It helps to combat the fall in housing prices in Spain. Sell ​​your property privately

The latest data from the last 12 to 14 months points to a big drop of at least 15% according to the Minister Corredor. “Anyone who wants to buy will definitely see a drop in real prices. It is unanimous, all the statistics reflect a drop, it is a reality that we cannot deny now”. However, in the same interview, Corredor went on to say that prices are only falling in line with inflation and the Minister also argued that now is a good time to buy property in Spain as both property prices and the Euribor® (the rate at which euro banks lend to each other) are falling.

In high-end areas like Mallorca, prices have stagnated, so sellers who need to sell have to take offers. To overcome these declines in property prices, more and more people are selling their properties privately, directly to buyers.

This works because the commissions charged by estate agents in Spain can vary considerably, for example in the south: along the Costa Blanca and Costa del Sol, many agents charge 7.5% and up, plus VAT. For cheap properties in rural areas, UK agents have been known to split 35%! So selling a ¬400,000 property privately could save you ¬30,000-40,000, so obviously this can provide sellers with decent savings that can be used for bartering.

Selling your property in Spain privately by placing Se Vende (For Sale) signs outside or on your property or in newspaper classified ads are two ways for sellers to contact buyers while avoiding these high commissions But these options don’t always produce many leads. and they are not practical for sellers who do not live in Spain.

However, the Internet has produced more and more businesses that present a serious challenge for real estate agents. There are many companies that allow sellers to advertise their properties directly to buyers (see bottom of article for one such site). The company charges a fee to put your property on their site, but since this is only 38 ¬, you can afford to use the money saved by not using an estate agent to reduce the sale price of your property without actually losing capital.

The advantages of selling your house privately

· No real estate agent fees or commissions.

You maintain control over the sale.

· You always know exactly what’s going on in terms of my sale.

· You don’t have to trust the word of real estate agents.

· You don’t have to worry about inflated valuation and sales prices.

· Since you’re the one handling potential buyers yourself, you’ll easily know who’s really interested. Being the owner of the house, it is you who is very aware of its characteristics. Therefore, you know how to explain it better.

· Increased Market Immunity: Selling by owner makes financial and practical sense in both the buyer’s and seller’s markets. Similar houses being sold can create strong competition. Selling privately gives that seller a competitive advantage because they can afford to be more price competitive than their neighbor who is listed with a real estate agent. The buyer will normally prefer the comparable property that is offered for a lower cost.

Convenience: You are in control when you sell your property. You can schedule your own appointments with potential buyers. You don’t have to rush to get your home spotless and clean just in case an agent decides to bring a client in that day to show you the property. You are fully aware when people come to visit. Therefore, you can make the necessary preparations. If you don’t live on that property, you more than likely have someone/company looking after the property for you who can usually be negotiated with to allow viewers onto the property.

The disadvantages of selling your house privately

You may not have enough time or knowledge to properly market your property yourself.

· You don’t know how to distinguish a genuine offer from a waste of time. Although normally, if they get to the point of asking to see the property, they will be genuine.

You will have to deal and negotiate directly, and you may not get the highest price.

The main disadvantage of selling without an agent is that many direct sales transactions never close. Some of these deals are aborted because buyers are not properly screened before entering into a purchase contract, whereas a good real estate agent will make sure you don’t accept an offer from a buyer who doesn’t have the equity. One of the reasons many direct deals fail to complete is because there isn’t an experienced person working to move the transaction forward and resolve issues when they arise, of which negotiations are the root cause.

It may sound daunting, but a private sale can offer you a solid way to protect your wealth in these difficult times. If you decide to sell your property outright, your first course of action is to set a sales price. The most experienced agents will, of course, provide a valuable source of market information and help you come to a conclusion on a proper valuation and correct sale price for your property, but beware of agents who tell you what you want. hear. Finding a buyer is, in many ways, purely a numbers game: the more people who see the property, the more likely it is that one of them will fall in love with it and make an offer. Some buyers will negotiate with you and others will be less difficult. But it’s easier to turn down a low offer if you show your property often. You will need to be able to spend some time dealing with inquiries and be able to negotiate your deal. Once you’ve found a buyer, the process is exactly the same as if you were selling through an Agent. You will need to find a good lawyer, who is competent in Spanish property law, to complete your sale and you must deal with leases and exchanges.

In summary, selling a property privately can be as easy or as complicated as any task that involves personal matters. Competent, honest and professional help from good Spanish lawyers and tax advisors can be of great help in helping you manage a sale objectively and more easily and help you overcome falling property prices in Spain.