The Steps in Selling directly to a Private Buyer
1. Make the firm decision to sell your property. Make sure your spouse, family, or whomever is relevant in this decision, is fully on board. You will need them later.
2. Engage the services of FSBO by listing your property on the FSBO website.
- Add as much detail as you can in order to allow interested parties to make an informed decision before contacting you.
- Attach your best photos of the property to your listing. If you need the services of somebody with a camera and an eye for this kind of thing, make contact with us. We will help you in the right direction.
- We will call you once your listing information has been received. We will likely have a few questions.
3. Once your listing is approved, we will send you an editable contract – ‘Offer to Purchase”.
4. Print a few copies and keep them handy. This is the document that a potential buyer will sign with his or her offer for your property.
Now for the next part:
1. Remember that your contact details appear at the bottom of your listing, so any interested party will make contact directly with you. So keep your phone handy and keep an eye on your emails.
2. An interested party may want to visit the property, so make an appointment for such a viewing when it will be convenient for both parties.
- Some of our past clients who wanted to sell directly were inundated by real estate agents who deemed it their right to view your property. So be VERY sure to ask if the person contacting you is a real estate agent.
- Some real estate agents even contacted our clients and said that they have a buyer, and will need a certain amount to introduce the buyer. Do NOT fall for this type of scam.
- You would be well advised to avoid contact from all real estate agents altogether, while your property is listed on FSBO.
3. During a viewing, be courteous and friendly, and accompany the visitors at all times.
- You should get a municipal valuation and/or private valuation and keep a copy close by. Buyers would want to see that before they make a final decision.
- Make sure your compliance certificates from the municipality is in place and available for viewing as well. No transfer can take place without them.
- To state the obvious, mow the lawn, clear out any clutter, make sure that especially the kitchen is sterling. A neat property attracts far more attention than a scrap yard.
4. Invite your visitors / viewers to make an offer on the property. You may want to consider such an offer at a later date.
5. If a party is sincerely interested – and this is important – ask them if they have a ‘Pre-Approval’ in place from any bank in Namibia. Their answer will determine the next steps.
6. If a party wants to buy your property, negotiate a final price with the buyer and get a signed Offer to Purchase that would be acceptable to you.
From here, the process gets simpler
A. If a buyer has a pre-approval in place, you can bring the signed Offer to Purchase directly to Neves Legal Practitioners.
- From there, the transfer of funds for the property takes place between the financing bank, Neves Legal Practitioners and eventually, you.
- Neves Legal Practitioners, as represented by Jorge Neves, also effects the conveyance and transfer of the property into the name of the new owner. This whole process is quick and seamless, and requires no further involvement from your side.
B. In the event that a buyer does not have a pre-approval in place, the process is only slightly different from your perspective.
- The Offer to Purchase gets taken by the buyer to his or her bank for approval.
- Only once approval for the buyer by the bank is in place, does the Offer to Purchase come to Neves Legal Practitioners, from where the process follows the exact same path as (in point A) above.
- If a buyer is not approved by his or her bank, you will be notified, allowing you to continue showing your property, or to consider another offer.
The last step
Notify FSBO that your property has been sold.
- Once your notice has been received, we will cancel your debit order the same day so that you do not incur any further costs.
- We will remove your contact details from the listing so that you will not be contacted any more.
- We will then mark the listing as sold and leave it on our website for a little while so that other parties who were interested can see: Early bird gets the worm.
At this point in the process, do not sit back and relax... start packing!
This may be logical to you, but always consider your own safety and that of your family.
- Do not give any information about your security system out over the phone. Make it your standard answer to say: "Our security system is extensive and well maintained - armed response and all."
- Do not give out any information to anybody over the phone about when you and/or your spouse will be at home. Nobody needs to know that.
- Do not divulge information about where you work and what hours. You are selling a property, not applying for a job.
- Talk to your housekeeper and ensure that he or she does not allow ANYBODY unto the property, with whatever excuse, unless accompanied by yourself.
- Nobody has a right to enter your home. To allow a viewing or not, is entirely up to you.
- "Real estate agents" have no right to bring in outside parties who did not have direct contact with you, as well as your permission to view the property.
- Invite the biggest friend you know over for coffee when you intend to show your property to an interested party. There is security in numbers.
- If you do not feel comfortable, you are free to turn around a visitor at your gate and not allow entry.
- Allow no more than four adults into your home at a time. Larger groups are harder to control and you may want to avoid creating the opportunity for things to go missing.
- Ask a person who claims to be interested if they have a pre-approval in place. This might indicate to you whether that party is interested or merely curious.
- When showing your home, never leave the viewers out of your sight. Keep them together and always remain with them. "If you would ALL come this way please..."
- A person viewing your home, has no right to open your cupboards. Make this clear.