Selling your home or investment property – decoded
29 July 2016 Natalie Kokic Schmidt
Selling your home or investment property might seem a little daunting at first, but with the right information it can be a positive experience.
We have lots of clients at Badenoch Real Estate who get a bit lost in the process and hold off on taking any action.
If you want to sell, there are a few things that need to happen first. We wish it was just a matter of deciding to make a move and listing your property for sale that day. But, let’s be honest, it isn’t.
The process is hard because properties are worth so much to us. Not only do they hold monetary value, they can also be where we live, where we raise our children and how we know we’ll be secure in our old age. Our homes and investments are a huge part of our lives, so we want to sell them carefully, with the best possible result for you and your family.
In this article we have outlined those crucial next steps after deciding you’re ready to sell.
The first step is to get some friendly, professional advice on your specific property whether it is your own home or your investment property. At Badenoch Real Estate, we’ll conduct a formal appraisal so you are aware of the market value and selling costs.
We will go through all questions on your mind and answer them specifically for your property. These include:
- What is my property worth?
- What are the costs of selling?
- How do I list with you?
- How long will it take to get my property on the market?
- What conveyancer/solicitor should I use?
- How long is the sales process?
- Do I need to get any maintenance done prior to selling?
- Should I do any work to my property prior to selling or will I overcapitalise?
- Should I sell vacant or with a tenancy in place?
- Should I style my property for sale?
- What if the property does not sell?
- Is Auction or Private Treaty the best sales method for my home?
- Why is Badenoch Real Estate the best sales agency for my property?
After our appraisal, you can decide whether you want us as your agent. Once you’ve made the decision that this is the way forward, you then need to sign on the dotted line and give Badenoch Real Estate the authority to sell your property.
From this moment, we can get started on what we do best – selling your property.
When the contact has been returned we contact your nominated solicitor/conveyancer to begin organising the Contract for Sale. You cannot legally market a property in the ACT without one.
The Contract for Sale includes a Building, Pest and Compliance Report as well as an Energy Efficiency Rating Report. Badenoch Real Estate will organise this on your behalf. The cost of the report is refunded to you by the buyer on settlement.
If your property is a class A (apartment) then you only need to have an Energy Efficiency Report completed on the property. And yes, this needs to be updated each time you sell even if you already have an energy rating on your property.
The above process takes approximately two weeks to occur for a house and approximately three weeks for an apartment, the reason being is that the body corporate searches need to be included in the contract for an apartment.
What if your property is tenanted?
The process is pretty straight forward for a vacant home, but what happens if you have a fixed term tenancy in place?
Here is where it starts to get tricky. If your tenant is on a fixed term lease then you must sell your property with the tenancy in place. By law you can’t make a tenant leave prior to the end of their fixed term tenancy. The buyer must also honour the tenancy and take it on as part of their purchase. Sometimes this can make selling the home difficult, but it’s not impossible if you have the right agent. At Badenoch Real Estate we already know your tenants and your investment property. We can work out the best options for you.
If the tenant is on a periodical lease, month to month, then you must give them eight weeks notice to vacate. A lot of investors don't know this, but these are the rules.
When you speak to the staff at Badenoch, we’ll walk you through the process and talk to you about whether to sell vacant or not.
So what’s next?
Now that you know the process, call or email us so we can get started.
Just remember - the only thing you need to say is,’ I want to sell’ and we will do the rest for you. We will look after you, and do our best to make selling your home a positive experience and that little less stressful.