Quick steps to selling a home in the UK
Selling a house can be a difficult and time consuming process. This process can be made all the more difficult if you are selling your house while trying to purchase a new place to live. Here are some quick tips to make the process easier.
1. Consider whether or not you actually want or need to sell your house.
People often sell their homes due to external factors such as divorce or a death in the family. Although circumstances may make selling a necessity, consider the following points and ideas before making a decision.
- If you are looking for a place with more space or newer conveniences, have you considered an extension or a remodeling ? If not, it could be a comparatively easier option
- Depending on your situation you may find that renting your house or converting it into an Airbnb might be a more profitable option
- Can you afford to sell? Are you in negative equity?
If you have considered all your options and have decided to sell your house, congratulations you have passed the first step.
2. Figure out your finances
- How much is your house worth? This is a question that can be answered through hiring an estate agent, or by using numerous online appraisal services.
- Next you should contact your mortgage lender and notify them of your intention to sell your home. Remember to ask if there are any early redemption penalties.
- If you are considering buying a new home you will also need to inquire into the mortgage on that property.
Note: At the early stages you are dealing with approximates
3. Reconsider your third option: renting.
You should consider renting out your current property rather than selling it. Furthermore you should consider renting a property rather than rushing into a new home you’re not happy with. Renting will help you avoid:
- Selling your house at lower than market value because you found your dream home
- Buying a less than ideal house because you received a good offer on your previous home
4. Decide ‘who’ will sell your house. In this you really have three options:
- Hire a local estate agent (or several estate agents). Choose estate agents according to how quickly they sell homes and how high their rate is. It is best to choose estate agents with personal recommendations from friends
- Your next option is online estate agents. It is worth reviewing what this increasingly popular option has available
- Finally if you are confident in your abilities and want to save money you can sell your home by yourself. This option is not for the inexperienced!
5. In regards to other personnel, you will also want to hire a conveyancer or solicitor
- If you have chosen to use an estate agent they will likely have one they can recommend
- As with your real estate agent, it’s best to contact several and compare rates
- Again, do not be afraid to ask friends for recommendations
6. Now that you have decided who will sell your home it’s time to settle on a price
- Know your market and look through local real estate catalogues. Which house is most like yours? Remember that location is often as important as quality of construction
- Discuss prices with more than one real estate agent. Your price is probably the average of several appraisals
- Consider using an online house appraisal system
- If you are not moving in a hurry, look into possibly upswings (or downturns) in the real estate market. If it looks like you could make more money by waiting, it is something you should consider!
- Be ready to negotiate. Expect to receive 5-10% less than your asking price. Plan for this and you will still make the amount of money you want.
7. Now that you have settled on who will sell your house and the price, it’s time to prepare your home for a move.
- Clean clean clean! You want to present the best version of your property on its best day
- Don’t be afraid to make small repairs. Many of us don’t want to spend money on a property we are selling, but it could be a quick investment!
- Use the standard tricks: bake something in the oven, make a fire, light some candles. Make your home looks as comfortable as possible during viewings
- Remember that presentation of your house is crucially important during these stages. A well presented house can increase the speed of sale and even the value of your home!
- Fill out the forms: you will have numerous forms to fill out informing potential buyers about your house. Ask you estate agent and solicitor which forms your need specifically.
8. Now that you have everything prepared; bread in the oven and estate agent hard at work, it is time to sit back and wait for an offer!
- Your estate agent will pass all offers onto you! Some may be ridiculous
- Don’t be afraid to turn down offers that don’t suit you
- Likewise you can ask your agent to increase the price of your house if the demand allows
- Congratulations, you have received an offer! If you choose to accept your estate agent will take the home off the market
- If you receive a higher offer later on, you can simply withdraw from the deal
9. Congratulations! You have a buyer! Time to negotiate aDraft Contract
- Time to decide the length of time between exchange and completion
- Any discounts due to problems with the house
- What fixtures and amenities will be included and their respective costs
10. It’s time to exchange contracts, this means you’ve finally sold your house!
- You are now legally committed to sell your property, likewise the buyer is legally committed to buying it
- Be careful! If you drop out now, you will have to return your deposit, and risk being sued.
11. Now it’s time to move out. Check out our quick tips to moving house here!
Once everything is in order. It is time to complete the sale. Typically you and the buyer will meet at midday and exchange keys. Your solicitor will then register a transfer of ownership with the land registry. And with that you have sold your home!
Image source: Jonathan on Flickr