What can go wrong and what to guard against
Navigating the labyrinth of selling a home on the open market can be a tumultuous journey. From finding a suitable buyer to navigating the conveyancing process, it’s a path fraught with potential pitfalls that can collapse a sale.
UNPREDICTABLE BUYER
The successful sale of a house isn’t always within the seller’s control. Buyers can change their minds at the last minute or face unexpected changes in circumstances, leading to a collapsed sale. In the face of indecisive buyers, sellers may feel pressured to reduce the price to keep the sale afloat. However, caution is advised to avoid falling victim to ‘gazundering’, a tactic savvy buyers use to secure a panicked price reduction.
BUYER FINANCING HURDLES
Another hurdle outside the seller’s control is the buyer’s financial status. Issues with financing can delay or derail the sale process. To minimise this risk, dealing only with buyers who can demonstrate a mortgage Agreement in Principle and provide proof of funds upfront is suggested.
OVERPRICING IN A FALLING MARKET
One common mistake squarely within the seller’s control is overpricing, especially in a market with falling house prices. Overpriced homes tend to take longer to sell than accurately priced listings. Sellers should exercise caution when choosing an agent based on high valuations, as they might just be trying to win your business.
THE CHAOS OF THE MOVING DAY
Moving day can be stressful, with last-minute packing, cleaning and meter readings. Added to this, unforeseen glitches in final money transfers can leave all parties uncertain. One way to avoid this is through part exchange companies that offer a License to Occupy, allowing sellers to move out at their own pace.
SELECTING THE RIGHT ESTATE AGENT
Choosing the right estate agent is crucial. Don’t be swayed by the highest valuation or the lowest commission. Instead, research their reputation, track record and local market knowledge. A competent agent can make a significant difference to your selling experience.
UNEXPECTED SURVEY FINDINGS
A major hurdle can arise if the buyer’s surveyor identifies significant problems with the property. Issues like Japanese knotweed, subsidence and severe water damage can delay the sale or even cause it to collapse. It’s advisable for sellers to proactively address these issues before listing the property on the market.
THE DOMINO EFFECT OF FALLING CHAINS
If your sale is part of a chain and another sale in that chain collapses, it can trigger a domino effect, causing your own sale to fall through. One way to mitigate this risk is by finding cash buyers or using part exchange companies to step in when a chain breaks.
GUARDING AGAINST SCAMS
While scams in the housing market are rare, vigilance is always recommended. Always verify who you communicate with and be wary of unusual requests.
>> FEELING OVERWHELMED LOOKING FOR THE RIGHT MORTGAGE? <<
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Cedar Crest Ltd – telephone UK T: +44 (0) 203 883 1017,
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Your home may be repossessed if you do not keep up with repayments.
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