It’s not unusual for real estate agents to come across a situation involving a family, which put their home on the market and were then pleasantly surprised when they received an offer on it much sooner than expected. The offer was accepted and settlement was to occur after four weeks. Suddenly, it dawned on them that they had no plans for alternative accommodation.
The Perth housing market is undergoing some recovery, and while sales turnover is slowly picking up, homes that are priced right to meet the market can move quickly.
When it comes to real estate you really can’t do too much preparation, as there can be many unknowns in the process of buying and selling. For example, you don’ know if the property will sell quickly, at the full asking price, or whether you face a long and protracted selling period. You might even find your dream home tomorrow – that you just have to buy! – even though you haven’t sold your existing property.
The key to hassle free transactions is eliminating as many variables as possible and staying in control. The following points offer a simple and effective approach if you are planning to sell then buy:
• Arrange a ‘family conference’ with your partner and/or children, and talk about how each person feels about a moving or staying put. This is really important, as it’s surprising just how many transactions are complicated or derailed at the last minute by family members who suddenly declare their true feelings about a location.
• Once this is done and a move is agreed, you should take an active interest in likely areas and properties that suit your needs. When choosing properties for inspection, stay focused on the really suitable ones.
• Keep a close eye on properties selling in your area. In particular, make a note of selling prices to homes similar to yours.
• Make early contact with real estate agents in your area and discuss the range of services they offer. This will help you select an agent suitable to your needs.
• Decide, as early as possible, if you can afford to buy your next home before selling your existing one.
This is likely to involve extra short term borrowing, however you save on the cost and the hassle of renting during this transition. This strategy mostly suits homeowners who have significant equity in their existing home. If you plan to use rental accommodation in between buying and selling, give your details to agents with rental properties as early as possible.
Together, these things will help smooth the way for a sell-then-buy transaction. The other important factor is to use the expertise and professional services of a licensed REIWA agent.