can these people turn to in the worst of times to get their house sold? 

 

So if you’ve fallen into the following categories...

      - New Job Opportunity

      - Health concerns

      - Deceased Estate

      - Marriage break up

      - Job lose

      - Downsizing

      - Or you just can’t be arsed with real estate agents

 

A private sale could benefit your situation.


Why choose a private buyer over a Real Estate agent?

 

Typically the costs involved play a major role in the decision-making process. 

 

A private buyer isn’t going to charge you a commission on the sale nor do you have to pay for any marketing. Real Estate agents' costs can vary from $15,000 up to $50,000 depending on your property. For most people, this could make a huge difference in the amount you will make when selling through a private buyer.

 

Secondly, the time saved throughout the process compared to selling through an agent can be significant. 

 

How? 

No open homes on your weekends, no 4-6 week marketing campaigns, let alone the multiple buyers that may or MAY NOT BE qualified to purchase your home.

 

Why is using a private buyer a good choice?

 

If controlling the outcome of your property sale sounds like the right thing for you, then

It could be a good choice. 

Fast decisions remove the opportunity of people waiting around to move on.

 

What can I expect when dealing with a private buyer?

 

Private buyers have the ability to offer all cash unconditional offers, this means there are no strings attached ie: not subject to…

 

-Bank financing  

-Insurance

-LIM title etc 

 

Which takes all of the risks out of the deal for the seller. 

 

In some cases a private buyer may require terms such as a due diligence period, or subject to LIM report. 

 

The best thing to do when dealing with one is to ask:

 

“Are you in a position to make an unconditional offer?”

 

As mentioned earlier private buyers are active in the marketplace and have a deep understanding of the market and property values. 

 

Essentially the private buyer will be making a logical decision based on data (not emotion).

 

Am I going to get more or less when selling privately?

 

It entirely depends on your property, the condition, and the area it’s in. 

 

If you can sell without an Agent taking a large portion of your profits then you could end up with more in your pocket. 

 

For example, if you sell your EQ-damaged house privately you won't get the full market value because of the structural damage.

 

The best thing to do is to consult with multiple private buyers & real estate agents when considering your options as no one size or formula fits all.

 

Do Private buyers buy outside of Christchurch?

 

Not all private buyers buy across the country so it always pays to google them and see what their website says.

 

But we certainly do.

 

My House is not EQ damaged. Will you still be interested?

 

Yes, we are interested as we buy property no matter the state or condition. It doesn’t have to be EQ damaged.

 

Our business is built off buying property, if we aren’t buying a property we are going backward! 

 

Summarize

Hopefully, by now you have a clearer picture of what to consider before you go into selling your property privately, always remember receiving an appraisal from a private buyer won't cost you anything so take a chance and give one a call today.

 

You might be surprised with what they can offer 


Billy 

 

Your Property Solutions

www.yourpropertysolutions.co.nz