The basics of selling your home
Selling a home can be a complicated process, especially for those who have never done so before. While real estate professionals are there to guide sellers through every step of the way, having a basic understanding of the process can help homeowners prepare themselves for what lies ahead.
Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, says that selling real estate is likely to be one of the biggest financial transactions a person can make, so it is vital to get it done right. “Never be afraid to ask questions if you are feeling uncertain and lean on the advice of trustworthy experts in the industry to make sure the process runs smoothly,” he advises.
To help first-time sellers get an idea of what to expect when selling their home, RE/MAX of Southern Africa shares the outline of how most sales should run.
Step 1: Start budgeting
Most first-time sellers forget to budget for the upfront expenses that go along with selling their home, which can add up to a significant amount. Before placing the home on the market, build up some cash reserves to pay for things such as your compliance certificates and any resulting repairs, rates clearance certificate (which is three months municipal rates paid upfront), and bond cancellation fees (if there is still a home loan in place).
More on why sellers need to be financially fit
Step 2: Choose a Reliable Agent
The key is to find an agent who knows your area well and can tell you what properties in your area have sold for – not just what they’re marketed at. Do not simply partner with the agent who gives you the highest asking price. Setting the price too high can hurt your chances of selling and is likely to result in a much lower asking price than if you had marketed the home at the right price from the outset. Instead, choose somebody who you know is the best at what they do, who is trustworthy, and who cares about your needs.
Find a real estate professional
Step 3: Allow the marketing to begin
After choosing an agent, the marketing begins. It is advisable to get the home in tip-top shape before listing photographs are taken. The agent might recommend the use of a professional staging company and might offer some advice on what needs to change to ensure that the home is as appealing to potential buyers as it could be. Each time the agent arranges to bring buyers around, make sure the home is tidy beforehand and lock any valuables away.
More on why doing repairs before listing your property is advisable and more on how to stage your home
Step 4: Accepting the Right Offer
Once the offers start rolling in, it is important to consider each Offer To Purchase (OTP) carefully. Once signed, the OTP is a legally binding sales agreement that cannot be broken without involving penalties. A good agent will negotiate the best deal on your behalf and will walk you through any suspensive conditions the buyer might have put in place. Usually, the offer with the least amount of conditions and with readily available finance in place will lead to the least complicated sale process and is, therefore, usually the most appealing.
Step 5: Transfer & registration process
The last step in the process involves quite a lot of back and forth between the transferring attorney, bond attorney & deeds office to transfer the home out of the seller’s name and into the new buyer’s name. This whole process usually takes around three months but can happen quicker depending on how busy the deeds office is and how complicated the sale is.
Find out more about the property transfer process here
“Even after your home is sold, you never know when you’re going to need real estate advice. Good real estate professionals can offer a wealth of useful information, from referring reliable contractors to suggesting a great community initiative to support. If you’ve chosen a good agent, the process of selling can actually feel quite seamless. Take your time choosing an agent, because the ease and success of the rest of the process hinges around this decision,” Goslett concludes.
