Volume 2 Your guide to selling property.
Contents. Welcome 04 Sale methods explained 06 Navigating the costs of selling 08 Selling essentials 10 Creating impressions that last 11 Reaching international buyers 12 Selling for the right price 13 Navigating the sales process 14
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An important introduction Selling your home or investment property is an exciting journey, and we’re here to make it as smooth and successful as possible. We understand the nuances of the selling process, and our local experts will provide you with personalised support every step of the way, tailoring our approach to your unique circumstances and needs, no matter the market conditions. This guide is designed to be your trusted companion throughout the selling process. From preparing your property for listing to negotiating the best possible price, we’re here to provide you with expert advice and strategies tailored to your unique needs. With Belle Property by your side, you can feel secure in the knowledge that you have a team of professionals dedicated to your success. Our commitment Belle Property is built on the strength and quality of our people. With over 180 offices nationwide, we’re deeply embedded in local communities, giving us unmatched insight into market trends and buyer preferences in your area. Our extensive network allows us to connect you with local buyers and tap into a global database of over 3 million additional potential buyers, ensuring maximum exposure for your property. We’re here to help Our real estate experts are trusted advisors and expert negotiators committed to helping clients achieve their property goals, easing any associated stress and uncertainty. To arrange a complimentary property evaluation or to learn more about selling, buying or leasing, visit belleproperty.com to contact your nearest Belle Property office for personalised assistance. Welcome. 5
Auction Auctions foster a competitive environment among qualified buyers. Sellers have three opportunities to leverage market strength: selling before the auction, at the auction itself, or after. One significant advantage is the absence of a price ceiling, which encourages competition and often leads to higher price outcomes. Off-market Off-market sales involve inviting qualified and motivated buyers to inspect the property before it is publicly advertised. This exclusive approach can find a suitable buyer for the property saving spending on advertising the property and provides an opportunity to gauge market response and estimate pricing expectations. Off-market sales are becoming increasingly popular due to their cost-saving benefits and privacy. Private Treaty Private treaty sales publicly advertise the property with a set price based on market research. Potential buyers can submit offers on the property, with all offers presented to the seller. This method allows the seller to maintain control and flexibility in the negotiation process. Expressions of Interest (EOI) Expressions of Interest (EOI) are commonly used for unique or challenging-to-price properties. These properties are advertised without a disclosed selling price, inviting interested parties to submit their offers. This method enables sellers to gauge market response, gather feedback, and evaluate pricing expectations before deciding on the most suitable course of action. Sale methods explained. There are four main methods for selling property, each with its associated costs. These methods include auction, private treaty, off-market and expressions of interest. 6
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Repairs and renovations Minor repairs can enhance appeal, but costly renovations should only be considered if they likely increase your selling price. Your agent will recommend what repairs or renovations offer the best return on investment for your sale. Property marketing A comprehensive marketing strategy to advertise your home may include photography, online listing, print media, signboards and social media promotion. Your preferred strategy and campaign duration will determine the total cost. Styling and staging Professional styling or staging can showcase a home or investment property’s full potential and can significantly enhance the property’s appeal and attract more competitive offers. Costs vary based on property size and furniture requirements. Agent fees Agent fees, or commission, are the fees paid to the agent when they sell your property and can come in various forms: • Flat fee: a predetermined amount paid to the agent regardless of the final sale price • Percentage: a predetermined agreed-upon percentage of the final sale price • Tiered: a structure based on the agent’s performance with an incentive to secure the highest possible final sale price Auctioneer Selling via auction requires a skilled auctioneer to cultivate an engaging atmosphere and instill a sense of urgency, prompting buyers to bid competitively. Fees vary based on the auctioneer’s expertise, property characteristics and location. Navigating the costs of selling. 8 Understanding the costs associated with selling property can help you effectively plan for the sale. Costs vary depending on the property type and may include any of the following fees.
Conveyancing A conveyancer is required to oversee the legal transfer of property ownership. Conveyancing costs vary based on the property type and complexities of the sale. Lender fees Exiting your home loan contract post-sale may entail early exit fees (for contracts entered before 1 July 2011) or administration, discharge, or settlement fees. Ask your lender or mortgage broker to find out what fees may be applicable. Taxes If you’re selling a rental property, you may be subject to Capital Gains Tax (CGT) on any sale profits. Consult the Australian Taxation Office (ATO) or your accountant to understand your tax obligations. 9
10 Put your best foot forward • Touch up scuff marks, tighten loose fittings and fixtures, and replace outdated minor fittings • Wipe down benches and surfaces and give the kitchen and bathrooms a once-over • Open blinds and windows to let in some light and air • Mow the lawns, weed the garden and clear entranceways - properties with attractive curb appeal tend to receive better appraisals Prepare supporting documents • Original and current floor plans, building plans or proposed works (including Strata-managed residences) • Details of work completed on the property, such as renovations or feature improvements Relax • Factors outside of your control, such as location, size, or views, may inform an evaluation, so don’t lose sleep over the process. Your agent is there to guide and support you in your selling journey After your property is appraised, it’s important to take on any feedback and make any appropriate updates to the property to ensure the best possible outcome for your sale. Your agent knows the strength of the market, what buyers are looking for, and what they see as the value of a property. Selling essentials. The first step in any selling journey is to understand the true value of your property and the current market. Here are our top tips to prepare for an appraisal:
11 • Declutter by removing excess items that are not functional or take up too much space • Depersonalise and remove personal photos or objects for privacy and buyer visualisation • Repaint with neutral tones to freshen up tired rooms or make them appear larger • Style uses accents of colour, décor pieces or fresh flowers to enhance the property’s appeal • Freshen by using carpet deodorisers, air fresheners and diffusers throughout the home • Clean all surfaces and windows, ensuring they are spotless, well-presented, and polished • Organise and tidy cupboards, shelves, and storage areas, including the garage • Maintain the exterior of your home by sweeping, dusting and de-cobwebbing • Replant any dying flowers or remove any weeds • Tidy pool and spa areas, ensuring they are free from cleaning equipment Creating impressions that last. There is something special about presenting your home in its best light when it comes to selling. The goal is to invite potential buyers to envision themselves living in your home, leave lasting impressions and foster an emotional connection.
Reaching international buyers. Your property needs to reach the right people, no matter the postcode. Here are our top tips to ensure your property reaches international markets. Choose the right sales agent Select an agent with experience marketing to overseas buyers and learn how they will market your property internationally. We’re proud and exclusive members of the global real estate portal Leading Real Estate Companies of the World (LeadingRE) and its luxury division, Luxury Portfolio International (LPI), which enables us to promote listings to buyers across 70 countries. Our network also includes offices with dedicated multilingual client services that foster cultural fluency and connect with overseas buyers via various online platforms. Ensure your property stands out Investing in professional photography and copywriting, as well as beautiful images and compelling descriptions, helps buyers connect emotionally with a property when they can’t physically inspect it. Embrace marketing technologies Transport offshore buyers into your home through interactive tools: 2D and 3D floor plans, virtual tours, property videos, and aerial drone shots. Sell the lifestyle People buy into the lifestyle a home and the surrounding area has to offer. Our agents will highlight nearby lifestyle offerings and amenities that may be attractive to out-of-area buyers, such as local schools, transport, cafes, restaurants, shops and more. If you want to get the best result from the sale of your property, then you need to work with an agent who can offer you exposure on an international scale. A good agent will understand where the demand for properties just like yours is coming from and how to get their attention. - Nick Boyd, CEO 12
Local market conditions Research neighbouring or similar properties that have recently sold and attend open homes and auctions to understand local demand and the market value of your property. Sale type Your chosen method of sale can determine a successful property transaction, but the goal remains the same: to get the right price at the right time. Pricing Though you can be in a seller’s market, it’s important not to overprice, as buyers can disregard a property even if the price is reduced later. Offers will be generated if priced at actual market value. Timing A high supply of similar properties can make it difficult to sell at the right price, so it is in your best interest to wait until the market improves. Selecting the right agent The wisest move you can make is to select an experienced real estate agent focused on building relationships, with exceptional negotiation skills. A good agent will be privy to off-market opportunities, have an array of marketing tools, possess an up-to-date understanding of current market conditions, and be skilled at attracting as many buyers to your property as possible to help ensure your property achieves your desired sale price. Selling for the right price. There’s more to consider when selling property than naming a price, advertising the property online, and accepting an offer. Here are five key factors that can affect the sale of a property. 13
Review the contract After accepting an offer, carefully review the contract and check the finer details to make any necessary amendments for your conveyancer to raise with the other party before signing. Contract signing Signing the contract is the legal step in selling a property. Both the seller and buyer must sign the contract, and once signed, it becomes binding. Once the contract is signed by both parties, the sale moves toward the settlement process, and both parties are legally committed. Cooling-off period (if applicable) A cooling-off period of 5 days applies to contracts for residential properties— this means if you’re not totally happy, you can cancel the contract during this time. The cooling-off period doesn’t apply if you buy at auction. The cooling-off period starts the day you receive a copy of the signed contract. If received on a weekend or public holiday, the cooling-off period starts on the next business day. If the buyer withdraws during this time, the seller must refund the deposit within 14 days. They may deduct a penalty of up to 0.25% of the purchase price. You can choose to waive or shorten the cooling-off period reduced if mutually agreed upon by both parties. Conditional to unconditional Your contract might be subject to certain conditions like: • whether you get finance • a successful building and pest inspection • if you can sell your existing property You must check to make sure these conditions are in the contract when you sign it, otherwise they won’t be legally binding. This is your responsibility. If you’re not sure about anything, ask your solicitor to check it before you sign. Once all conditions are met by the agreed-upon date, the contract becomes unconditional. Settlement date The sale contract will outline a settlement day or period. The usual time frame is 30 to 60 days from the date of the contract and can be negotiated between both parties. The buyer must pay all outstanding costs to ‘settle’ the property purchase at settlement. Navigating the sales process. Once an offer has been accepted and the conditions of the sale have been satisfied, the property becomes unconditional and is legally sold, the settlement period begins. Your agent and conveyancer or solicitor mainly navigate this sale stage. Still, it is worth noting the following in the selling process. 14
Prepare for settlement The buyer will conduct a final inspection of the property before settlement occurs. Your conveyancer or solicitor and bank representative will conduct settlement, exchanging the necessary cheques and documents. The settlement figures consider the purchase amount (minus the deposit), utility bill, and tax calculations. Complete settlement and transfer ownership Once settlement occurs, legal possession of the property will be transferred to the buyer, and keys will be released to them after both parties have received written consent. Selling property can be complex, but you can achieve a successful outcome with the proper knowledge and support. We’re here to guide you through every step of the process and help you secure the best possible result. 15
Contact. Contact your local office today belleproperty.com/agents-and-offices
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