Rising interest rates, the high cost of living, and political uncertainty have affected the housing market. Buyers are wary, and it’s increasingly difficult to sell.
We outline ways to make your home stand out, and the steps you can take to secure a sale.
Tip: A personal loan can help you renovate your home, increasing its value and saleability.
The state of the property market
While low interest rates caused a flurry of buying after the pandemic, especially among first-time homeowners, fewer people are keen to part with their money in the current economic climate. Some areas still attract sales, such as Cape Town, which continues to benefit from the “semigration” trend; but by and large, sales are slow.
“Properties are not only staying on the market for much longer these days, but sellers often have to reduce their asking price,” says Samuel Seeff, chairman of the Seeff Property Group.
Carol Reynolds, Pam Golding Properties area principal for Durban Coastal, agrees, and advises sellers to expect delays. “Have realistic expectations and prepare for a longer marketing period than usual, as well as slower activity.”
7 Tips for selling your property
Reynolds and Seef offer the following tips to optimise your chances of selling your property.
Tip #1: Choose the right agent and award a sole mandate
Seeff recommends working with an experienced local agent who will give you the correct advice. “Don’t waste time with an agent promising an unrealistically high price,” he cautions.
Further, he notes, it’s important to be aware that multiple agents won’t guarantee a faster sale or a higher price. “An agent with a sole mandate will be fully committed and motivated to achieve the best possible price in the shortest possible time.”
Tip #2: Price correctly for the current market
An overpriced property won’t attract interest and will drive buyers to more affordable properties.
Seeff says it doesn’t help to compare current listed prices, as they’re often inflated. “The correct strategy is to evaluate prices achieved by properties that have sold in the area over the past three to six months, and compare like for like in terms of what the properties offer.”
Reynolds recommends asking your agent for a comprehensive market analysis to price your home correctly. “Pricing is key to generating activity in a slow market,” she notes.
Tip #3: Ensure the property is in top condition
Take care of any outstanding repairs and maintenance before listing the property, including replacing or repairing broken items and updating finished items where needed.
“Don’t give potential buyers an excuse to walk away or ask for a discounted price,” Seeff says.
Tip #4: Get all documents ready upfront
Make sure all documents required for a sale have been copied and certified upfront.
“This includes ownership ID documents, proof of address, and rates or levies bills,” says Seeff. “You should also have the title deed to hand (if it’s in your possession) and all information about mortgage loans over the property.”
Tip #5: Get all compliances done
Ensure the property plans are correct and lodged with the appropriate municipality, and all building work is completed.
Ensure, too, that you have electrical, plumbing, water, and gas checks done, and have certificates of compliance for these. “Note that these are usually valid for a specific period only,” Seeff says.
Tip #6: Be accommodating regarding viewings
Being prepared to accommodate viewings will ensure that you don’t lose out on buyer interest.
“The property should be properly prepared for viewings – it should be neat and clean, with no clutter, and welcoming to buyers,” says Seeff.
Tip #7: Consider all serious offers
Almost any offer can be negotiated, and the ability to negotiate a sale that benefits both parties is a skill an experienced local agent can bring to the deal.
“If you appoint a good local agent, you can trust their advice as they’ll have their own reputation to consider,” says Seeff. “They won’t want to risk giving you poorly considered advice.”
How to prepare your home for a viewing
Reynolds offers the following tips to sellers:
- Touch up with a fresh coat of paint. This works wonders for presentation.
- Tidy up your verge – first impressions count.
- Add pot plants or flowers to the entrance to create a welcoming first impression.
- Opt for a neutral colour palette that appeals to more buyers. White, off-white, light grey and timber are easier on the eye than bold colours and overpowering patterns.
- Add small décor touches, such as indoor plants and scatter cushions. These affect the overall aesthetic of your home.
- Remove heavy curtains that make your home dark – try to lighten and brighten up the rooms.
- Open doors and windows so buyers can experience the “flow” of your property.
- Turn on lights before each viewing.
- If you have dogs, secure them in the backyard, as some buyers may be wary of dogs.
- When advertising the property, use a great “hero” photo that sells the property's best feature. A professional agency can take good photos on your behalf.
Tip: Consider using an investment vehicle when saving for a deposit for your first home.