5 questions a seller can expect from buyers

If you’re selling a home in the new year, and haven't done so for a while, here are some questions that buyers will often ask me about the property. 

What is the price guide? 

While we can’t give an exact asking price – because ultimately, the market sets the price – potential buyers will quite rightly wish to know if they are in the running or not. 

The short answer is that ultimately the price is what someone is willing to pay – every property is unique. 

Whether you are buying or selling, you can and should do your own research into comparative properties, meaning those of a similar size, condition and location, to give you an idea of where the price might land. But there is no way of knowing what a home is worth until the property sells under the hammer or a price is agreed by negotiation.  

Having said that, as someone who has sold properties in the Northern Districts for many years, I can give a realistic price guide and back it up with recent examples. 

Are there any issues with the house I’m buying? 

As an agent, I believe it’s always better to be upfront about any issues a house may have when talking to buyers, as they will turn up in the building inspection anyway, or during a buyer’s own research. 

I always encourage my clients to have a building and pest inspection done, as this way we are ahead of any problems the property may have and if there are repairs to be made, they can be done prior to going to market. If there are any issues, being upfront with buyers about a home’s shortcomings is the best way to help buyers understand the home and instill confidence in the buyer. That way, when they receive a copy of the building report there are no surprises for them.

If a buyer really likes a particular property, they will be prepared to work around its issues, and in my experience, being upfront from the start makes it more likely that the sale goes through. 

The property passed in at auction. What happens now? 

The most transparent way to purchase property is via auction, and for buyers, this means they’ll know on the day exactly who their competition is. Currently in Sydney, clearance rates, or the number of homes that sell at or before the auction, are sitting at around 60%. But what happens if the property is in the other 40% and doesn’t sell on the day?

When a property passes in at auction, the agent has up until midnight the day of the auction to put a deal together, otherwise, the sale is converted to a private treaty. This means your buyer can purchase it under a five-day cooling-off period, with a deposit of only 0.25%.

The selling agent must also let the buyer know if the final bid was a “vendor bid” or a live bid from a purchaser, and what it was. So if a home is passed in at auction, it means that the selling agent will start negotiations with bidders (including any new ones that turn up.) Statistically, a contract will be signed within two weeks post auction. 

How long is the settlement? 

Prior to auction, a buyer can negotiate the terms for settlement. Ie: they can ask for a shorter or longer period of settlement, which has to be approved by the vendor. If selling in the current market, with fewer homes to purchase, you may request a longer settlement period to give yourself more time to find your next property. If you do find a home sooner, the settlement date can be moved forward as long as both parties are happy. 

Can I see the home again before settlement? 

Buyers are allowed to have a final inspection prior to settlement to ensure the home is in the same state as it was when they first saw it. They can also ask for access prior to the property to take measurements, but the seller is not obligated to allow this. If, however, you don’t mind, it can be arranged with the agent. 

Are you thinking of selling? 

Selling a home can be stressful, and a big part of my job is carrying some of that stress for my clients and anticipating any issues well before they arise and helping get buyers across the line. If you have any questions about selling in the Northern Districts, reach out to Page&Co today.