Hi Guys,
I recently renovated my apartment in Springvale , VIC. I am planning to sell it now.
After discussing with a few real-estate agents I realized that for a property of 400K, commission + marketing fee would be around 10,000-14,000.
I was a bit surprise to see how expensive it is.
Is it a good idea to try to sell it myself ? if yes how come no one is doing it ?
purple bricks?
I went to look at a house being sold by purple bricks. Found it really hard to get information as when you call up you get a switchboard operator. An inspection etc is a minimum next day booking (even if agent is hosting an open that day). I was in the 24hr waiting period, drove past the property and saw agents car/ house open. Agent said it was sold before anyone has been through via online offer. He said it has reached its price. I would have paid $10-15k more at least, but agent wasn't interested. Morale of the story I would NEVER use Purple Bricks.
I think everyone has a similar story even with normal agents. I was willing to offer 13k more than the final sale price to an traditional agent but they didn’t even bother calling me back to tel me I’d been outbid. Agents just want commissions they don’t care at all about sellers.
The market is mostly rising, set your price $20k more than the agent suggests and wait until the market gets there unless you’re desperate to sell. If people offer you $20k under your price then you’ve got what you want and can accept it if you feel comfortable.
You can - list yourself or via purple bricks. But the thing is, property is generally worth enough, and each one unique enough, that a shrewd negotiator (or just dumb luck) can swing the price of a property maybe 5% in either direction, especially if they find the right buyer.
Is it a good idea to try to sell it myself ?
Depends, do you know how to prepare a Section 32? If not I'd probably get someone to do it for me :)
if yes how come no one is doing it ?
Not sure if it's still the industry acronym, but this type of thing used to be referred to as FSBO, so there are people out there doing it.
Question is, do you think a real estate agent will be able to get at least $10k more for your apartment than you could get privately?
More than likely, I'd say yes. A good agent will have prospective buyers on their list, run a solid campaign and hopefully get your top dollar.
I haven't used them, but if high commissions is an issue have you considered Purple bricks? Don't they run a set cost campaign?
10k extra is an extra 100 dollars assuming 1%. The agents won't bother.
If you shop around you should be able to get at or below 2% commission including GST in Melbourne. If that is any indicator for you if you are getting a good deal or not.
I would not try to sell my house privately. Get an experienced agent (when you meet with agents ask them how long they have been doing it for) a GOOD agent will definately get you more than their fees.
Their is a lot of legal things that the average person would not know about it and an agent will make sure you don't accidently break the law and end up getting sued.
The stubborn haggler, business man, avid researcher in me would want to try it myself but I bet a proper real estate agent could do better or near close to me.
After discussing with a few real-estate agents I realized that for a property of 400K, commission + marketing fee would be around 10,000-14,000.
Find an agent who'll agree to an asking price of 415k … they wont take the job, if they think it's unfeasible. They might even drop it after a few weeks, if they don't get enough interest.
At that point, you can list it your self for 400k.
Forsalebyhomeowner.com were doing Re.com.au listings for free for 6 months. Then approach a solicitor/ conveyancer and ask them what forms need to be done. Additionally, go to any open and say you want to put an offer in. Take note of what the agent does/ forms they give (ie,pics, plans, rates etc). “tweak" the offer form (ie cut off the agents company details) and photocopy. Print off a few photos, laminate and then stick over any corflute / sign you can find and stick it at the front. List your inspection times, arm yourself with offer forms and small versions of your photos/ house plan. Once you get an offer form back, go back to conveyancer to generate necessary forms (they only last a short time, so get offer first). Agree on a price, give forms, receive forms back, pass on to conveyancer. Buy yourself a bottle of champagne!
gumtree
;)
BTC obviously
You should list it on OzBargain
You can always offer REA a staggered % commission. ie: $350k-380k = 2%, $381k-400k = 2.1%, $401k-420k = 2.2%, etc.
I've done this successfully with an empty home in my spare time. Agents were asked to come around and appraise, none suggested home would get more than 1.1m, all wanted exclusive contracts, so bugger that.
Had solicitor prepare contract of sale, including all necessary searches and council docs.
Went to forsalebyowner.com.au, made an ad for $700 which appeared on Domain and RE.com.au, took my own pics with GoPro, added walkthrough video, had open house for 1 hour on 4 Saturdays with me and wife handing out contract and info about area from council, sold for 1.15m to a buyer who spend 1/2 hour examining, and simply passed contract to solicitor, who dealt with my solicitor.
Total spend was just under 10K, including repainting the entire house, getting gardener in, repairing random damage, ads and solicitors costs.
thanks mate, this gives me hope.
I will attempt it myself .
Not a big fan of real-estate agents anyway
Is it a good idea to try to sell it myself ? if yes how come no one is doing it ?
This a good question. I think its the same for vehicle owners who choose to sell to dealerships rather than do it themselves. Some sellers prefer the convenience and prefer not dealing with the numerous tyre kickers and the emotional roller coaster.
If you think there are heaps of tyre kickers who can't pony up $10,000 for a used vehicle then imagine how many that can't afford $400,000!
Selling a house is very different to selling your general household items on ebay, gumtree, facebook marketplace, etc. There are many more factors influencing the final price and I would recommend against testing it out for the first time with your own property. It would be a very expensive way to learn if you have not done it before.
I am in Nth side of Melbourne and found YPA is not charging 0 dollar for the month of July if u list property through them. Not sure how much truth in this though!!
thanks , but what is YPA ?
YPA are real estate agents. it is their trading name. google it :)
What could possibly go wrong…….
yes you can if you're free enough to host open house / inspections / dealing with calls
just pay 300-500 for piggyback agent listing on realestate.com