Unsold properties: Why they may not be selling
Why won’t some houses sell, even though they’ve been on the market for ages?
Some agents will be keen to reassure them that “It’s not you, it’s them”. Either that or “there’s just a shortage of buyers at the moment”.
But what if that’s not the problem? What if the real problem is the home itself?
Here are eight things that make it difficult to sell a property. Also, what you can do about them if any apply to your home.
1. The price is too high
This is by far the most common problem and is partly a function of how the estate agency market works.
Agents are often competing to sell the property and may pitch an ambitious price to get the instruction.
Geoff Flewers, sales & marketing director of Jukes Estate Agents Harlow adds: “A property has its best chance of selling within the first six weeks of it being on the market.
If the price is wrong from the outset, the vendor usually loses out. They will end up reducing the price. Over time they will sell at a lower price than had the property been priced correctly from the beginning.”
2. The property is in a terrible state
A recent study asked people to name their biggest turn-offs when house-hunting, and the top answer was poor hygiene.
Cluttered and messy rooms also made the list at number six, and untidy or overgrown gardens at number seven.
You would be forgiven for thinking that buyers can see past the mess, but the vast majority of them can’t, and a property that’s cluttered and dirty will struggle to sell.
3. There’s a physical problem with the property itself
A study by price comparison site GoCompare (https://www.gocompare.com/) found that 71% of people wouldn’t buy a property that looked like it had a damp problem. 65% would be put off by rotten windows, and other signs that the property was in a poor state of repair.
If there are serious structural problems, such as subsidence, insurers will not cover the building and mortgage companies will not lend against it.
If people cannot get a mortgage on the house then a huge number will simply not be able to buy it.
4. Tenants in the property are making life difficult
Property investors understandably want to start a sales process when tenants are still in place.
If you have tidy and considerate tenants, then this can work well. However, often they can make the process harder.
In many cases, they’re not prepared to keep the property clean and tidy, which will put some buyers off.
5. The neighbours are a nightmare
Unsold properties: Why they may not be selling
Nobody wants to move into a property with problem neighbours.
A recent study found that the worst neighbour problems related to noise, unfriendliness and not taking care of their property.
It concluded that living next to an inconsiderate neighbour wipes £37,000 off the value of the average home.
In some cases, the neighbours can scare off buyers altogether.
6. It’s in the wrong place
There are all sorts of issues with location that can affect a sale.
Studies show that recent reports about local flooding, planning applications for buildings nearby can all put buyers off.
However, nothing is impossible to shift (provided you’re realistic on price).
7. Evidence of pets
Jukes Estate Agents Harlow point out that evidence of pet hair in the carpets and strong smells in the air will understandably put off potential buyers. Sales Director Lee Venables said: “Properties that have that ‘dog smell’ are notoriously difficult to sell. Also ‘smelly’ cat litter trays. If you have pets and are selling, please do whatever you can to eliminate pet odours”.
8. Parking is a nightmare
According to a recent study, a private parking space can increase the value of a home by as much as £22,500. While the complete absence of a parking option will strip 7%, or £19,500, off the value of a home.
What can you do?
In some cases, once you know what’s standing in the way of a sale, it’s relatively straightforward to put it right.
If the property is overpriced, often a price cut will do the trick. Having said that, it is so important to choose the agent that will price it correctly in the first place.
If dirt or clutter is the issue, it’s worth investing in having it professionally cleaned, and decluttered. As a rough rule of thumb, most houses do best when they are shown with between a third and two-thirds of their original contents. Jukes Estate Agents Harlow have access to companies that will do a deep clean and also help you ‘de-clutter’.
A potential difference of £5,000 or £10,000 in the sale price means that appropriately advising a seller to employ this tactic can often make a considerable difference to the bank balance in the long run.
If you suspect it might be you that’s putting people off, by far the easiest solution is to leave it to the agents to do the viewings so that any personal issues don’t arise.
If you have an unusual hobby or collection, a good agent should also suggest you pack it away out of sight while the property is up for sale, so buyers can see beyond the dolls or the taxidermy.
When neighbours are the issue, it’s worth talking to them.
They may be struggling with the upkeep of their property and would appreciate an offer of help.
They may be unaware of the impact of their behaviour. It’s always worth a polite and calm conversation to see if you can cure the problem before you do anything else.
Do the right amount of work
Not all solutions are straightforward, but some are worth the work.
When it comes to decorative issues, the general advice is to put things right, so you don’t put buyers off.
Jukes Estate Agents Harlow recommends “addressing any maintenance issues before putting the property on the market – even if it means some redecoration or hiring someone to do more structural repairs for you – like mending roof tiles or brickwork”.
If you can treat mould, replace a rotten window frame, add a coat of paint, and solve the problem, then you will dramatically increase the number of potential buyers.
However, when you’re facing a serious structural issue, then doing cosmetic work is not always the right answer – especially if you cannot completely solve the underlying problem.
The people who want to buy your house will be those who think they can buy it for a song, use their expertise to repair and rectify any issues, and then sell it or rent it for a handsome profit.
The more money you spend, the more you will need to recoup with a higher asking price, and the less profit they will be able to make.