If there’s one sentiment that’s dominating the property world right now, it’s the fact that it’s overwhelmingly a buyer’s market.
In many ways, deciding to part ways and give up the keys to your humble abode can be a monumental – and hugely emotional – decision.
But as Phil Spencer, property expert and founder of property advice website Move iQ, exclusively tells Metro, the process doesn’t begin and end once you’ve received an offer.
There’s one ‘blunt’ rule he swears by when it comes to finding a buyer -but it requires going against your natural instinct, and looking past the pound signs.
According to Phil, the ‘excitement’ of finding out you’ve had an offer is unfortunately rather ‘short-lived’ these days.
‘The next sentence is often a less thrilling “unfortunately, it’s quite a bit below the asking price,”‘ he says. ‘The reason these calls often go like this at present is because it’s a tough time to be selling a home.’
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Essentially, in a market where there are ‘more homes for sale than buyers’, househunters can ‘afford to take their time, be choosy and negotiate hard on price.’
And while this means you may end up with more than one offer, the Location, Location, Location presenter highlights that ‘not all offers are created equal.’
Given ‘cash is king,’ you’d probably assume the highest bidder is the one to choose.
However, Phil explains: ‘Sometimes a buyer who is offering a bit less but ticks other boxes can be a better bet.
‘Your home is unique and wonderful to you, but the blunt truth is that not all buyers will see it that way. If they’re spoilt for choice, your home might just be one of several they like in the area.’
When you’re comparing two separate offers, it’s worth being a little bit nosy, asking plenty of questions about the people who made them.
‘Both you and your agent will want to achieve the highest price possible, but be strategic and prioritise buyers who are less likely to change their mind or hit a snag with their own sale,’ advises Phil.
‘Look for buyers who’ve fallen in love with your home, are chain-free or under time pressure – perhaps they’re relocating for a new job or to get the children into a new school.’
Ultimately, he advocates for always choosing someone who is ‘proceedable’ – which is basically estate agent jargon for a ‘buyer who has all their financial ducks in a row, and is committed and serious.’
In England and Wales, buyers are able to pull out easily at any point – and this can happen right up until the contracts are exchanged and the law binds both parties to the sale.
Up until then, either side can close the door and walk away without any legal ramifications – which might result in losing the deposit.
Phil adds: ‘This is more likely to happen when there are lots of homes for sale in your area, and the last thing you want is a buyer whose head might be turned by somewhere else.
‘That’s why a committed, proceedable buyer might be a better choice than someone who’s offering big money but seems less sure. Size always matters, but certainty matters more in the current market.’
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