A Crash Course On Selling Property Part 2
In ‘Part 1’, we discussed five steps to consider if you are interested in selling your house. Here are other things to keep in mind during the sale process:
6) Accept and negotiate
I have two rules when considering offers: First, no matter how much you need the money, don’t take the first offer you’re going to get. It’s always prudent to set a timetable that will allow you to entertain other offers so you can compare and select the best deal available to you.
Second, if you get an offer which you really don’t like, reject it right away! This saves time and effort for you and the interested buyer. On the flip side, if you get your hands on an offer too good to be true, accept it right away! You never, ever let a good deal go to waste.
Suppose you find yourself in a situation where a higher offer was given after you’ve already accepted a previous one. What do you do? Can you accept both? No. But you can revoke the acceptance of the first offer and accept the newer offer instead.
After accepting an offer, the next phase of process is negotiating the contract. Many property investors often associate negotiations with the house price. This isn’t always true. Other issues which have to be negotiated are length of time between exchange and completion and other areas for possible discounts.
7) Drafting and exchanging contracts
Real estate contracts usually contain the price and the terms negotiated by the two parties.
Before signing, however, you have to exchange contracts with the buyer first. This exchange means that you, the seller, is now committed to selling to the buyer, while the buyer is also committed to buying your property for sale. Beware on violating this rule, because it will lead to lawsuits and the deposit being returned to the buyer.
8) Move out!
Now that you’ve signed a contract selling your property to another person, you have to prepare to move out! Clean out the property as much as possible, but don’t forget to leave any furnitures or fixtures included in the contract.
Try to do the clean up as early as possible, but you may still stay in the house until the day of completion. On this day of completion, the money is transferred and the deeds of the property are transferred between each side’s solicitor or conveyancer. This is also the day when the parties inspect the property if it’s in the condition agreed upon in the contract and ready for the buyers to live in.
9) Settle the rest of your obligations
Remember that the buyer transferred the payment to your solictior during the day of completion. It’s now the solicitor’s job to pay off the mortgage for you. After that, the solicitor will send you an account, covering all their costs and disbursements, as well as the sale price of the house and redemption of the mortgage.