DO I ACCEPT A LOWER OFFER?
“ It is not a perfect planet by any means. It helps to think of the way of the world as a work in progress ….And one which is constantly changing, evolving & adapting; just as we ourselves must do in order to be successful.” The “Other “Michael Jackson.
Three Questions to ask yourself when selling your property:
It is essential to know where you want to relocate to. This is the first question you should ask yourself when you want to sell your property, as this is the main motivation to move.
To put your plan of action into place a time limit is needed. Do you have to start working in a new town? Do you have to have the kids enrolled into a new school? Or can you wait for a year or more to sell your home?
3. WHAT IF?
What will happen if you miss the deadline to sell your home and to move? Do you have a Plan B?
It is with the” What If ” that many sellers stumble into accepting lower offers than what they anticipated.
According to FNB Home Loans – June 2013, “ The prolonged lack of capital in the residential property market has made investment in residential real estate fairly unattractive compared to the earlier part of the last decade when house price growth was at much higher levels.”
ABSA- 1 June 2013 – declares a “continued low growth in household credit and mortgage balances” and that “House price growth is slowing down.”
Looking at the current financial and political situation with the Rand falling, petrol prices increasing and unstable labour problems in the mining and other sectors, sellers are cautioned to make sure that they take the challenge of change seriously when putting their properties on the market.
Richard Gray, CEO of Harcourts South Africa, says that you need to take a very business-like approach when selling and not to let your heart make the decisions. The home you own is an emotional attachment that grows stronger over time, and can be a serious obstacle when the time comes to sell. Few people can dispassionately and objectively value their homes. Most will over value the house.
It pays to employ the cool head of professionals in the form of an experienced agent to give you expert advice and an impartial perspective on how much your home is really worth in the current market.
But what do you do when you receive an offer that you regard as low?
1. Ask for the offer in writing so that you can read it in private and think it over in your own time.
2. Consider if the buyer is serious and if he is in the position to buy. Often a 100% bond sounds attractive, but in reality the banks are not forthcoming with the full amount.
3. Your agent is your go-between. They are trained to negotiate impartially and it is in their best interest to obtain the best price.
4. Be guided by your agent and consider making a counter-offer.
As any experienced agent will inform you : ‘Your first offer, is always your BEST offer.”
Don’t be hasty to reject any offer at the first sight, take your time and consider all your options. In the light of the current climate in the country, any offer is to be taken seriously. A small “loss’ now may be better than being stranded with a property that could be a “huge” liability in the future.
WE CAN HELP YOU:
Get it right in the first place. Let the property professionals of Harcourts Dolphin Coast help you to list at the right price, market your property intensively and bring you the offer that will be fair and in accordance to the market out there with as little stress as possible to yourself.
Contact us at : 032 946 2331 during office ours
Find us on www.harcourtsdolphincoast.co.za
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