Real Seller's Journey - Bianca and Christian Sell
Sold! The sale process
The mixed emotions that come with selling a house are those of relief, excitement and sometimes sadness at having to leave your home. On the whole it is a busy time as you plan to pack up one place and move to another.
When a property doesn't sell at an auction then you need to re-think your plan of attack. The first thing Bianca and Christian did was modify the price. 'When our place didn't sell at the auction we immediately re-listed with a for sale price.
'We negotiated with our agent and updated the wording in the marketing campaign to reflect the main detractor. In this case it was the fact the property didn't have a lift so at least it managed people's expectations,' said Bianca.
After making these changes the property sold almost immediately. 'We were relieved and excited when our place sold. We also felt a little disdained that we had to lower the price. It was a long process but we got there in the end,' said Bianca.
The first step in becoming a new property owner is to formalise the deal. You enter the process of negotiating a sale with the owner and real estate agent called a contract of sale. This is a formal contract where a vendor agrees to sell and a buyer agrees to buy. There are terms and conditions negotiated by both parties.
It is highly recommended to have a contract of sale reviewed by a lawyer or solicitor just to ensure there is nothing that can trip you up. Your lawyer or solicitor will also send the seller a list of questions to answer that include such things as asking which fixtures and fittings will be left when they move out.
In Bianca's case the buyer wanted a shorter settlement period so this was negotiated. Before settlement the property had to be cleared as the buyer was taking the keys early.
Once an offer to buy has been accepted by the owner, both the vendor and the purchaser sign the contract. At this stage the contract is considered exchanged. The buyer is granted a five-day cooling off period after exchange, although this can vary from state to state.
On the exchange of contracts the deposit must be paid and this is generally around 10 per cent of the sale price. The deposit is usually paid to the real estate agent who holds it in trust until settlement is completed which can be anywhere from 30 to 90 days. The balance of the sale price is paid at settlement.
Your lender will require insurance be obtained immediately upon settlement with the date of cover being the date of settlement. Building and contents insurance safeguards a financial institutions interest in the property as well as your own.
Bianca and Christian are excited to move on with their next project ' Now the house is sold we can finalise the building plans for the new house and get it underway,' said Bianca.