A Guide to Selling
Contents 06 / Crucial Element 1 - Presentation 08 / Crucial Element 2 - Price 10 / Crucial Element 3 - Method 12 / Crucial Element 4 - Marketing 14 / Crucial Element 5 - Your Agent 16 / Crucial Element 6 - Buyers
4/ Welcome
Welcome Selling your home is one of the most important transactions you will undertake in your life, so the opportunity of creating the very best result is paramount. Over the past 15 years I have learnt that a premium result doesn’t just happen; it is created. To help you understand the premium price sequence and utilise these crucial elements yourself in your further property sales, I have created this easy to follow guide. I hope you find it useful.
Kind regards,
Nathan Najib
Welcome /5
Real Care. Real Advice. Real Difference.
6/ Crucial Element 1
Crucial Element 1 Presentation
This is the most obvious, but widely overlooked, element in a property sale. Presentation of your home not only refers cleanliness, but also how your home flows from room to room, what accent colours are used, the layout of furniture, and the use of accessories throughout. The focus is on how buyers feel when they first pull up outside your home, and how they receive the property from start to finish. Every inch of your home will be observed, from the front door, to the back porch and beyond.
We will engage the services of a stylist to provide our clients advice on what would best appeal to the senses of prospective purchasers. Each property is individual; therefore, tailored advice for your home will differ depending upon your specific needs. Some homes may require landscape attention, while others would benefit from freshening up of paint colours, or staging certain areas. This crucial element of your property sale is the number one element that will create a springboard for your future sale.
Crucial Element 1 /7
8/ Crucial Element 2
Buyers start logically, and finish emotionally.
Crucial Element 2 /9
Crucial Element 2 Price
Building an exceptional price starts by firstly engaging the market place with logical price evidence, and secondly through positioning. Initially buyers will want to justify the logic of the price; however, they will buy on an emotional connection with your property. Working off recent comparable properties in the immediate area and nearby will help create a firm foundation for a logical price position. Once a buyer becomes emotionally attached to your home, the choice to purchase becomes a lifestyle decision rather than an exact dollar and cents decision. It is in the highly emotional part of this equation that an opportunity for a premium result will be found. However, if a buyer feels a property is overpriced, or no price is advertised, quite often they will leave the property without making an offer.
When you are selling your home, you want to know that you are selling it for the highest price possible. For this to happen, a property needs to be opened to 100% of potential buyers. To do this, it is paramount that a property is listed with a price guide. By having a realistic price guide, we are encouraging interested parties to come through the home, allowing them to make that emotional connection. More potential buyers coming through a property means more competition, which ultimately means a higher sale price.
10/ Crucial Element 3
Crucial Element 3 Method
Auction
Deadline
An auction is a great option for homes that are highly desirable or difficult to price precisely.
A Deadline sale method is fundamentally the same as that of an auction, except it allows maximum flexibility for the vendor to accept the offer the vendor is most happy with.
The auction method leaves the outcome open, while also accelerating the sale process by placing a closing date on the marketing process. Compelling buyers to make a decision prior to the auction date, creates a heightened sense of urgency and excitement in the buyers’ minds, which ultimately helps propel us towards a premium price. However, an auction is not for all homes; rather it is invaluable for some. A marketing plan associated with the auction process calls for a slightly more elaborate campaign. The property needs to stand above its competition, and it is crucial to provide all information about the home in advance.
It also allows more control over choosing when to accept an offer. Offers can be submitted at any time from the first day on the market until the deadline, giving the vendor the right to accept an offer at any time. This method will: • Attract a high level of interest through the marketing. • Create urgency as there is a fixed time frame. • Invite interest on your terms without eliminating purchaser variations. • Ensure that interested parties are given all information required to make an offer (generally excluding LIM and building report.) • Not cap the price, averting the risk of forfeiting a premium price. • Allow you to be able to make decisions without pressure.
Crucial Element 3 /11
The right method of sale will go hand in hand with price. There are only two methods that work effectively in residential real estate sales in the modern market.
12/ Crucial Element 4
A premium marketing campaign for your property acts as the fuel of your property sale. The quality of your marketing campaign will determine the amount of separation you create from other competitive properties in the market place.
Crucial Element 4 /13
Crucial Element 4 Marketing
There may be hundreds of properties that buyers are choosing from across a number of suburbs at any one time.
Marketing consists of: •
Your online strategy - property websites and social media
•
Your agency’s database of customers
•
Advertising
The right marketing structure is essential in ensuring the premium price element is maximised.
•
Signboards
•
Presentation
At Najib, a successful marketing campaign is tailored to each property and designed to suit you as the vendor.
•
High quality photography and videography
The effectiveness of your marketing campaign will be the difference for potential buyers to notice your property rather than potentially missing it.
14/ Crucial Element 5
Crucial Element 5 Your Agent
Not all agents are the same. Some are highly skilled, while others are not, as you might see within any field in the business world. Your agent’s crucial function is not just to show buyers through your home; it is to help you protect your price. Their negotiation skills are paramount. Ironically, negotiation is not a trained skill in the industry. However, it is the main reason you engage an agent; to help you determine and govern the strongest possible price. You can only base your selling decisions on the quality of information you receive from your agent, and it is your agent’s skill set that determines the quality of that information you receive.
Before engaging an agent to sell your home, always ask them how they will negotiate on your behalf, as it can be very costly down the track if they aren’t an expert in this area. You don’t get to see what an agent says to your potential buyers. Therefore, you should know how they communicate with interested parties up front.
Crucial Element 5 /15
Not all agents are the same; their negotiation skills are paramount.
16/ Crucial Element 6
Crucial Element 6 Buyers
This is where the process culminates.
Remember the rule: Logical – Emotional.
Having the choice of multiple buyers is exactly what you are aiming for.
An emotional buyer will traditionally spend 5-20% more on a property over what they first thought they would spend.
This doesn’t always happen, but will happen more often than not if all other elements fall into place. The other elements act as a foundation - or spring board - into the market place to support this outcome. Without all the previous elements being covered and maximised, you can never surely know you have given yourself every chance of securing the very best outcome. A premium buyer - or buyers - are created through emotional attachment and urgency.
The key is giving yourself a chance of dealing with more buyers who are more emotionally connected; this is where the magic happens.
Crucial Element 6 /17
The formula for achieving a premium price: • How your home looks and feels • The pricing of your home • The best sale method for your property • High quality marketing • Your agent’s ability • Emotionally connected buyers
Najib Real Estate ph 03 326 7914 @ info@najibre.co.nz 116 Peterborough Street Christchurch Central 8013 najibrealestate.co.nz Licensed REAA 2008