Is There a Buyer for Every House?

If you’re planning to put your home on the market, you’re probably keen to know the odds of finding a buyer for it.

How many house hunters are currently seeking a property like yours? Will it take a huge amount of work on your part – and on the part of your chosen property sales specialist – to drum up interest and attract offers?

In this article, the team at Property Solvers – specialists in fast cash house buying across the UK – answer these questions…

How Do You Know Whether It’s a Buyers’ House Market?

The property market tends to work in cycles – this means there are times when buyer demand is higher than supply and vice versa.

Some of the reasons that would explain a buyers’ or “hot” market include:

• Mortgage companies are lending at lower interest rates (over longer time periods)
• Deposit requirements are low meaning it’s easier to get on the housing ladder
• The economy is doing well, employment numbers are high and people have money to spend
• Properties are selling fast through estate agents and auctioneers
• Houses are selling for over their asking and guide prices
• There’s significant local / regional investment alongside population growth
• There’s a major sense of FOMO (Fear of Missing Out)
• Larger towns and cities (with high concentrations of housing stock) become more popular and desirable.

And here are some reasons why the buyers’ market may not be active – also known as a sellers’ (or “cold”) house market:

• There is a market downturn – as what happened after the 2007-08 financial crisis, for example
• It becomes harder to get mortgage finance
• More buyers feel remorseful after buying property
• More properties remain unsold on the market
• Mainstream media negatively talks down the state of the market
• Properties get reduced in price due to a lack of demand
• Estate agencies closing down due to poor business volumes
• More sellers are open to cash offers (which can sometimes be lower)
• Unemployment and underemployment rise alongside higher welfare claims
• Wider parts of the country are not seeing the right kind of investment and leadership – triggering problems such as rising poverty, crime and anti-social behaviour.

Yet – despite inevitable the ebbs and flows of the market – with the massive housing shortage in the UK, the market always grows over the long term. Whilst it’s often an exaggeration to say that average property values double every 10 years – it’s reasonable to expect this to happen over double this time period.

This means that, as long as it’s priced correctly, the chances of finding someone to buy your property are usually high. This is the case whatever type it may be and wherever it is.

What Types of Houses May Struggle to Find a Buyer?

Even in a hot market, there are still properties that find it difficult to attract serious buyer interest.

These can include:

• Houses and flats that need complete refurbishment
• Houses and flats with structural, damp, dry / wet rot, infestation, asbestos, Japanese Knotweed issues etc.
• Properties (usually flats) with short or defective leases
• Properties with legal issues such as unsplit titles, flying freeholds, negative easements, restrictive covenants, party wall / planning disputes
• Non-standard construction properties (including flats in buildings / developments with cladding)
• Low-value properties in undesirable or crime-ridden areas
• Properties that are too small or are in a high rise building
• Tenanted properties
• Flats and houses with rising (and uncontrollable) ground rents

If, as a seller, you find yourself with a property that falls under any of the above, do not fear.  It’s often simply a case of adjusting your price expectations.

For instance, if your house needs full renovation, it’s fair for buyers to price in the time, effort and money required to bring the property back to a liveable state.

How to Find the Right Buyer

Of course, you’ll want to receive the best possible offer in the quickest possible time for your property.

Below, we’ll highlight the main channels to find buyers – from slowest to fastest – wherever the market is at…

Estate Agency Sale

The most common way to sell a house and achieve the optimum price.  The downside is that sales can take 6 months (often more) from start to finish.

Remember to do your own research on value – much of which can be done online for free.  Estate agents are notoriously known for overpricing properties to win business.

When it comes to marketing, you can certainly promote the sale of your property by sharing links to the relevant information via social media or letting friends know for example.  However, a good estate agent should do the hard work.

Auctions

Live and online auctions have increased in popularity in recent decades and are only not places for people to sell problem properties (like those mentioned above).

What’s more, auctions provide you with a clearer timescale within which you are likely to find a buyer, exchange contracts and complete.

The winning bidder enters into a legally binding contract and must usually pay the deposit on the same day. This means that, unless bids fail to reach the reserve price you have agreed with the auctioneer, your property will be considered “sold” at end of the auction.

Therefore, as long the auctioneer sets the guide and reserve prices correctly, it’s very likely that you will secure a buyer.

It’s also worth noting that, the more interest an auction property commands, the higher its sale price is likely to be. This is because “bidding wars” can break out between multiple buyers, potentially pushing the price way beyond the guide price.

Quick Home Buying Services

It is not always necessary to wait for interest from buyers in order to sell your property for a great price.

When selling your property to a quick home buying company, you can exchange contracts in as few as seven days. This removes a great amount of the uncertainty involved in selling via an estate agent or auction.

The team at Property Solvers offers a straightforward and stress-free home buying service. We’ll make you a no-obligation cash offer upfront, usually worth up to 75% of your property’s market value. If you’re happy to accept the offer, we’ll the your property from you directly.

This means that there will be a clear understanding of the amount you will receive for your house. It also removes the risk of a buyer dropping out further down the line. The process is made far quicker and easier, too. Finally, it prevents the seller from having to pay estate agency charges and solicitor fees – making your sale cheaper by thousands of pounds.

A Smooth Sale with the Right Kind of Home Buyer

Whatever route you decide to take as a seller, the best approach is always to be proactive, forthcoming and flexible.

If you sell via auction or an estate agent, take care to provide all information and paperwork as soon as it is requested. You should also make your home available for viewings whenever possible. This will help to protect you against problems and delays down the line.

If you are selling via a quick home buying service, you still need to communicate clearly with the organisation and provide them with all the details they need.

For further information about Property Solvers’ fast homebuying, auction and estate agency services, simply get in touch with us today. We will be happy to provide you with all of the assistance and advice you require.