Selling flat without estate agencies

5abi

Hi guys

I want to sell a flat that I own and I want to do it without involving agencies for maximum ROI. I have never sold a property before and this would be a first. Estate agencies just scare me. Because of my lack of knowledge, I dont even know how much an agency charges on this and that's what scares me the most. The agency has an interest in selling the property as soon as possible to get their commision, even if its less than the market value as long as they get swift commissions, this is what I have heard.

What is the advice out there. Which websites can I use to do this? Any tips or things to look out for? How much can I expect to spend if I was to do this independently?

Any success stories or even failures? I want to learn as much as possible before I dive into this and would really appreciate the communities support with this. Its a small one bedroom flat located in London. The price according the zoopla is pretty good and I would like to get close to that price.

ALso, would appreciate tips on how best to write the ad. I have some good pictures already that I can use.

Many thanks.

somethingcorporate

Where have you heard all this from?

Higher price = higher commission for the EA so they have an incentive to sell at the best possible price but given YOU are the owner only you have the power to accept a price, not the EA.

Anyway, if you want to go with a cheap online EA feel free to do that, you'll generally get what you pay for. Fees for a traditional EA will be somewhere between 0.75% and 2% of the house value. Onlines tend to do a fixed fee but many offer little support.

Guest101

Depending on area some are fixed fee, in the region of £1,000-1,500.

Given your lack of knowledge, and that good marketing can raise the price in excess of the fee, in this instance i would shop around.

5abi

Hi something corporate. Please first 10 minutes if the American documentary called freakonomics. Should be on netflix. Please let me know if that changes your opinion on why EAs may want you to sell faster.

Tixy

Yes an estate agent wants to sell quickly and get paid.
Usually the vendor also wants to sell quickly.

The vendor chooses the price to market the property. The vendor chooses what price to accept. An EA cannot/ will not force you to sell for less than you want.

Because of my lack of knowledge, I dont even know how much an agency charges on this and that's what scares me the most.

Why not get 2 or 3 local agents to visit the property with a view to marketing it. Then you will know exactly what they would charge. They'll also give you an indication of what they think you should market it at and what it might sell for.

The price according the zoopla is pretty good and I would like to get close to that price.

If you mean the current market value according to zoopla - those values are notorious for often being well out of step with reality.

Surrey_EA

5abi wrote: »

Hi something corporate. Please first 10 minutes if the American documentary called freakonomics. Should be on netflix. Please let me know if that changes your opinion on why EAs may want you to sell faster.

Perhaps, given your self-confessed lack of knowledge on the process of selling a property, someone with a little experience who will guide you through the process, in exchange for a mutually agreed fee, might just be worth considering?

There are plenty of dubious EAs out there, but there are also a lot of very good ones who will be able to make your life easier during your sale.

Please don't base your price expectations purely on Zoopla's algorithm.

Cap_Hero

Well, there are many sites out there if you want to sell your home online. They seem to charge a fixed fee of say £995 or so but the problem is they don't give a personal service. Sites like Emove etc offer this type of service.

There are also some sites cropping up that offer a more local hybrid service, part online and part customer service focused. So sites like rightmove are good for searching all areas, more specialised sites tend to operate in certain areas, for instance, in Essex https://www.countyproperties.co.uk seems to aim to be both local and online.

It depends what area you are in but there are many options out there, just check out any hidden extras first!

Good luck in your house search.

steampowered

You'll need to involve an agent in order to list a property on zoopla. That can be a traditional EA or an "online EA". The online EAs offer a fixed price but would not do viewings, help you negotiate or give you access to the buyers on their books.

I am looking to buy a property at the moment. I do think that people selling with a traditional EA make things much easier - the professional photography and ease of arranging viewings makes things much easier. Also, through a local agent I often arrange to view 2 or 3 properties in quick succession. Hence I am less likely to view properties sold by someone using an online agent.

If you are unsure what a particular agent charges, simply give them a call and ask. It would usually be a % of the sale price. The price will usually be lower if you agree to instruct them as a "sole" agent (meaning you can't list the property with another agent) or a bit higher if the appointment is "non-exclusive".

It is basically correct that EA's are incentivised to encourage a quick sale. That is their job. But an EA does not accept offers on your behalf. You are always in control regarding whether or not to accept an offer.

Rosetinted

5abi wrote: »

I want to sell a flat that I own and I want to do it without involving agencies for maximum ROI.

5abi, are you aware that individuals cannot post listings to the major property portals (RightMove, Zoopla, PrimeLocation)?

Even if you don't want to use a high street agent (which is fair enough and your choice), having some kind of EA (such as an online one) will allow for your property to be listed on these sites. It's a big deal to be listed on RightMove or Zoopla and hundreds, even thousands more people will know about your property if you find a way to get it on there. More potential buyers = better chance of that good ROI you want.

5abi wrote: »

Because of my lack of knowledge, I dont even know how much an agency charges on this and that's what scares me the most.

Fortunately, this is something you can find out for free. Ask two or three local agents to come round and look at the property and let you know what they'd put it on the market for, how they'd market the property and how much they'd charge. EA fees are typically negotiable, so they probably won't tell you their best price right off, but it'll give you a much better idea of value, cost and what's involved in marketing a property. You're under no obligation to sell with any of them just because you've asked for a quote.

5abi wrote: »

The agency has an interest in selling the property as soon as possible to get their commision, even if its less than the market value as long as they get swift commissions, this is what I have heard.

And I thought I was cynical! There is no 'one type' of EA; some are genuinely good and earn their money, while others are as you describe. For the probate property my family has just sold, we were offered a good price right away (5% off asking price) and the EA advised us to hold out for more. Another higher offer came in and she again advised to hold out for more. We ended up getting 3% over the asking price, thanks to her advice. It was a £28k increase from the original offer!

5abi wrote: »

The price according the zoopla is pretty good and I would like to get close to that price.

If you mean the amount Zoopla says it's currently worth, I wouldn't trust that in the slightest. It's an incredibly unreliable way to calculate value and often, it's just plain wrong (by tens of thousands of pounds). You'd be much better off looking at sold prices for similar properties in your area and really getting to know what properties of a similar type in a similar location are selling for.

ellie27

I used a local online agent based in Glasgow, upfront fixed fee of £480.

They came out and took photos, wrote all the advert, marketed on rightmove, they took the calls, they arranged the viewings (I carried out the viewings) they called the viewers the next day for feedback, they emailed me the feedback for each viewing, they received offers and negotiated for me just like a high street agent would have done.

I was very happy. I got exactly what I was looking for (which was more than the high st agents told me to put it up for!)

I saved over £1500

Surrey_EA

ellie27 wrote: »

I used a local online agent based in Glasgow, upfront fixed fee of £480.

They came out and took photos, wrote all the advert, marketed on rightmove, they took the calls, they arranged the viewings (I carried out the viewings) they called the viewers the next day for feedback, they emailed me the feedback for each viewing, they received offers and negotiated for me just like a high street agent would have done.

I was very happy. I got exactly what I was looking for (which was more than the high st agents told me to put it up for!)

I saved over £1500

Alternatively, like the poster above, a traditional EA may have achieved a sale at a higher price, more than offsetting the higher charges. Not guaranteed of course.