Thinking of selling my property- what are my options?
If you are thinking of selling your house, it’s important to make sure that you choose the right way to achieve a sale for you and your property. Depending on how quickly you need to sell, and how cost effective you need your sale to be, will depend on which route you choose to take.
Our Property Conveyancing Solicitors would briefly explain that there are five common ways of selling your property. Read on below to see a clear explanation of each option.
1. At Auction- auctioning a property can be a very popular choice for those who are looking to get rid of the property quickly, or those selling a property that they do not live in. According to HomeOwners Alliance, you should expect to pay around 2.5% commission to the auction house for a successful property sale, and there may also be additional advertising costs. For some people, this would seem like a high price to pay. However, for some property sellers, this is the best option.
If you achieve a sale price of £500,000 at auction, you could expect to pay in the region of £12,500 in commission to the auction house.
The higher the value of your property, the more you can expect to pay, and the lower the price, the less you will pay. If you are considering selling your property at auction, you should make enquiries with at least three different auction houses to enquire about their fees for selling the property, how long this would take, and what price you could expect to achieve.
2. A private sale- selling a property to someone privately is another option that you may wish to consider when selling your property. For many, they may feel that they don’t know where to start with finding a private seller. However, if you have had interest in your property from a buyer directly, you may decide to agree a price with them and instruct our Property Conveyancing Solicitors to deal with the legal process of a property sale immediately.
This could be a good option for two main reasons: it may be quicker than trying to market the property with an Estate Agent, if you already have a potential buyer in mind, and you could save the costs of marketing the property with a third party agency. However, one thing to watch out for is whether the buyer can afford to purchase your property. Quite often, Estate Agents will ‘vet’ the people that are viewing your property, ensuring that they could actually afford to buy it. With private buyers, they may not have the funds in place or the ability to obtain funds via a mortgage. If this wasn’t discovered until further into your property sale, the sale could fall through and you may end up breaking the property chain.
3. Estate Agents- probably the most common option for marketing a property that our Property Conveyancing Solicitors come across is using an Estate Agents. See a full overview of the process, and how to choose an Estate Agents in more detail, here.
4. A house buying company- nowadays, it’s common to see advertisements for companies who purchase properties in cash. If you are already marketing your property with Estate Agents, you may find that you receive the odd letter from one of these companies, needing houses in your area between the value of XX and XX.
If you think that using a house buying company would be the best option for you, you should do research into the company online and read their reviews. If other people had good experiences with them, it may be the best option for you. However, if many people have found the company to cause them issues either during or after their property sale, you may decide that this isn’t a viable option for you.
5. Part-Exchange- Another popular option for many people, especially those who are purchasing a new build property, may be to part-exchange their current property, for a reduction in the price of their new home.
If this seems like your preferred way to ditch your old home, you should consider whether you will get the full market value for your property, or whether you may receive lower than the full market price.
You should contact the developer of your new home and ask about the options that they have available for new builds, and how much you could expect to receive for your new home. You should check that you will receive enough to cover any mortgage registered against your current property.
There are other ways of achieving a sale on your property, however, our Property Conveyancing Solicitors have outlined the most common ways above. If you are looking to sell your property, and would like to discuss how we can help you with your sale process of choice, contact us here.