With high inflation costs, buyers wait to return to the market when interest rates drop. So, what is the best way to sell your house? We’ll explain all in this article.
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The best way to sell your house
The best way to sell your house is to sell it before you need it sold, so if you are thinking of downsizing next year, why not put your house up for sale now? Chances are that it may take another 6 months to a year before the sale concludes via an estate agent.
Other common sense methods that you might consider include:
- Offer an incentive for the buyer to complete – from a 5% gifted deposit to a completion cashback.
- Hire the best estate agent, then offer them an additional financial incentive to sell your home. Perhaps offer double the commission if they sell your house within a 3-month period?
- Prepare the legal pack and relevant warranty documents, such as planning permission, an energy performance certificate, a building regulations certificate and a management pack from the freeholder if you are selling a flat.
Is the housing market going to crash?
Even estate agents and property experts don’t know how the government will tackle housing issues or how interest rate rises will affect property prices. Quite a few banks in the US have faced financial difficulties, and if this affects UK banks, we could be looking at price crashes. For now, there’s quite a lot of uncertainty.
Mortgage interest rates
Mortgage rates could also be affected in the coming months, meaning bigger problems could lie ahead for potential buyers. While waiting patiently to hear more news and comments from the government, if you need to sell your home quickly because you don’t have time to wait months and need money in your pocket, you could save time by contacting us at Property Saviour.
Many property experts are worried about the falling property market as the Bank of England has raised interest rates 14 times in the last two years.
Lenders are less willing to take risks on some lower loan-to-value mortgages, such as those often enjoyed by first time buyers or buy-to-let landlords.
Property market is still slow
Although UK house prices are cooling now, the market is still sluggish.
How much is Stamp Duty?
The rate of stamp duty tax you pay depends on what price threshold your property falls into and where the property is.
Currently, there are different rates of tax in Scotland and Wales compared to England and Northern Ireland. It also depends on whether you qualify for stamp duty tax relief as a first-time buyer or must pay the surcharge because you are purchasing your buy-to-let or second home.
You can check how much Stamp Duty you must pay using the UK Government’s Stamp Duty Calculator.
Best and worst times to sell your property
Worst time – Winter
Unfortunately, December and January are the worst months on record for property sales, meaning if you need to sell your home fast, you could be waiting your fair share of time to see a return on your efforts.
Like the cold weather, most people shiver thinking about selling their home during December. It’s likely the hardest time to sell a house in most areas.
Best time – Spring
Spring is the best time to start marketing your property, with April proving to be the most successful month – however, as always, there’s no guarantee.
Many people receive a tax return in April, making more funds available for repairs and renovations. However, regardless of the potential tax return to help boost sales, April might not be the best month to sell your homes if the weather is still bad, and remember, competition is fiercest in April, so if your home is imperfect, it may be harder to sell.
Why are people selling their property for cash?
With so many uncontrollable factors to consider when selling your home, many sellers are now skipping the estate agent to get a fair deal for their house by accepting a cash offer.
According to the latest stats on Google UK, there are over 12,100 searches per month from sellers looking for genuine cash house buyers, and the trending demand for cash sales is only getting bigger.
So, aside from higher interest rates, what other reasons sellers are looking for a cash buyer? Let’s find out.
Little demand online
If you’ve already tried selling your house online and you’ve had no buyer has been interested, it’s unlikely you’ll see a rise in interested buyers or a quick sale. Your house could remain on the market for a number of months or years and still not see a sale or interest from online users.
There could be several reasons why these homes have not sold, ranging from unrealistic asking prices to the condition of the property – but needless to say, that estate agent has not delivered. This has given sellers increased motivation to sell their houses quickly, meaning they’ll instead look for other ways to sell their homes to cash buyers. Also, many estate agents will overvalue the price of homes to win instructions – and this does not necessarily mean a quick sale.
If you’re thinking of selling via an estate agent, we offer more advice on estate agents and their fees for you to consider.
The property could be unmortgageable
There are many reasons why you are unable to mortgage a property. These range from a defective lease, missing freeholder, neighbouring property being empty, poor property condition, property with sitting tenants, properties with squatters, properties with structural issues such as subsidence, dry rot or cracks within the property’s structure, and maybe non-standard construction.
This makes it nearly impossible to sell the property on the open market. Because 99% of the buyers rely on a mortgage to purchase the property, it is difficult to achieve a quick sale. This is why a cash buyer is in a position to move quickly. Sellers, of course, could move on with their plans. Key qualities include their ability to exchange contracts quickly. The property can be sold within 14-21 days with no delays.
If you have an unmortgageable property to sell, call us now as we’d love to buy it.
They may get let down by aborted sales
It is a fact that one in three sales fall through because a mortgage was not granted. Almost every estate agent will guarantee that the sale will go through, only to call 6 weeks later to say the mortgage lender won’t lend the funds. And the process of selling your property starts again.
There are a number of hidden costs that can quickly mount up to thousands of pounds. These include mortgage payments whilst your property is up for sale, council tax, insurance, utility bills, repairs and keeping an eye on the property if it is empty.
When selling for cash, sellers don’t need to worry about whether or not the sale will go through because the buyer can exchange contracts quickly within days. This means the seller can be certain that once contracts have been exchanged, they can relax, knowing fully well that the sale will go ahead.
Fraudulent online estate agents
There are some estate agents who pretend to be cash house buyers, offering sellers up to 87% of the value of a property. This is not possible or realistic. Unfortunately, these estate agents are not true cash buyers, and they will tell sellers that we have investors who will buy the property for “up to” 90% of the value.
Any seller who signs up for a 6-month contract will not achieve a sale after 6 months. Be careful, as the online world can be confusing, and it can be difficult to distinguish genuine cash property buyers from estate agents, so always ask them for proof of funds, details of their solicitors and how quickly they are in a position to exchange contracts. If there is any hesitation or talk of a contract to be signed, we suggest not signing up!
The no-stress way to sell your house
Instead of trying to navigate the murky waters of the property market on your own this year, please consider using the services of a genuine cash house buyer who specialises in buying property quickly – in any condition. Sell with certainty and speed using our we buy any house service.
Qualities that you should look for include proof of funds, giving you their solicitor’s details, and the ability to exchange contracts in 10 days or quicker! We guarantee all of the above.
If you are looking for real, genuine property experts with the human touch, share your thoughts with us. Our advisors at Property Saviour can help you, whatever your circumstances. Just call us on 0113 320 6700.