When you decide to embark on the adventure of selling real estate, it is important to know that it is not an easy process. Most often, it involves numerous steps that require a lot of time and knowledge, and can be very stressful. The safest option is to leave this process to the experts, and in the text that follows you can read what the sales process entails, starting with the preparation for the sale itself and ending with the registration in the land register and the handover of the real estate to the new owners.
1. Preparation of sales documentation
After making the decision to sell the property, and before taking further steps, it is necessary to check and prepare all the necessary documentation:
- Title deed / ZK extract
- Operating license
- Energy certificate
Only real estate with office documentation can be successfully sold on the market. Check the orderliness of the ownership in the land registry extract (ZK extract), the existence of active seals and the condition of the encumbrance - a good part of the real estate has a registered encumbrance, for example a bank loan, which can be seen in the Encumbrance Register of the ZK extract. Although this does not represent an obstacle in the sale of real estate, potential buyers must be informed about it.
If an apartment, house or commercial space is being sold, such real estate should have a use permit as proof of the legality of the real estate itself. The same is necessary if the buyer intends to buy the property through a residential credit bank.
And finally, it is necessary to prepare an appropriate energy certificate, which by law must have every real estate built more than 10 years ago.
2. Real estate valuation
After you have prepared the documentation, it's time to deal with the most important thing in real estate sales – real estate valuation.
The correct assessment of the property is crucial for a successful sale. It is difficult to be objective when it comes to your own home, but you should put your emotions aside and look at your property objectively, through the eyes of a potential investor. It is important to invest time and effort in researching the local market and comparing your property to similar properties for sale that have been sold in the area. This will give you a good idea and help you set a competitive and marketable price. It is definitely recommended that you consult with experts about the assessment of the value of your real estate.
3. Preparation, painting, advertising and marketing of real estate
Before painting the property itself, be sure to make the necessary repairs, clean the property, repaint the walls if necessary, raise the blinds and turn on all the lights and make the space fresh and accessible.
Your goal is to present your property in the best light and keep in mind that quality and professionally made photos can significantly increase interest in and shorten the time of sale. If you have no experience in photography, our recommendation is to take photos by hired professionals, but if you want to take the plunge and take photos yourself, we provide you with some tips for creating attractive photos:
- Find some instructions for painting real estate on the YouTube channel
- Take photos during the day when the light is most favorable
- Use wide-angle lenses for a better view of space
After you make a photo, you need to make ads and do good marketing. Today, in the age of fast internet, advertising on online platforms and real estate portals is inevitable. It is also important to advertise your property on social networks (Facebook, Instagram, LinkedIn, Tik Tok...) and use different methods to reach as many potential buyers as possible.
4. Presentation of real estate and negotiation with potential buyers
When arranging an appointment to show the property, try to be flexible because buyers are often limited by the time they can view your property, but try to arrange an appointment during the day, when there is as much natural world as possible in the premises.
The importance of first impressions in real estate sales cannot be overemphasized, as buyers often decide whether they are interested in buying within the first few seconds of viewing, so before potential buyers arrive, keep the apartment tidy, raise the blinds, turn on the lights, air out the rooms and pay attention to details like fresh flowers on the kitchen table, decorative pillows on the sofa, etc.
When communicating with potential buyers, be polite, hospitable, but unobtrusive and arm yourself with patience, because buyers can have a lot of questions about the property itself or the surroundings where the property is located.
When a serious buyer is found with a specific offer, it is time for negotiation, which can be very stressful. Remember, just as you want to get the best possible price for your property, buyers also try to get your property at the best possible price. Do not react hastily, but calmly? think about the buyer's offer and let him know your opinion the next day. When negotiating, be sure to define:
- The price of real estate
- The amount of the down payment (if it is contracted)
- Method and term of payment
- The eviction deadline
- Things that remain in the property
If you feel that you need help with negotiations or at some point there was an interruption in negotiations, feel free to contact us for advice.
5. Finalization of the sale (preliminary contract/contract/tabular document)
You have agreed everything with the buyer and it is time to finalize the sale. Depending on the agreement with the buyer, you will certify the pre-contract and the sales contract or immediately only the sales contract, and after the payment of the total purchase price, you will certify the Tabular Document. In the following text, we will try to explain these concepts in a little more detail:
Pre-sale contract
The most common reason for signing the Pre-Contract is the payment of the real estate through a bank loan, where the payment process itself requires certain time and processes. The pre-contract obligates the seller and the buyer to sign the main contract on the purchase and sale of real estate, and it is also a way of reserving the real estate and ensuring that both the buyer and the seller are serious about their intention to buy or sell.
When concluding a pre-contract, the buyer undertakes to pay the agreed down payment to the seller's account. The deposit is contracted as a cancellation fee, and if the buyer cancels the purchase in the middle of the sales process, you as the seller keep the deposit, and in the event of your cancellation, you must pay the customer double the deposit.
In the pre-contract itself, all information about the property from the ZK excerpt, information about the buyer and seller, agreed price, method of payment, all agreed deadlines and all other details agreed between the owner and the buyer should be defined and entered.
Unlike the sales contract, the pre-contract does not need to be certified by a notary public, but it has legal force even without it.
Purchase contract
According to the Obligatory Relations Act, the contract for the purchase and sale of real estate must be concluded in writing and must be certified by a notary public.
The contract for the sale of real estate, in addition to everything stated in the pre-contract, usually contains the date of handing over the real estate to the buyer and the seller's guarantee that there are no rights of third parties on the real estate.
When a buyer buys real estate with a bank loan, along with the real estate purchase agreement, a loan agreement is signed and solemnized by a notary public, based on which the bank will register a mortgage on the real estate and pay the rest of the agreed funds.
Tabular document and registration of ownership
After the buyer has paid you the entire amount of the purchase price, you will have the notary certify the tabular document confirming the payment and allowing the buyer to register the right of ownership of the property. After that, the buyer submits a request for registration of ownership to the notary together with the sales contract and the tabular document, and the registration is usually carried out within 10 days.
6. Handover of real estate and transfer of utilities to the new owner
As a rule, the buyer expects to take possession immediately after paying the seller the entire purchase price of the property. During the actual handover, the buyer and the seller list the state of the consumption meters in the property, the handover record and the seller hands over all examples of keys to the buyer.
At that moment, the buyer assumes all obligations related to the use of that property - utilities, taxes, etc., and within a reasonable period submits to the service providers a request to change the data in his name (electricity, water, gas, reserve, utility fee, garbage collection, etc.) .
CONCLUSION
As you can see, selling a property is not just a financial transaction, but a process that requires careful planning, serious engagement and knowledge of buyer psychology.
If you have additional questions, RESIDENT Nekretnine are at your disposal and feel free to contact us to arrange a FREE consultation. We are here to support you, save you time, spare you unnecessary stress and achieve the best price for your property.