Check Points before selling property

Points to consider before selling property

Ο Property market in your city/locality

Ο How soon do you need the money?

Ο Price it right

Ο Consider the tax benefits

Ο Check the mortgage status of the property

3 Pricing Strategies for Sellers of Real Estate

In Real Estate Sellers often price their property following one of these strategies. Depending on market condition and factors governing a transaction they may or may not be successful.

1. Premium Pricing
Also called "Above Market Pricing" this is the most popular choice for Sellers. Seller decides on a price above 150% recent transacted price based on recent transaction.
There could be several reasons for this from Seller apart from basic human nature of greed factors like emotional attachment, Seller bias, to avoid Seller remorse etc., Pricing too high puts the seller at risk of becoming a stale property on the market.

2. Market Price
When a Seller prices his property at around 110% of recent transacted price it is tuned to Sell. Most of the Agents prefer this mode of pricing slightly above the market giving sufficient room for negotiation.

3. Below Market Pricing
Some Sellers due to their circumstances resort to pricing their property below the recently traded price. This could be a distress sale. Typically Price would be 75% or below the market price.

While each of these strategies are defended by those following them, an experienced Real Estate Agent can guide the Seller on Comps or Comparable Market Prices for the specific location and suggest best pricing strategy based on market condition and Sellers' need. In Real Estate 'the first price is the best price'. So it is advisable for Sellers to take help from the market intermediary - Broker to finalize the best pricing strategy.

An Agent would take into consideration market value of the property and market condition before finalizing best price for the property as it is important for the property to generate peak interest in the first week into the market.

Why Joint Development for a Land Owner

Joint Development
When a Land Owner signs an agreement with a Developer for construction of a residential/commercial building with a defined sharing ratio it is called a Joint Development Agreement and this may also include a refundable/nonrefundable deposit.

The most important attribute a Land Owner would be looking for in a Developer would be credibility in the market place.
Other major factors - projects done in surrounding location, completion of projects as per schedule, financial strength, goodwill for the brand, ability to get approvals etc.,

In a rising market Land Owner will have multiple offers for the property. When market has limited liquidity, it would be wise for Land Owner to look at Joint Development options.

In simple terms Land owner brings Land to the table and the Developer brings in expertise in Construction of sale-able units and the Goodwill of a brand.

For Brochure on "Top 10 benefits of Joint Development" please call or mail:
Bhava-99403-82149
Bhava@Hanureddyrealty.Com

Top 7 reasons why a Buyer should pay commission to a Real Estate Agent

1. The Buyer will be serviced by an Agent showing different properties suiting his requirement based on Buyer preference in terms of location, size and budget. This requires networking and coordination on the part of Agent.

2. The Agent will guide with writing the offer based on the terms expected and present it on behalf of Buyer.

3. The Agent assists Buyer at negotiation table as this would be very stressful to Buyers not used to negotiations.

4. The Agent will provide price guidance based on his upto the minute market knowledge. Most Agents work in a small territory where they can specialize and over the years accumulate knowledge which is not easy for a Buyer to acquire.

5. The Agent will help with documents and assists in getting all the required documents for legal scrutiny.

6. The Agent with his network can help Buyer with best source of finance based on his background.

7. The Agent will handle all liaison till registration and handing over of the property with parties involved.

Only when the deal is successfully closed commission is payable to the Agent.

It saves Buyer precious time, resources and helps in taking informed decision based on current market inputs provided by an Agent.

While it is true that few Buyers close the deal without the help of an Agent the deal may not have the market efficiency and dynamics brought to the table by an Agent.

Documents required for resale of flat from seller for Legal clearance

Copies of documents required:
1. Parent Documents
2. Sale Deed
3. Construction Agreement
4. Approved Building Plan certified by Corporation/CMDA
5. Building Plan Approval – order & Receipt for Payment of PPA fee
6. Completion certificate/ handing over letter from builder
7. Chennai Corporation Property Tax card & latest receipt
8. CMWSSB card and latest receipt
9. TNEB card and latest receipt
10. Association no dues letter.
11. Encumbrance certificate for the past 30 years.
12. Housing Loan Outstanding balance confirmation from Bank for housing loan if applicable
13. Letter from Bank giving List of Title documents held