Selling your home is never an easy proposition. Should you spend a bit of money tidying up the property, giving it a lick of paint; maybe sort out those nagging problems that you’ve never quite got round to doing? Then there’s the question of which estate agent to use. If there’s only one horse in town then there probably isn’t much of an alternative unless there is another in a nearby town. However, if you have more than one estate agent reasonably close then how do you choose which to hire? What are your options?

Firstly you should get each of them to come and give your property the once over. They will then give you a valuation on what they think the property is likely to sell for in the current market. Now comes the tricky bit. Do you believe them? Chances are if you get 3 different valuations done you will get 2 vaguely similar prices and one that is a lot higher.

Why is this? Do they know something that the others don’t? Do they recognise quality housing when they see it and the others just have awful taste? Sorry, but neither of these is likely to be the case. What they are banking on is basic human nature, i.e. greed. After all, why wouldn’t you choose an estate agent that thinks they can sell your property for 5%-15% more than the other agents? You’d have to be a simpleton to go with the lower valuations, wouldn’t you? The answer is usually “No”.

What estate agents do, and this does vary wildly from area to area, is provide an estimated value that your property will sell for. Note the word “estimated”. It is quite common practice for estate agents, particularly in areas where competition is fierce, to over value properties just to secure your signature. After 2-3 months of either no viewings or lots of viewings and no offers the estate agent will gently take you to one side and suggest that you drop your price to try to generate more interest - usually because “The market is being a little sluggish at the moment” or “Houses in this area aren’t selling as quickly as they used to.” By this time sellers are starting to get rather edgy and more than willing to do as the “experts” recommend. No great loss for them, just a little longer until they get their cut of the house sale, but for you it is months of anxiety and trying to keep the house spotless for potential viewings - no mean feat if you have a family.

Choosing the right estate agent in the first place should ensure your house sells reasonably quickly and for a good price. So, when the estate agents are valuing your property, how do you choose which one to sign with?

Ask if there is anything you can do to make the property more attractive to potential buyers (inside and out).
The British are incredibly coy talking about money but it has to be done. Ask what properties in the area have been selling for (similar size and condition).

Find out how much commission they will receive.

What will they do to promote your house to potential buyers, i.e. newspapers, Internet?

How long will it take to get the details prepared?

Are they prepared to show buyers around the house if you don’t think you will do your property justice?

How long do they think it will take to get sold at the price they are recommending?

Remember, they are providing a service for you and have to earn their commission. Don’t be afraid to grill them on exactly what they will do for you. Once you have signed with your chosen agent, keep in contact and keep up the pressure to make sure they are working hard for you.

Choosing an estate agent is not just about how much they say you can sell the property for and how little you will have to pay them for the service. Your estate agent must advise you if your property exterior needs to be cleaned or tidied up.

Similarly if your house needs to be de-cluttered they need to gently point you in the right direction. Kerb appeal is very important to potential buyers and a house stuffed to the brim with all your personal bits & pieces will divert attention from the room proportions and any architectural features; quite probably sending a subliminal message that the house won’t be big enough for them and all their clutter.

Even with all these things done it can still take between 3-12 months to sell your home. For many this is an interminable wait, especially in cases of divorce, financial difficulty or similar situations where it is imperative to sell quickly. In these instances there is an alternative. Companies like Sell-My-House-Fast can buy your property in around 4 weeks!! Yes, that is weeks, not months. Choosing this option will not get you the best possible price but when you consider all the factors it isn’t usually very far off what you would eventually get if your property were sold on the open market once you’ve deducted the valuation fee, estate agent fees, Home Information Pack, legal fees and probably having to drop your initial asking price by between 5%-15% - not to mention all the stress and worry over when you will get a buyer and if they are going to pull out (delaying the process still further). Sell-My-House-Fast will pay your legal and valuation fees, there’s no need for a HIP and the sale is guaranteed with completion on a date convenient for you. What more could you ask for?

The credit crunch, which started in the USA, is affecting many things around the world, most notably for us is the effect it is having on the UK property market. In fact, the number of mortgage approvals has not recovered as many had hoped they would after falling drastically in October and November 2007.

Mortgage equity withdrawals have also suffered because of the credit crunch. This is because housing prices in the UK are falling and falling fast. Lending institutions are, therefore, becoming wary of lending money to homeowners whose homes are currently depreciating in value. For lenders it does not make financial sense and so homeowners looking for a mortgage equity withdrawal are often out of luck.

Forecast for 2008
The UK property market forecast for 2008 appears pretty bleak because buyers are unwilling to pay over the odds when prices are falling and are therefore biding their time until house prices have stabilized. The number of completed sales is anticipated to continue falling throughout the year simply because of this uncertainty and financial institutions tightening up on their lending criteria. As the demand falls so will house prices; with sellers becoming ever more desperate to attract offers. Their main options are to either wait it out in the hope that prices will start to rise again or to lower their asking prices in order to sell for whatever possible. Those individuals who aren’t in a position to wait for 6-12 months for the market to improve would benefit most from a Quick House Sale where they can sell their home quickly and easily, usually 3-5 weeks. Although selling properties for cash inevitably means it is sold at below market value, it would at least provide the cash required and the house is off their hands in no time.

House buyers, particularly first-time buyers, will benefit from these low property prices the most - that is if there are any house buyers who can actually get approved for a mortgage. Any property investor with cash available could also make some great deals on house purchases. However, since the market is tempestuous investors who have not fully researched the area in which they are purchasing should proceed conservatively to see where the market is heading.

Having seen massive rises in property prices over recent years because of the general lack of confidence that pensions will deliver the return on investment required for a comfortable retirement, the rapid contraction in funds available for mortgages just might make prices settle at more realistic levels. The volatility in the UK property market could create some major economic problems in sectors not directly associated with property simply through lack of confidence and a general contraction in the money markets. House prices could correct themselves sharply in the near future but only if lenders are willing to provide the funds at reasonable rates. For now everyone will have to take a wait and see approach but for the moment things do not look good.