Approached for private sale

B

Bluecup

Registered User
Messages
61
We were planning on putting our house on the market in the next few months and I guess word got around as someone in the estate is interested in buying it directly. Does anyone have advice on the best way to approach this? I've put together a basic list of pros and cons:

PROS
Avoid auctioneer fees
Potentially quicker sale
Stronger negotiating position - we know buyer is keen on this property.

CONS
Unsure of true value of house- potentially undersell
Missed opportunity of bidding war

Is there any point in getting a valuation done or will they take a quick look around and check the last 3 on the property price register?
 
Get your own valuation. Let the potential buyer get their own valuation (they might have to pay for this).

Start talking to the buyer and see if you can agree a price.

You can negotiate through solicitors either.
 
If this falls through you can still put house on the market. So not much to lose by going the private route.
 
A very interesting dilemma.

If you have an interested buyer it would be great to be able to deal directly with them . It's not just the saving of the fee, it's avoiding the hassle of middlemen.

They are probably more likely to go ahead with the deal.

But an honest and competent auctioneer should get you the best price.

Why not work out what you think it's worth and set the price well above that. Or tell them that you will be giving it to an auctioneer, but if they come back to you with a very good offer , you will sell it to them. Make them tell you what they will pay rather than you set the asking price.

Brendan
 
NoRegretsCoyote said:
If this falls through you can still put house on the market. So not much to lose by going the private route.
Click to expand...

That is a very good point. Start with them. Tell them that you will give the house to an estate agent in one month. So they have a month to make an acceptable offer and show proof of funds.

Brendan
 
I think a lot depends on the kind of property.

A three-bed semi in a settled estate is a pretty generic product and will always attract bids on the open market.

The more unusual the house the harder it may be to get anyone interested.

Private interest is probably more valuable to you if your house has unusual features or is in an odd location.
 
Thank Brendan and NR coyote, really good advice.

NoRegretsCoyote said:
A three-bed semi in a settled estate is a pretty generic product and will always attract bids on the open market.
Click to expand...

It is pretty much this but has a nice kitchen extension that would set it apart from other houses on the street.
 
Bluecup said:
It is pretty much this but has a nice kitchen extension that would set it apart from other houses on the street.
Click to expand...

Well then you won't struggle to attract bids if the price is right.

Even if you don't reach private agreement the other party can still participate in an open bidding. A bidding war might convince them to part with more cash.
 
This happened us last year. We had a valuation already but knew what the house was worth. Buyer was superb & no messing with asking price. For the most part all went smoothly. We actually bought privately too. Once you agree on price, the solicitors take over anyway, saving you estate agent fees.
 
One thing that I would love about this type of purchase is that you maintain your privacy. I would absolutely hate the thoughts of people wandering around the house during viewings possibly unsupervised by estate agent as he can be held up talking to others. Having a good nosy gawk online at neighbour's for sale homes is horrible too.

A young relative who was renting a few years back told me that when their rented house went up for sale the four occupants regularly found items missing after the viewings. They did try to put away carefully as much as they could but stuff still taken on them.

I also think its a good idea to remove photos for viewings.
 
Simply let two agents know that you are looking at putting it on the market after Christmas

Let them view it, suggest a valuation and the cost.

Decide a price you are happy with for an easy trouble-free sale, add 5k and give this to the private purchaser.

They'll look at 10-15k lower and you end up at the price you were happy with.

If it doesn't proceed, you then just decide which agent to use.
 
You must log in or register to reply here.
Menu
Log in
Register