In these tough economic times, a new approach is needed to getting your transferee’s UK home sold at an acceptable price within a reasonable time.

This applies equally whether you are providing managed home sale assistance or a buyout at a guaranteed price.

The standard, sausage-machine-like approach adopted by most relocation companies is no longer effective in the UK market.  It never really was a very effective approach to leave virtually everything to the local real estate agency.

UK estate agents are unlicensed and often they lack any formal training.  Almost anybody can set up business as an estate agent overnight in the UK.  There is no multiple listing service - which means all buyer-interest needs to be generated solely by the listing agent.  In this environment the relocation company needs to have a much more pro-active approach in order to get the home sold.

If your transferees’ UK homes are not getting sold it is almost certainly because the relocation company is not doing enough.  Chances are they are just waiting and hoping for the local estate agent to come up with a buyer.  There is a better way and it works!

The UK Relocation Company Must Be Pro-active From the Start

A planned, pro-active approach gets homes sold even in the most difficult times.  Of course, it is in slow markets that an effective home sale manager is most needed. Homes that appeared impossible to sell – even ones that have been sitting on the market unsold for years – can be sold surprisingly quickly if the right approach is adopted.  The following approach has proven to be successful time after time, even with problem properties.

There are 3 key stages to a dynamic home sale process:

• Intense Marketing Review
• Implementation
• Conveyancing

Intense Marketing Review

This first step is key.  At the outset, an intense marketing review should be conducted and a report produced which squarely faces up to the facts surrounding the critical issue of correct pricing of the property.

UK estate agents usually overprice at the outset simply to get homes on their books (listings).  This wastes time and money; and it can be damaging.  This factor is avoided by a number of strategies that include:

• Going to several local estate agents, but only ones with a proven track record
• Giving them clear instructions as to the information they must provide
• Requiring them to support their pricing opinions with data
• Rigorously analyzing their reports and supporting evidence

This process then informs 2 crucial recommendations that will be made to the client, namely:

1. The right pricing strategy
2. The best choice of Estate Agent

The client then decides these 2 crucial issues on the basis of the best possible information - and a sound marketing plan can be developed from there.

Implementation

The next phase is implementation of the agreed marketing plan.  The selected Estate Agency must agree to work to exacting performance standards which should be relevant to relocation transactions in the UK market.

The relocation company then closely monitors the marketing activity and (KEY POINT) must be prepared to move to another Estate Agency quickly if the first Agency is not performing to expectations.  It is sometimes necessary to go through two or three Estate Agencies before a property is sold.

Offers from potential buyers must be scrutinised thoroughly and without delay.  Buyers have to be qualified.  It’s important not to waste time and money on unqualified buyers.  Again the relocation company needs to be actively involved in negotiating any offers.

Conveyancing

It’s important to use lawyers (solicitors) who have a modern, service-orientated approach to conveyancing.  A deal can easily be lost by a poor conveyancing solicitor.

Once a deal is in place in principle, the solicitors are expected to work efficiently to achieve a binding, unconditional contract within the shortest possible time.  Only when that happens can you pop the champagne cork! It’s called “exchange of contracts” in the UK.  The closing usually follows 28 days later and is called “completion”.

ANOTHER KEY POINT: Right up to exchange of contracts the estate agents should be required to keep marketing the home with a view to collecting back up buyers in case something goes wrong before there’s a contract in place.

Conclusion

The dynamic approach to UK home sales described above protects the value of the home by bringing about a sale at a reasonable market price within a reasonable marketing period.  A good outcome is, of course, of crucial importance to your transferee, especially in a falling market.  An unsold home, causing stress and consuming money in the UK, can ultimately lead to a failed relocation.

For more info about Saunders 1865’s home sale services contact

Ann Dinsdale, GMS
CALL + 44 20 7590 2703
EMAIL ann.dinsdale@saunders1865.com

Click here to download a pdf version of this report.