Selling property on TradeMe?

[David Hardman]

I'm thinking about selling my Takapuna/Devonport house.

What are other's experiences of selling houses via TradeMe?

Do you get close to what the agent estimate?

How do you price the property?

Does it take longer to sell?

Is TradeMe more suited to low priced housing?

What are the typical TradeMe costs?

What are the savings over using an agent?

What are agents currently charging to sell a 600k house?

Tips and tricks?

[duncan macgregor]

DAVID, I am well experianced in what you are trying to do. First thing to do is get a registered valuer to value the property. Next is have copies of the code of compliance cert,plus all the documentatation in order, so that the buyer has no need to waste time searching. When everything is in order go to your lawyer get him to give you an agreement form filled up with what chattels there are etc he will advise you on that but leave the price off you wont know that until the deal is negotiated. Take a few photographs of the house to list in trademe, and fill all the details and price. Look at the other adverts to give you an idea. Trademe costs $50 or something like that and your add stays in until its sold. i think they have a success fee but thats not very high. When you have people round dont rush about like a used car salesman, let them wander about to discuss it to each other with you staying in the background. The most important thing to remember for vendor and buyer is, that you only sign an agreement form in the lawyers office. Most people are happy to buy or sell at valuation the valuer will cost about $450. The MREINZ fees are about 4% for the first $200,000 then 2% for the remainder. Get rid of the clutter women like a nice clean kitchen and bathroom men like garages and sheds. Macdunk

[STRAT]

I bought rental property last year that was being sold on Trade me. The only down side I can see from a vendors point of view is that purchasers who are not confident in their own ability to make a wise purchase will stay away in fear they have no protection or recourse.

[STRAT]

women like a nice clean kitchen and bathroom men like garages and sheds. Macdunk

LOL Duncan. While I am as fond of a good shed as much as the next older bloke I suspect the under 30's generation of kiwis wouldnt even know what to do with one.

[minimoke]

Well done David – go for it!. I haven’t used Trade me but definitely will next time we sell – but I’d also be running a few wee ads in the local newspaper

An alternative to the valuer is checking out your local Realtor / Harcourts magazines and see what houses are being listed at and go to local Open Homes. Ask the selling agent what the owners want for the place and assess the relative value for your self. You could also get three Real Estate agents around and get them to give you an estimation - they often stick things in letter boxes offering this “service”. Don’t take any figure as real, just use them as part of forming a view.

When we sell we also prepare a printed “brochure” to go with the other things Duncan has mentioned – highlighting all the neat things about the house. You do have to be careful about what you say though – don’t risk mis-representing anything. The purchase decision is made in the first five minutes – leave the “buyer with something in writing to remind them of why they have to make a really high offer. Otherwise they’ll forget the “extra’s which you need them to remember to keep your price high.

We have also always included a clause in the Agreement “subject to Solicitor approval” so our Solicitor gets the final say and gives us time to back out if needed.

Once you decide to list your place try to make an emotional shift from it being your ”home” to it being a “house”.

Agents will ping you their fee ($7,000 with the Jones, 4%+ for some, 1% for others) but they will also encourage you to sign up to a targeted marketing campaign using their extensive skills blah blah at added cost. They may even suggest you have such a unique property that you need to go to auction for extra fees / marketing as well.

Don’t feel you have to do “Open Homes” viewing by appointment is fine but hide your valuables.

Remember that every dollar you now spend on the place you need to get back – only spend if it will enhance the chance of a sale.

Don’t feel inclined to accept the first offer quickly – though it is said that the first offer is the best. One house on my watch list has just sold through Harcourts. Within six hours of listing an offer came in subject to LIM and was 2% over list price and was accepted. 3 hours later a back up offer came in for 3% over list and unconditional. And the vendors paid 4% for this deal to happen!
Good luck – do it!

[dartMonkey]

“subject to Solicitor approval” clauses aren't what they are cracked up to be and don't necessarily give you an out - even though people think they do.
As Dunk says "The most important thing to remember for vendor and buyer is, that you only sign an agreement form in the lawyers office."

[kura]

I sold an Akld property on Trade Me a year ago (saving approx $20,000 in agents fees) yes listing fee of approx $100, plus $500 for valuation fee. (Also got LIM report, but forget what that cost) It was advertised for approx 6 weeks, and sold in upper range of valuation estimate.

Didnt have any problems, my only complaint was the number of "time wasting" enquiries from real estate agents who wanted me to sign up with them. Hey if I wanted to sell through an agent, do you really think I would go to all the trouble of listing on Trade Me first ?

Be warned that agents have a "marketing spiel" warning you that if the property is on Trade Me for too long it will go "stale" and be really difficult to sell !
Another good one is "I have a cash buyer right now, if only you will list with us"
(But I suppose everyone has to make a living somehow )

[duncan macgregor]

KURA, That is no problem. You can write conditions into their listing contract.
1, No signs.
2, reserve the right to a private sale.
3, no advertizing by them as their price will be your price plus their fees.
4, That is the advantage of having a registered valuer value the place the buyer and the vendor both know thats the value and thats the price no need to barter.
5, Only give them one month no more if they really do have someone in mind they would have them round before that.
Always remember the real estate agent wants a sale at any cost including your cost if necessary. The most important thing is to write the agreement out in your lawyers office first. After the sale is negotiated the buyer signs in his lawyers office and the vendor takes it to his lawyers office to sign. Great care must be taken if a property is GST registered. It is either GST included as with a normal sale or plus GST if any if its a farm or on going business. Lots of costly mistakes in that area thats why you only sign in front of your lawyer. Macdunk

[JBmurc]

Have just sold my 7 sections down south on TRADE ME got over 10% more than the agents top prices and over double the valuators price -would buy and sell again on trade me has by far the biggest numbers viewing

[JBmurc]

I have to agree with you SS Valueators work is realatively simple they will always keep to the basic rules of last sales similar to what there valuering with my sections because the last sale was myself 14monthes earlyer at 15k per site the best both valuers would do would be 18-20k per site I sold for 42k ea even through only 5mins drive your'd pay well over 100k ,and truth is the limited total numbers of sections meant the developers would pay up for cheaper areas.
Still I'd rather trust a valuerator than an Agent when it comes to price.
As for G.V.....................