Selling a property without an estate agent means that you are going to take on the marketing of your property. It also means dealing with potential buyers and a legal representative directly to achieve a sale. The benefits of going it alone are well documented and I am going to give you the one of the worst things a seller can do when selling a property.
Over Pricing Property
Probably the number one thing NOT to do when selling a property is asking far too much for your home. It has been said that estate agents often value a with inflated price in order to win a sellers business. i.e. sellers tend to go with an estate agent that thinks their home is worth the most. This can only serve to draw out the process and leave your property on the market for a long time. Some sellers over price so that they can negotiate down at a later stage. There is an element of truth in this strategy but over pricing means that many potential buyers will never see your home for sale. Buyers search by price and ignore those out of their price range.
The truth is buyers will always compare like for like and the Internet has made this process very easy. An over priced property stands out like a soar thumb! If a home is priced too low, priced under the competition, the sellers receive multiple offers to drive up the price to market value. The danger lies in pricing it too high and selecting your agent solely on opinion of value.
My Magic Formula
Competition between buyers drives up your price; whereas time on the market drives it down.
Valuing your property
The great thing about valuing a home is that its not rocket science and estate agents who come to your home are not experts either. Estate agent valuations are based upon their own opinion and knowledge of the local housing market. Owners who keep an eye on house prices in their area and who research the internet can price a home just as accurately.
Valuing a property online
Two of the best sites for online property valuations :
Enter a postcode or street into Nethouseprices to see which properties have been sold and for what.
Ourproperty stretches to 1995 for England and Wales (2000 for Scotland). You need to register, but it’s free.
You are in Competition
When you sell a home and put the property on the market you effectively enter a competition. The aim of the marketing exercise is to get as many people as possible interested in your home and to sell your property for what it worth
One of the main advantages of selling without an estate agent is saving money. Many sellers will price their home below the competition, as they do not need to factor in the agents fees. Imagine pricing your home up to 2% cheaper than the competition!