The complete step-by-step guide to selling your property privately, but with all the help of qualified

Real Estate agents.

Name Surname

Join the revolution that is changing the face of Real Estate and save ten of thousands of dollars NOW.

Did you know?
1. Did you know you can sell your own home? 2. When you pay a real estate agent commission you are paying for all the properties that he or she doesn’t sell. 3. The average agent will only spend 20 hours to sell your home and you will pay them around $20,000 average, that’s $1000 per hour. Plus they make you pay for everything else. 4. Did you know a real estate agent is meant to represent you, however as their commission is reliant on selling your home, how can they have your interests in mind when it is the buyers money that the agent will eventually get as commission. 5. Did you know most agents ‘buy’ listing, they don’t pay cash but they inflate the price they tell you so you will list with them, costing you $$$$ in extra marketing alone not to mention time. 6. 80% of the decision to buy a home is made by the woman, the man will pretend that it is his decision but Men by cars and woman buy houses. 7. Some agents only tell you what they want you to hear, they have a financial interest in selling your property. At itsforsale.com.au we have no financial interest in your property sale and only give you REAL advice.

8. Real Estate sales people only sit a 5 day course to sell your property, think about that!

9. The public believe many agents are dishonest. This is incorrect. Many agents are more incompetent than dishonest. 10. Most traditional Real Estate offices award sales staff for most amount seller paid advertising, is this fair?

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Dear Mr/s Adress
The idea of selling your property privately isn’t new by any means. As a practicing Real Estate agent in 2002 I wanted to launch an agency that specialised in assisting vendors to sell their own homes. It took until 2010 for my vision to come into fruition as we needed the Internet to become a greater source of information with a wider reach in the market. These elements were critical in order for Itsforsale.com.au to enable vendors to achieve sale prices as good or better than Real Estate agents. Over the past 8 years our tea m have worked at Agencies like – Ray White, LJ Hooker, Harcourt, Century 21 in both residential and commercial properties, analyzing their systems and processes, waiting for the right time to launch our concept. We have all undertaken specialist training from some of the countries top Real Estate industry experts. Based on our knowledge and experience we have formulated a package that gives the average householder all the tools and knowledge required to successfully sell their property at a value equal to or higher than the Real Estates agents can. Itsforsale.com.au can support you every step of the way or let you run on your own. We always like to stress that while the basic package is good we recommend that you have some selling experience and ability. Compared to the commission of a conventional Real Estate Agent, the difference between our top and bottom packages will not even accu mulate to what they will want to spend on 4 weeks of newspaper advertising. Our business is all about Y OU – the seller. We give you flexible options never ever seen before in the Australian Real Estate market. Itsforsale.com.au can save you between 975% and 82.5% of what you would . traditionally spend with an estate agent and after your first consultation we will show you how you can transform those savings into additional profits on the sale of your home. Put simply; we will show you how to sell your home for more than an agent ever could. As you may be aware, there are other websites enabling private sales of property, some are good some are not. If you list your property on a website and hope for the best you are kidding yourself. We have spent the last 8 years identifying and formatting a process that ensures results and we want to teach this to you. This workbook aims to show you everything you can do to get your property sold without writing a cheque to a real estate agent for tens of thousands of dollars.

We have 2 core businesses
 Assisting owners sell property  Assisting owners lease property

Grab a cup of coffee and read through our valuable workbook and sell your home!

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Contents page Commission Rates by State_______________________________Pag 5 Identifying prospective buyers_____________________________Pag 6 Pricing your home________________________________________Pag 7 Time v Price_____________________________________________Pag 8 BUYER INTEREST v TIME_________________________________Pag 9 Identify the market conditions_______________________________Pag 11 Marketing Strategies_____________________________________Pag 12 Pricing your home_______________________________________Pag 14 Comparative Market Analysis______________________________Pag 15 Market Watch__________________________________________Pag 17 Pricing Strategies Guide__________________________________Pag 18 Contracts_____________________________________________Pag 20 Some common contractual conditions________________________Pag 21 Hosting Buyer Inspections/ Open Houses______________________Pag 21 Preparation___________________________________________Pag 22 During the Inspection_____________________________________Pag 23 After the Inspection______________________________________Pag 24 Handling Negotiations____________________________________Pag 25 After the sale is made_____________________________________Pag 26

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Commission Rates by State
ACT The commission amounts charged by agents in ACT are not set by law. You negotiate with the agent all the amounts of commission, fees or other expenses you may be required to pay. This is the ‘official’ line. Our research shows that real estate fees / agent’s fees /real estate commission in the ACT generally range from 2.5% in the city and metropolitan areas, increasing to 2.5% to 4% from the metropolitan area outwards and in some cases it is even higher. NSW The commission amounts charged by agents in New South Wales are not set by law. You negotiate with the agent all the amounts of commission, fees or other expenses you may be required to pay. This is the ‘official’ line. Our research shows that real estate fees / agent‟s fees /real estate commission in NSW generally range from 2% to 2.5% in the city and metropolitan areas, increasing to 2.5% to 3.5% from the metropolitan area outwards and in some cases it is even higher. NT The amounts charged by agents in the Northern Territory are not set by law. You negotiate with the agent all the amounts of commission, fees or other expenses you may be required to pay. This is the ‘official’ line. Our research shows that real estate fees / agent’s fees /real estate commission in the NT generally range from 2.5% to 4% and in some cases it is even higher. QLD The Queensland Government has set the real estate fees / agent‟s fees /real estate commission in QLD at a maximum of 5% for the first $18,000 of the sale price and 2.5% for the balance of the sale price. 10% GST is also payable. This is the ‘official’ line. SA All professional fees for all services rendered by members of the Real Estate Institute of South Australia are a matter for negotiation and agreement. This is the ‘official’ line. Our research shows that real estate fees / agent‟s fees /real estate commission in SA generally range from 2% to 2.75% in the city and metropolitan areas, increasing to 2.75% to 3% from the metropolitan area outwards and in some cases it is even higher. VIC The commission amounts charged by agents in Victoria are not set by law. You negotiate with the agent all the amounts of commission, fees or other expenses you may be required to pay. This is the ‘official’ line. Our research shows that real estate fees / agent’s fees /real estate commission in VIC generally range from 1.6% to 2.5% in the city and metropolitan areas, then 2.5% to 3% from the metropolitan area out and in some cases it is even higher. WA The Real Estate Institute of Western Australia does not supply any guidelines as to the level of fees that could be paid to a real estate for their service. Our research shows that real estate fees / agent’s fees / real estate commission in WA generally range from 3% to 3.25% and in some cases it is even higher.
Effective 1 July 2010 the following fees (including GST), are recommended by the Real Estate Institute of Tasmania but members are not bound by them. Where the purchase price; • Does not exceed $10,000 - 10.73% with a minimum of $100 • From $10,001 - $50,000 - $1073 plus 5.85% of excess over $10,000 • From $50,001 - $100,000 - $3413 plus 4.10% of excess over $50,000 • From $100,001 upwards - $5463 plus 3.88% of excess over $100,000 This is the ‘official’ line.

TAS

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Identifying prospective buyers
Who is likely to buy your property:
Buyer profiling is very important as it helps you to get your advert to stand out to the buyers you want to attract. The buyer profile should be at the forefront of your mind when writing adverts and talking to buyers. Not every property will suit every buyer. Think about what buyer will suit your property? To do this, have a realistic think about your property, if it’s a 2 bedroom unit then probably not going to be suited to a growing family, likewise if it’s a 5 bedroom house then it’s not going to appeal to retirees.

TASK:
Write down the best 4 features of your property and what type of buyer they suit. Features: Suits:
___________________________________ ___________________________________ ___________________________________ ___________________________________ ___________________________________

eg 4 large bedrooms

______________________________________ ______________________________________ ______________________________________ ______________________________________ ______________________________________

eg large or growing fa mily

From this information write a brief description of WHO might best suit your home.
Example ‘Small family with 1-2 young kids as the school is close by and it has enough bedrooms. This is probably a second or third home with the buyer looking to upsize. Or an investor as this suburb has a high rate of growth compared to others in the area.
______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________ ______________________________________________________________________________

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Pricing your home
Price is the most important thing when selling so we will briefly talk about it now and go into greater detail later in the guide. Being a home owner you will have a fair idea of what your home is worth, as it is natural to „keep an eye on the market‟ and it is in your best interests to do so. With an emotional or financial attachment to the property you may value the property too high or too low. We will show you what you need to know to make the right decisions in pricing and marketing your property and ultimately achieve the best possible price in the shortest possible time as well as the dangers of getting this wrong.

TIP

Don’t set your price until you read our ‘Selling Secrets Guide’ available when you engage our services

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TIME v PRICE
The graph below shows how a newly listed property has the best chance of selling for above market value if listed at the right price. Each week the property is listed the number of interested buyers decline and as price reductions occur so too does the price the buyers are willing to pay for the property. This is explained further on previous page and above. As the graph depicts, over valuing your property can have a large negative effect on the final selling price. As time passes and the price decreases the property has a risk of selling for below its market value.

TIP

Its not uncommon for a property worth $500,000 gets listed for $550,000 and eventually sells for $480,000. Don’t get caught like this, follow our guide throughout this booklet and sell for more sooner.

Dangers of setting your price too high
20% over market value

Listed Price

10% over 5% over 5% below

price
buyer interest level

fair market value

10

30

60

90

120

Days on the market

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BUYER INTEREST v TIME

REMEMBER Something is only worth the value that someone else is prepared to pay for it.

This graph shows buyer activity levels for a new listing, demonstrating just how important pricing correctly at the start is. When a new listing comes on to the market all the current active buyers will be watching, and to come onto the market with a strong campaign at the right price has two important benefits for the sale of your property: 1. It shows the market place that you are serious about selling and won’t waste the buyers time and; 2. It creates stronger buyer interest as the buyers will see the competitive price and for fear of missing out on your home you will quite often get multiple offers and be able to negotiate not only a better price but as importantly better settlement conditions. Figures put out by RPData shows that the days on market are wide and varied and range from 15 days in some suburbs to an average of 30 days in greater Sydney and Melbourne. However some overall averages nationally are up to 74 days, this fact should form a critical part of your marketing strategy which we will discuss later.

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TASK :
What price do you believe your property would be worth today? $______ . What date do you need to have this property sold and settled by? ______ /______ / ______ How many days is this? _________________ . (A) What do you consider the average time on the market is in your area? _______________ days. (B) Subtract A from B and you have ______ days. This is the a mount of days that (on average) you will have left after settlement to you absolute last day that you must move by. it is important to remember this as a sale may take a lot longer to complete then expected. Correct pricing is crucial in achieving your ideal price and also to maintain and keep in-line with your ideal time fra me.

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Identify the market conditions:
Lets look at this from the buyers point of view

Buyers Market: Definition

A buyers market is the opposite of sellers market. This is the time that many houses in a designated area are for sale. This means that supplies are higher than the demand, and this could entail a lot of good things for the buyers.

Buyers Market: Advantages for buyers

But how does a buyers market become advantageous to buyers? Here are some benefits of a buyers market: • A buyers market can give buyers the opportunity to choose. They would not want to live in a house that they don’t like, right? When there is a buyers market, they can take the time to look around so they can choose the house they like best. • When there is a buyers market, house prices are actually lower. The rise in the number of houses willing to be sold gives the buyers a chance to save money. Once a seller wants to immediately sell their property, the possibility of a bargain deal is greater. • Free house improvement is possible. Since a buyers market forces the sellers to compete with each other, sellers would probably repaint, renovate, or improve their houses to attract buyers.

Buyers Market: Guide

Although the buyers market offers a lot of advantages to buyers, buyers should not be lax. Here are some pointers that you can use if/when you become a buyer. • Check the reasons why a buyers/sellers market was declared in your area. • When you find the right house at the right price, decide early. A buyers market does not mean that houses could wait for you. Another buyer could grab the house, while you are still trying to make up your mind. • Take advantage of the Internet. If you don’t have the luxury of time to look for houses, check web sites that list houses for sale. There are sites that provide the information you’ll need before buying any house: price, house pictures, house description, size, etc.

TASK:

REMEMBER: that ‘it’s all relative to now’.

What market are you currently in in your area? __________ How might this effect your properties price? ___________ What do you think you could do to improve your sale time and price when you go to market? _____________________________________________________
______________________________________________________________________
In attempting to identify bubbles before they burst, economists have developed a number of financial ratios and economic indicators that can be used to evaluate whether homes in a given area are fairly valued. By comparing current levels to previous levels that have proven unsustainable in the past (i.e. led to or at least accompanied crashes), one can make an educated guess as to whether a given real estate market is experiencing a bubble. Indicators describe two interwoven aspects of housing bubble: a valuation component and a debt (or leverage) component. The valuation component measures how expensive houses are relative to what most people can afford, and the debt component measures how indebted households become in buying them for home or profit (and also how much exposure the banks accumulate by lending for them).

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Marketing Strategies:
Exclusive Agency This is the most common approach to property sales in Australia with one real estate agency gaining full control over the right to market and sell the property for a prescribed time.
You can still use your agent along with itsforsale.com.au just call us to find out how

TIP

The exclusive agency method is where the sale of the property is in the hands of only one real estate agent compared to an open listing, where the seller lists their property with a number of real estate agents. The Real Estate Institute recommends sellers use the exclusive agency method to sell residential property as it is the most effective. An exclusive agency is advantageous to the seller as the appointed agent will be dedicated to selling the property. It also saves the seller the confusion of having to liaise with more than one agent. Furthermore, this method will save the seller the time and money involved in advertising and marketing costs when a number of agents are trying to sell the property. Sole agency This is the same as an exclusive agency with the difference being that if the seller sells the property they pay no commission to the agent. Open Agency This method allows the seller to list with multiple agents at the one time, as well as being able to sell the property without paying any commission to an agent. Though this may seem like a good way to increase your exposure it is important to consider the fact that: 1. Open listings do not get the same attention from agents as their exclusives or auctions as they are not guaranteed the reward for their effort with an open home. 2. Agents end up working for the buyer and not you the seller. 3. Buyers will shop around all the agents listed, find the weakest negotiator and buy it from them. Auction Selling by auction is an exclusive agency agreement and is therefore subject to their terms, with the only difference being that the sale occurs with an Auction. By doing this you simply are putting in place a date and time in which you will be selling the property. Auctions are great for both buyer and seller markets: Buyers Market - Gives them a deadline to act, rather than procrastinating. Sellers Market - Gets the buyers together to compete at one time generally achieving a better result. With an auction buyers can still negotiate special settlement conditions however an auction campaign will generally weed out the ‘lookers from the genuine buyers. Can I sell prior to the auction: Many properties listed for auction are sold prior to the auction. This can be a very dangerous move and should be considered very carefully before entering into any negotiation to sell prior to the auction. Buyers will sometimes try to start the negotiation to determine your bottom line and motives. In some circumstances selling prior to auction could be the best option; however you should seek advice before doing this as you can destroy your whole auction campaign if not done correctly. If you are simply accepting an offer because it is in line with what you want, bear in mind, that if you got an offer so quickly from a cash buyer, what will the Auction be like if you held off? Would you be better off? What methods are most common in your area?

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Why do some people say auctions will get less money when I sell? Auctions do have enemies, but this is generally from lack of knowledge of the system and how it really works. At the end of the day if you list at a price will you ever get more then that price? With an auction, the price you set is the minimum you will accept; you don’t lose bargaining power as this price isn’t disclosed. Buyers will view your property based on its features rather than its price giving you a greater chance of getting buyers emotionally involved in your property and wanting that sale. The 3 stage Auction process. An auction campaign can be divided into 3 main stages: Current Auction clearance rates in Queensland are 23%*

*Source RPData

1. Pre Auction - This covers all the work leading up to the auction, identifying buyers, advertising, inspections, contract preparations, etc 2. Auction Day - This is the actual process of the auction, and finally 3. After Auction - An auction is still considered a success when sold within 2 weeks of the auction date. This is because generally the sale would have been made possible because of the auction process, and in many cases may be sold to someone who was at the auction but unable to bid for whatever reason. To price or not to price? There are many schools of thought on this subject; however when engaging in anything but an auction campaign a pricing strategy is needed, below are the common methods used. Priced: As the name suggests this is simply advertising a price for the property, as discussed earlier in this book it is vital to get this right to get the maximum exposure to buyers. By Negotiation: This is inviting buyers to make offers and gives them confidence to do so. Not all people have the skills and knowledge to start negotiations so this method combined with individual buyer relationship that has been built will make it easier for some buyers. It is seen by some as advertising without a price, however it allows the buyers to focus on the property rather than the price. Offers Above: This method can be a great way to show a price movement during a campaign without revealing a firm price or if fixed price marketing is not the method you want to choose. The price point is generally set below the market value and is an invitation to buyers that you will indeed review your position with the presentation of offers. This method is commonly accepted throughout Australia. Price Range: This is useful sometimes when you may not want to put an exact price but don‟t want to market with no price, a range is an acceptable way to market a property and is generally well accepted with the buyers. By Tender: This is a process similar to an auction; it gives the property a deadline of which the seller chooses. This method invites all interested buyers to put their best foot forward by a set time, the buyers submit a contract with their particulars on it including special conditions, settlements date, price etc. The seller then has the opportunity to view them all and select one to accept or negotiate further with. It is interesting to know that not always the highest priced offer is the winner. NOTE The tender method is not widely
accepted in Australia in the sale of general residential property, however is used widely in the commercial sectors.

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Pricing your home:
Setting the price you will take your home to the market with is vitally important. An overpriced home can become ‘stale’ in the market place, making it hard to sell and it will very possibly sell for less. On the other hand a property listed to cheaply will sell fast leaving you short changed.

WARNING You must complete the Comparative Market Analysis (CMA) on the next page. Whether you choose an Auction or Priced marketing strategy you will still need to have an idea as to what your property is worth as it will affect everything you do within your marketing strategy.

TASK:
Referring to you r CMA a nswer the following qu estions: 1. What is the avera ge price property is cu rrently been ma rketed for ? 2. What was the avera ge original list price? 3. What was the avera ge sale price? 4. What do you consider the avera ge ma rket price to be for you r a rea? 5. What is the avera ge ti me a property is cu rrently ta king to sell? 6. If a ny properties didn’t sell in you r a rea, why is that? Some of the properties that have sold may have different featu res, a nother bedroom, or 3 ca r ga ra ge, maybe one less ensuite. Now we wa nt you to put a rating a gainst you rs in compa rison to the others that have sold. 7 If the avera ge property sold was rated a 5/10 where would you pla ce . you rs? ____/ 10. Bea r in mind that bu yers will be thinking of every detail to price you r house they will be ta king in everything from which street you a re located in, what side of the street, if you a re a bove the street or below a nd that’s before they get into you r house. Y ou should know beca use you go throu gh the sa me processes when buying too! With all the a bove information, you should now be a ble to put a price ra nge on you r property. 8. What price ra nge do you believe you r property to be worth?$_________ 9. And why?__________________________________ __________________________________________
During the sales campaign it is very important to keep an eye on the property sales market in your area. With a fresh CMA you should be doing a drive around your streets every week and noting what new listings (or what they really are... your competition!) have come onto the market and what have sold. This information will be critical when it comes time to negotiate your sale and achieving the best possible price. Knowledge is power and you want to be in a powerful position with all the local real estate knowledge at your finger tips.

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_ ___________________ ___________________ ___________________ _____________

Comparative Market Analysis

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A local real estate agent told me that I would get a lot more for my property? It is important to know that some agents (more so in a slower market) will ‘buy listings’. What does this mean? When there is a small amount of listings available in an area and lots of real estate agents ready to service them, they will basically tell you anything to get the business. Including most devastatingly, hugely inflated prices. This approach is not ethical, is well documented and has been in and out of media headlines for years.

REMEMBER Real Estate agents are just that, real estate agents, they cannot give valuations only indications, however the top agents will not give you a price at all. Any agent who gives you a price should be looked at very closely for their real motives.

Don’t fall for this, the thought of getting an extra $50,000 is very tempting, however use the skills we are teaching you to arrive at your own figure. Example: You have 5 agents come to value your house the 3 say it‟s in the $420,000-$450,000 range and 2 say it’s worth $460,000$495,000, they all have other signs in the area and are probably going to be well known, so you believe them, however as soon as you list you’ll be asked to “drop your price‟ because “the buyers are saying low $400,000’s”. As we learnt from the graphs earlier this is effectively burning all your good buyers who might have otherwise paid fair market value or more but at a price way over this value have moved on.

TASK
Using the Market Watch Sheet supplied on next page note every new listing or sale as they happen, record all the property details and current pricing and price changes.
NOTE Sometimes it will not be possible to get the sale price right away, but at least you will have their last known asking price.

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Market Watch

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Pricing Strategies Guide:
REMEMBER Only read this section after you have completed our ‘pricing your home’ tasks.

There are a few common ways to take your property to market, Private Treaty (priced), Auction, Offers above, Price Range, By Negotiation and less commonly in Australia By Tender. Once you have completed our „pricing your home” guide you should have a fair idea what your property is REALLY worth. Now you know how much to expect to get for your property the next important step is to price the property accordingly.
Example: Let’s say your property is worth somewhere between $500,000 - $550,000 and you don’t want to Auction, then a pricing strategy might be to list at $570,000 for the first 2 weeks to test the market and get some real buyers through your property. This should give you enough buyer knowledge to know really what you might be expecting to achieve as a successful sale. After this time it is a good idea for all the decision makers to have a meeting to review the real buyer data and evaluate the price. Let’s say that the buyers are all talking low $500,000’s with some talking high $400,000’s. What to do? This doesn’t mean that it will sell for this, no, not necessarily. Buyers have different motives for giving their opinion of price, bearing in mind they could fall into one of these categories a. New buyers that are not well researched yet or; b. Buyers that might be out of their price range. c. Buyers that are saying that they believe it is worth less in order to pay less

Also put yourself in their shoes, if they were well researched and/or an interested party they will be looking to keep their cards close and not reveal their true position. This is ok as long as you have qualified them correctly and found out their intentions. So what to do next? A small price reduction will show to the buyers that you are a serious seller and are motivated to meet the market. If after 4 weeks you have had no offers or a few offers around the same (lower) price and maybe one small reduction and it is now clear that you are over market price by say $50,000 then a good solid reduction of around $30,000 would send a very strong selling signal to the buyers that now are selling that you have listened to the market and what it has to say. By doing that you should expect to get at least one serious offer. Bear in mind this is just an example and each real life scenario will vary greatly. Your first offer will be your best? Have you heard that one before? Do yourself a favour and remember it because it all too often becomes true. When a property first comes on the market, when priced correctly, it can achieve more in value then if it has its price slowly reduced over a longer period of time. Buyers who have been looking for weeks will be the first through your property in many cases and these are people who know the values and know what yours is worth (you should’ve done the same research as them over the last few week too).

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TASK:
Which pricing style will you choose to go to market? ________ and at what price? Why? ________________________________________________________________________
_______________________________________________________________________________

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Contracts:
WARNING You should always seek independent legal advice before making any decisions. Also you might be best speaking to your financial advisor and/or accountant in relation to buying and selling property.
What is conveyancing? Conveyancing is the process of transferring the legal ownership of real estate from one person to another. While the definition of conveyancing is simple enough, the fact that conveyancing is a legal procedure does introduce a number of complexities. The most important piece of the puzzle when selling your property is the contract, this should be prepared by the time you are ready to start showing your property for sale to perspective buyers. We have pre-negotiated great rates for all itsforsale.com.au clients in every state and territory of Australia. For more details on these companies please refer to Services tab on our website. Selling a property can be a legal minefield so by engaging the services of one of our professional conveyancing groups you will be assured of personal service and have all the important aspects of the process explained in detail when you need it.
REMEMBER Select your conveyancing professional early in the property sale process, they will be able to guide you through the whole legal process of selling property.

A conveyancer can only act on your instruction, so your continued assistance will help to ensure a speedy and timely settlement. A conveyancers job is generally deemed as finished when the title has been successfully transferred, this usually takes place sometime after settlement. In the case of a unit or any form of body corporate situation you will be required to provide other documents in relation to the body corporate, this will usually be a disclosure statement of the body corporate. However for the latest information for your state check with your conveyancer or body corporate manager. Make sure you have available plenty of copies of the contract for buyers when they arrive; you never know the first buyer through the door could be „the one‟ so be prepared for that.
REMEMBER Failing to prepare is preparing to fail.

Who will you be using to do your conveyancing? _____________________

TASK:

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Some common contractual conditions:
Subject to Finance - This is where the buyer needs time to have finance approved to purchase the property in question.
NOTE Most buyers will have a ‘pre-approved’ figure however they will still need to gain finance on the property in question, this will almost always require a valuation to be done on the property too.

Subject to Building and/or Pest inspection - Allowing the buyer time to have a professional inspector to come to the property to inspect and report on the properties integrity. This is normally only a 7 day condition and you must allow the inspectors to enter and carry out there works. Sunset Clause - A sunset clause is a provision in a contract of sale that sets a date after which the agreement is no longer in effect, such as reaching settlement by a certain date. Both the buyer and seller can use this clause to protect themselves from certain circumstances. For example: a buyer can use a clause to state the expected completion date of a contract on their property.

Hosting Buyer Inspections/ Open Houses:
Doing inspections can seem like a scary thing at first, but there are some simple rules to follow that will help guide you through making your inspections as successful as possible.

Read through ‘F OR SALE SECRETS’ which is available online when you register or by emailing or calling us. Then your property should be ready for showing buyers.

TASK:

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Preparation:

REMEMBER On the morning of the OFI put your direction signs up early to capture the most amount of buyers in your area.

This will ensure that any buyers that happen to be driving in your area are awarded the maximum amount of exposure to your property and it’s inspection times. Have all your paperwork ready including contract, flyers, Buyer Enquiry Forms and the like ready and displayed somewhere in the property, the kitchen is normally a great area for this as it is in a prominent location within the home where the buyers can feel very comfortable talking and is generally central to the other rooms and areas of your property.
NOTE Check with council as some councils have time restrictions as to the length of time sign can be displayed for OFI’s.

TASK:
Use our ‘On the Day’ checklist on this page before each inspection.

On the day
Interior
Replace towel and mats in the bathroom Play soft music Brew some fresh coffee Add vases of fresh flowers around the home If it is a hot day turn on the air conditioning If it is a cool day turn on the heater Ensure beds are made, dishes washed and papers/toys away

Exterior
Ensure paths are clear of leaves and grass Rake up leaves and other garden debris Roll up hose and store any garden tools or children’s toys Remove pool equipment and store away from sight

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During the Inspection:
Buyers like to feel welcome to your property so greet them when they arrive with a smile and something like “welcome to our home” Ask them to please sign the register before they get to far into the inspection or they might become flustered or annoyed. Once signed invite them to look around and to please ask any questions about the property to yourself. The buyer will generally look around the property before coming back to your post then you can gauge their interest with some questions. Remember that you are trying to qualify them as a potential candidate to purchase your property. some example questions can be: 1. How long have you been looking on the market? 2. What areas have you been looking at so far? 3. Have you made any offers on any properties yet? You’ll notice that each of those questions will get a different level response from your buyer, leading questions such as: 4. Does this property suit your needs? This will generate a wider response and opportunity for more questions to be asked without the buyer feeling like you are prying too much. Avoid closed questions like 5. Do you like the house? That will just generate a YES or NO answer which doesn’t give you the real facts you are needing.
NOTE a common strong buying signal is them bagging the property, that’s right, bagging the property. Buyers will more often than not try to hide behind this negative display as a way to mentally condition themselves and you to a lower price.

Rarely will the buyer want to go straight to contract or talk buying with you on the first visit though it does happen don’t be put off if it doesn’t. They will generally come back for another inspection, call you or your ring them in your follow-up for another viewing, then you will get the chance to ask them some more serious questions leading towards negotiating a sale with them.
NOTE Many homes can strongly benefit from a twilight viewing, this is sometimes best after a few weeks on the market and there might be a few buyers who have shown some interest. A twilight viewing is great as a house becomes a home in this state. To prepare for this make sure all the lights are working, candles on mantles and in bedrooms and soft music in the background. You’ll be surprised what happens when you do this.

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After the Inspection:
Now you have completed the inspection be sure to collect your signs ready for the next inspection. You can now add the buyer data collected to our system which will enable you to quickly and easily follow-up and track potential buyers. Our system will then help you to entice the buyers by automatically notifying them via email and SMS of your OFI times. We can even send your buyers the latest price and updates of your property sale.
TIP TIP In a regular size property only have one person present for the inspection; if the property is large then maybe 2 people might be required one on the ground level and the other on the second for example. TIP If you have organized for a second or third inspection and early negotiations have already taken place then if would be beneficial to have all the decision makers present and confirm this for the buyers also.

TIP

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Handling Negotiations:
WARNING Negotiations are tricky so unless you feel completely comfortable in doing this then don’t. It could cost you $0,000’s. We can handle this for you and utilize our professional real estate and sales abilities to get you the best possible outcome.

Buyers love to test you to determine your true bottom line, a good example response to “How much would you take for it?” is “Well Mr/s Buyer, we are marketing the property at $XXX and would except this price, however if you would like to make an offer please feel free to do so.” and hand them a contract. “He who speaks, loses.” – this is an old saying that still rings very true in any negotiation situation. You are in a position of power, so keep it, let them counter offer to you first, let them show if they are serious. There is only one of your property - Finding a property that meets the buyers wants is not an easy task, so if your buyer is interested in your house, they can’t go down the road to buy another from someone else, they must come to you. So don’t be scared to let them wait for your answer, you may well need a night to think about it or to confer. Don‟t be afraid to be firm, until the buyer puts their offer on paper it is just words. Be careful not to show all your cards early - As I said before buyers love to test you, so until you know they are serious and negotiations are drawing close to a conclusion then keep some room to move up your sleeve for the final negotiation. Negotiating Chattels - You might find that there is something in your property that is no longer needed that your target buyer may love to have, this makes for a great final negotiation tools. An example of this would be a cubby house than you, an empty nester don‟t need, however it would be of great value to a young family buyer. Throw in the old cubby house to close the deal, to them it‟s worth maybe $3,000-$6,000 to you its second hand value might be lucky to get $500, but in a negotiation situation you could quite easily close a $4,000 gap with losing any „real‟ money. Make sure you are talking to the buyer - Some buyers may send in ‘scouts‟ to help condition you on price, to find your bottom line or flaws of the property. This does happen from time to time however their efforts will be in vein if you stick to the rules. Win-Win - All successful real estate deals are win-wins, that’s a win for the buyer and a win for the seller. Keep that in mind during all negotiations. For example: When a buyer shows strong interest with a written contract and a counter offer which may not be your asking price it is always recommended to move a little from your price. It is all a part of the process to making a successful deal. Give a little to gain a little.

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Put yourself in the buyers shoes - What is it they really want out of the deal? Of course they want your property but that is just the start, they may have some other motives that you will need to find out, this information will be paramount in the negotiation stage in understanding your buyer. All real estate transactions are personal so try to keep that in mind when negotiating. Stalemate - All too often we hear of deals in the market that have not proceeded due to a stale mate “we started out $220,000 apart and we negotiated to only $5,000 over 6 days, but they walked. This could be for two reasons either the buyer thought they were already paying too much or the seller thought they were selling way below market. This may have been able to be minimized by better qualifying each other needs at the start.

After the sale is made:

CONGRATULATIONS! You made the sale. There are still some things you need to do and obligations you have to the buyer.
Most contracts will have some form of condition to complete before becoming unconditional along with cooling off period (except auction contracts). We suggest confirming these with your conveyancer and diarizing them for follow-up to ensure there is nothing forgotten when it comes time for settlement. The buyer is also allowed 1 further pre-settlement inspection this will be within 7 days of settlement. When leaving the property it is a good idea to leave it in as good of a condition as possible, once you have cleared all your belongings out give it a last minute full clean leaving it how you would like to find your new property.

Some things you will need to do when leaving: 1. Mail redirection 2. Utilities moved 3. Final Clean 4. Allow valuer inspections 5. Allow building and pest inspections (where contractually required) 6. Refer to our website for a complete list and printable checklist
Other things that will be required may also be final rate adjustments and liaising with banking institutions, you should be prepared for these issues and act on them as soon as they are made aware to you.

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On behalf of the team at ItsForSale.com.au we would like to thank ...you for reading this booklet and we wish you all the best with your sale and a safe move to where ever it is you are going. Don’t forget our website has plenty more information available, so check it out at www.itsforsale.com.au or to talk to one of our qualified and experienced real estate professionals please call us on 1300 500 961. Call us today to save thousands, you’ll be surprised just how easy selling yourself is when you have all the right tools.

Your representative: ______________________________________________________ Property ID: _____________________________________________________________ Notes: _________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________

If undeliverable return to Its For Sale Pty Ltd PO Box 7578 Gold Coast M.C. 9726

POSTAGE PAID AUSTRALIA

Fact # 1: Did you knoe you can sell your own property?
Th Unlo e S ck av ing s

Fact # 23: Did you know that when an agent sells your property you are actually paying forother peoples homes that didn’t sell!

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