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Guide to Sell a Property Without Real Estate Agent

To sell a property, the first thing to prepare is the documentation of the home.

1.Seller documentation

When we consider selling a property, we know that for many of you it can be a tedious task. Procedures, paperwork, visits, etc. They make it become an uncontrollable maelstrom if you don’t organize yourself.

Like all good homework, we first need to rely on a theoretical basis, which is what we are going to see here. But also, we focus it on the practice, focusing on the needs as a seller and the priorities of the buyer.

We know that selling a home as in park view city 3.5 Marla Plots is one of the strongest decisions ever made. Unlike clothes, a person changes houses an average of three times in their life, and if moving is already overwhelming, if you don’t organize yourself, selling a house can be chaos.

Here I leave you some small indications and tips to be able to sell your home comfortably, in an organized and calm way. The first thing to prepare, before getting fully involved with the sale of the house, would be the documentation.

In this matter, the following documents will suffice, of which we will talk in more detail below:

  • Visiting party
  • Purchase proposal
  • Earnest money contract
  • Simple Note Model
  • Writing
  • IBI (It must be proof of payment)
  • Updated DNI
  • Community certificate
  • Visiting party

This document is proposed for the first visit, it contains the data of interest of potential buyers:

  • Name and Surname (Buyer and Seller)
  • DNI (Buyer and Seller)
  • Housing data
  • Date and time of visit
  • Signature (Buyer and Seller)
  • Email (optional)

Purchase proposal

Once the visits have been made and one of the potential clients shows their interest in buying the home, the purchase proposal is proposed, in which 5% of the value of the price is deposited to firms in the home reservation as a promise for your purchase after signing the deposit contract.

Earnest money contract

It is a private contract that states that the parties agree to reserve a property (in our case) by giving an amount of money as a signal. This amount represents 20% of the sale value of the property to be purchased.

This is the minimum information to be included in a contract of arras:

  • Personal data of the selling and buying party.
  • Description and identification of the property.
  • Final price of the sale and payment method.
  • Amount of money from the signal or advance (which will be deducted from the final price. It is usually 15% of the price) Maximum time to formalize the sale contract.
  • Commitment to sign the contract by public deed.
  • Distribution of the possible expenses of the sale.
  • Signature of buyer and seller.
  • Here you can find a template for a sales model.
  • Simple note model

Simple note

The simple note is a brief extract of the information of a registry property, where it is identified, the identity of the owner or owners of the rights that appear registered in it, as well as the extension, nature and limitations of these.

To request this document, you can do it in 4 different ways:

1) Search by registry data to use this search option, you will need to enter the Property Registry to which the request refers, as well as the municipality, registry number of the farm, and the section and ordinal of the sub-farm, if applicable. In this option it is recommended to add the volume, book and folio in which the farm is registered.

2) Search by Unique Identifier of Registered Property

If we have this information, we do not require any more to make the request.

3) Search by owner This type of query allows you to search for farms where only the location is known (you need to know the municipality and the Land Registry to which it belongs)

4) Search by Geolocation It

allows obtaining the simple note from the X and Y coordinates

This service has a cost of & 9.02 that will be charged to the applicant through the corresponding registrar (this price is indicative, it may vary depending on the type of property, municipality, etc. It is an approximate value)

Here you can find a simple Note template.

Writing

IBI (Real Estate Tax)

The IBI is an annual tax of the Spanish tax system that records the value that falls on real estate.

To carry out the deed, the IBI must be paid, and after the elevation of the public deed prorated to the parties.

UPDATED DNI / NIE COMMUNITY CERTIFICATE

The community certificate is a document that shows that the expenses and spills referred to the community of neighbors, in relation to the seller, are in order.

You can easily request it from your administrator.

2. Marketing Plan

Once you have prepared all the documentation for the property, it is time to make the marketing plan to sell the house. Below I describe the steps you must take.

Set a house price

All sales process begins by setting a price. I recommend that before indicating the price of your home, you inform yourself of the prices that you have around you, both by looking at the portals, and by asking neighbors or merchants in the area.  You can also ask help from Melbourne property valuers. This will allow you to make a forecast of the logical price for your house.

Remember that it is important that you put aside the “EMOTIONAL UNION” that ties you to the house, since the future buyer will appreciate it from another perspective. This does not mean that your house is worth more or less, but that you sell it from a cold perspective, leaving aside the emotional part, that you forget that it is yours for a moment and put yourself in the buyer’s place.

Returning to the price change, indicate a starting price and value taking into account the influx of visits. Do not forget to publish it on the portals, tell it to your acquaintances, family and friends, indicate the sale poster and if the neighbors ask you, do not be ashamed of what they think, if you are selling tell them.

On the other hand, keep these three points in mind:

If you put it 9% higher you will not have visits

6% -8% you will be 1 – 2 visits per month without offers.

Between 3% and 5% you will have between 3 and 4 visits per month without offer at the right price you can sell the property in the same month.

Investigate in the news portals example Realestate Property News.

Select the area and apply the corresponding filters based on the type of home you are living in (Number of bathrooms, rooms, square meters, elevator …)

If you know someone who has sold in the area, ask them.

Once you have the sale price, it is time to start selling the property.

Making a photographic and video report

The first step of all is to make the photographic report and a video of the house. At this point, the quality of the photos is better than the quantity.

If you do not have notions of photography it is better that you hire a professional to take the best photos and edit them, in addition to making the promotional video of the house.

If you are going to take the photos on your own:

  • Avoid close-ups of things and take photos of the entire room.
  • Don’t make crooked photos. Use a tripod.
  • The more you can light the house, the better the photos will look. If light is needed, turn on the lamps. On the contrary, if there is a lot of light, close the windows.
  • Depersonalize the house as much as you can.
  • Realization of the FOR-SALE poster.
  • Put this poster on the front of the house. It has to be large to make it look good.
  • You can buy one on Amazon.
  • Publication in real estate portals

Choose the portals that interest you the most to publish the property. Get in touch with the portal in question so they can tell you the conditions since each portal has different conditions.

Share your home ad

The more visibility you give the property the better. Share it with your group of friends, on social networks, tell your neighbors, the baker, the hairdresser you go to … But dose the publications, avoid publishing in the different media at the same time.

3. Sales process

Periods in the sale process and price change

We are going to mark the sale process in periods. You can make two types of visits, individual and collective. Individual interviews are much more efficient, since they allow you to know the purchase motivation of the seller. On the other hand, the groups make your home reach a larger target audience.

Manage yourself how you want to organize them, always taking into account your availability. Be a bit flexible and plan different hours throughout the week, also for the convenience of the buyer.

To assess the average level of visits a home receives, you need an average of 3 weeks or “21 days selling my home”. If after this period of time the influx has not exceeded the visit per week or even no visit, do not believe that it is because people have not been interested in the house, why it is in the price.

You should reflect on this situation and propose a change in it. This does not mean that you give away the house, on the contrary it will mean that you are doing a strong exercise of reflection and seeing what perhaps, at first you had not seen.

HOME STAGING

Although sometimes the reason is due to the price of the house, other times the reasons are in the appearance of it. Do not think that when you leave, the house no longer needs to be cared for, it is more important, buyers have to see your house with the “washed face”.

For example, if he needs a coat of paint, give it to him, it changes a lot a newly painted house that was painted 5 years ago, you will gain in cleanliness and appearance. Another could be, that bathroom with a musty smell, avoid it with a humidifier and a good air freshener, that is not cloying.

There is nothing in the real estate world that cannot be fixed with a good HOME STAGING, which has been known throughout life as sprucing up the house, beautifying it.

A coat of paint, some good air fresheners, a couple of new furniture, some new cushions on the sofa, changing the curtains, rearranging the furniture, and a long etcetera. And the most important of all, DEPERSONALIZE the house for the house, remove your photos, beliefs and the like from view, they can make you see a wrong perspective of the house.

Our recommendation is that you take the HOME STAGING before putting it on sale.

Think about that the buyer will be the first time you see the house will therefore have a first impression so both looking to make a good first impression. According to several studies takes only 8 seconds (which is the first time the customer enters the house) in deciding whether the house will be interested or not.

Beyond Home Staging

Sometimes the details cannot be solved, perhaps you renovated the house a few years ago and you “are in love with the reform” and therefore “you are in love with this house” but perhaps the buyer does not like it, do not judge or yourself bother, everyone sees things from one perspective. Give him a solution, perhaps by investing a little money he can make the kitchen to his liking.

Another important point is, teach him what he does not see. If you have a spacious living room with windows throughout, do not indicate the amount of natural light that there is, you already know, tell him everything he can do with that light, how to redistribute to make better use of it. Another example is that bathroom that has some old tiles, “STOP DRAMA”, today they sell a product that leaves them completely blank so that you can customize it to your liking.

Take advantage of the points that are not seen and if they do not like something, try to turn it around and see the positive part of the space.

Open housee or JPA (Open house day)

Another way to make visits is by making group visits. What i also know

know how to do an Open House or a JPA (open house days)

I will indicate how to prepare it so as not to have any doubts when you get to it:

1) Organize it 10 days before doing it.

2) Prepare the information sheets indicating the address (Street and portal, always omit the house number), that an Open House is going to be held, the schedule that it will have (I suggest it be on the weekend and between 12: 00h and 17: 00h), that there will be food and drink totally free; and most importantly, indicate your contact details.

3) Distribute the sheets to the shops around your house and even stick them on their windows (always with the owner’s permission), take advantage of word of mouth. Tell your friends and acquaintances to go, it is attractive to see people uploading somewhere.

4) Prepare the Open House poster, and ask permission to place it on your portal that same day, so that passersby can see it.

5) Cover the nearby streets with some information sheets.

6) Notify all your contacts, both on social networks and more directly (in person, by whatsapp, a call, an SMS, an email …)

7) Invite all clients who visited the house during the previous weeks

8) Finally, you can propose an offer for that day, such as: If you book it today, you save $ 5,000 on the price of the house.

Take your imagination and play with the facilities that the environment gives you to get what you want, which is to sell the house.

4. Closing

Once you have a buyer with an offer, stay with him, either in the house itself or in a quiet place.

The buyer’s offer is usually made in spoken or written form. Accepting or not that offer from the seller is usually a short period. About 8 days or so until the offer is accepted.

Subject to financing

If the buyer is subject to financing (He is going to request a mortgage) you have to present him a purchase proposal.

The purchase proposal: It is a document in which the buyer reflects his interest in buying a home for a specific price.

The purchase proposal must include:

The form of payment in which the signal will be delivered. Because yes, it is highly recommended that together with this document the buyer delivers an economic signal so that even when the document is signed, there is less chance that it will back down.

The term in which the Arras Contract will be signed and what quantity will be delivered in that act, and how the rest of the pending amounts will be delivered.

All the information regarding the state in which the home will be delivered (with or without loads, with tenants or not, etc …)

Establish a date or term and place for the Public Deed.

Indicate who will be responsible for paying expenses such as deeds, capital gains, IBI, etc …

And finally, the validity of this purchase proposal.

Everything must be in writing, even if you want to reach an agreement on the furniture of the house.

Cash

If the buyer is not subject to financing, you have prepared the deposit contract. The deposit contract is penitentiary: The penitentiary deposit is a lawful means of withdrawing the parts of the contract of sale through loss or doubled restitution.

If it is the buyer who breaches his commitment to acquire the property, he will lose the amount contributed as a deposit or signal.

If it is the seller who breaches his commitment to transfer the property, he will return the amount of the deposit to the buyer in duplicate.

If the buyer has a mortgage, they have to cancel it before signing the deeds in front of a notary.

Note: Everything must be paid by bank transfer. Always delivering the receipt. It can also be paid by bank check.

Once the deposit contract is signed, the deeds will be signed in front of a notary. The notary is chosen by agreement of both parties. If it is not agreed who pays, it will be adjusted according to the “legal arrangement”. Means that the notary expenses be paid by the seller except the first copy of deed of purchase to be paid by the buyer.

The inscription of the property in the property registry will be paid by the buyer unless previously agreed otherwise.

Expenses involved in buying and selling a home.

Tax payment

The taxes are:

– Property transfer tax (VAT)

– Tax on the increase in the value of urban land. (Municipal capital gain)

Notary fees

They are the fees of the notary before signing the deed of the house.

Registration fees

They are the fees of the registrar for the registration of the sale in the property registry. Management expenses These are other management expenses such as the registration verification of the ownership and status of charges of the home.

How long can you go back on buying and selling?

At any time until the signing of the deeds in front of a notary.

How to apply for a mortgage

1. Requirements to apply for a mortgage loan

Age: you can request a loan between 18 and 75 years. If you are under 35 many banks can offer you more advantageous conditions in granting the loan.

Economic data: Income is one of the fundamental elements that entities take into account when they are studying a specific case and that directly influences the granting or not of the loan and the conditions.

In this way, when granting a certain loan, banks can demand that the family have a minimum income. The same happens with the employment situation, if your contract is indefinite you will have more possibilities of obtaining a mortgage loan than if it is temporary. In the same way, if you are a civil servant you can have it easier to obtain financing than if you are not. This is because the chances of a public worker losing his job are lower than those of a private company.

In the same way that your type of employment is valued and that of the rest of the holders, it is also verified that you are not on a list of defaulters such as ASNEF, RAI, or CIRBE. Being included in one of them works against you since the entity is verifying that at some point you have breached your payment obligation.

Personal data: Your marital status or the number of members that make up your family unit are also other factors that financial institutions usually take into account during the study of your loan.

2. Mortgage documentation

Once you have decided to apply for a mortgage loan, the entity must approve the operation. To study your particular case, they will need you to provide them with certain financial and personal information, which will vary slightly depending on the type of worker you are. This documentation is used to verify that you meet the requirements mentioned above.

If you work for someone else

If you work for someone else, that is, you work in a company that you are not the owner of, then you will need to have the following documentation at hand:

  • DNI and Tax Identification Number (NIF) of the applicants.
  • Laboral life.
  • The last 3 payrolls.
  • Last Declaration of Income and Assets.
  • Proof of other income, if any.
  • Receipts for payments of other loans, if any.

If you work as a freelancer, that is, if you work on your own:

  • DNI and Tax Identification Number (NIF) of the applicants.
  • Laboral life.
  • Last Declaration of Income and Assets.
  • Proof of other income, if any.
  • Receipts for payments of other loans, if any.

3. Where to go to apply for the mortgage loan?

Once you have verified that you meet the requirements to request a loan and that you have the necessary documentation for this, the first and most basic step is to know where to go, that is, who can lend you money. You can choose to go to a bank, a savings bank, a credit union or a financial establishment. The advantage of signing a contract with any of these entities is that you have the guarantee that they are supervised by the Bank of Spain.

A quick and easy way to get a first glimpse of the types of mortgage loans that exist and the contracting conditions is to compare mortgages, so you can get a first idea and decide if you want to continue with the process. In case you need it, you can use a professional to help you negotiate with the entities, such as a mortgage advisor.

4. How much money do you need?

When you are about to ask for a loan you have to calculate precisely how much you need. Do not keep only what the house costs, since at that price you will have to add other expenses that are part of the constitution of the loan and that are at your own expense.

  • Appraisal costs.
  • Management costs.
  • Notary costs.
  • Expenses for checking the registration situation of the home.
  • Mortgage registration expenses, Property Registry.

5. How much does the bank lend you?

Another important point that you should keep in mind when choosing a home is that the entity from which you ask for the loan is not going to lend you, normally, 100% of its value. In other words, if the house of your dreams is appraised at 200,000 dollars, the bank will grant you, at most, a loan for an amount that is not more than 80% of the appraised value of the home. Although, depending on the entity and your particular characteristics, you can get a higher percentage.

It follows from this maxim that it is essential to be in a position of savings before buying a home. At least, to meet the costs of appraisal, management or those related to the Property Registry. This will mean around 30% of the price of the property, since you must have 20% savings and approximately 10% to meet the additional costs.