Sellers should be serious
Sep 29th, 2008 by jkproperties
Offers to purchase submitted from buyers supported with guarantees of 100% bonds and backed up with their own costs should be taken very seriously by sellers.
Gail Compton, broker owner of RE/MAX Tricolor, believes good opportunities to sell, when weighed against the current market conditions, are being lost because too many sellers remain overly fixated on unrealistic expectations of current market values.
And the value of an offer today, she emphasises, is not just about the price offered, but the surety of the buyer being able to meet the financial conditions of the contract. Other factors underpinning offers that should be weighed up favourably by the seller is the buyer’s work status and whether a first or second time entry into the market.
She illustrates her view by pointing out that offers to purchase supported by costs in her prime market of Westville in the R1,3m price range are currently hitting a good success rate while offers of around R300k to R400k without costs or with part costs in the Pinetown area have a very low success rate.
By comparison Compton’s sales staff in both Westville and Pinetown has lodged up an almost 90% rate success rate with offers supported by full deposits.
She also emphasises that most offers, while not all, in today’s market are usually of a very serious nature, usually crucially evaluated and the result of lots of homework by the purchaser.
“If you look at the current interest rate highs, the already and further predicted declines in property prices, its only the very committed buyer who is purchasing now and these are few and far between. So in my view all offers should be given very serious consideration. Sellers should also be aware that most buyers today have a plan B and even a plan C if their first two choices collapse.
Jeanne van Jaarsveldt, finance and marketing director of RE/MAX South Africa, also points out that sellers should view all buyers as “hot commodities” in the current market and make every effort to maintain any interest shown in a property.
“This should be done by keeping the mediating agent on his or her toes in terms of the buyer’s status on deliberation to purchase. If there is a point of concern on the buyer’s part stalling the sale then do your best to negotiate a solution, but quickly and amicably.”
“It’s normally up to the agent to maintain the buyer’s high degree of interest, but in this market the longer a seller dithers over an offer the quicker the buyer’s interest cools, especially with the volumes available on the market.
Source: Property24.com
Jaco Viljoen 082 712 4352 http://www.jkproperties.co.za/ Property for sale in Benoni
