How to sell your Property?
There are different methods for selling your property and each have their advantages. This is why having the right knowledge and expertise to guide you is important. When listing your property, we will discuss each method and together decide on which best suits your property and your needs at the time. Options include:
Properties can be advertised with a specific price but still with room to negotiate. The benefits of this process are:
- It encourages both conditional and unconditional offers
- There is no time pressure on vendors or purchasers
- Purchasers are aware of your expectations.
Tender or Deadline Treaty
A tender is where all interested buyers submit confidential written offers by a set date. The benefits of this process are:
- The set time frame allows for due diligence including arranging financing but also creates urgency to generate interest and competition
- There’s no opportunity to claim the property is ‘overpriced’ – a tender is a bottom up strategy rather than setting a fixed price (top down) but potentially having to lower your expectations
- You can still make a counter offer once you have the tenders
- There can be a tender acceptance period (usually 5-7 working days after tenders close) during which time no tender can be removed from the process and vendors can consider all offers including whether to further negotiate – this is particularly important when multiple parties are involved in decisions such as family estates or farming companies
- Owners retain full control throughout and no prices are disclosed
A fast-paced, public sale where your property is sold to the highest bid, after the reserve price is reached. Auctions are:
- Highly effective at creating competition
- Usually has a short time frame to decide and then bid – so buyers are highly motivated to act
- One of the better option to extract a premium price
- Process is protected by the setting of the reserve price
- Sales are unconditional on the day – a 10% deposit is paid at the time and the settlement date is usually pre-determined
- Even if the reserve is not met you can still negotiate further with parties who have shown interest
This method sets a specific time frame within which purchasers must express their interest in purchasing the property. The time frame associated with this form of sale helps to keep purchasers very focused.
- The main difference between this and a tender campaign is that an offer can be presented and agreement can be reached prior to the closing date
- Marketing can be tightly focussed on a fast result
- Buyers are encouraged to do all due diligence prior to submitting an offer
- As with Tender or Auction, the vendor remains in control at all times.
- Offers may contain terms and conditions which include a settlement date to suit your requirements