Words of wisdom for vendors
Selling your Bulgarian property? Most buyers know a good deal when they see one and the market is nowhere near as good as it once was if you are considering putting your property up for sale.
Vendors should endeavour to think positively and remember that there are still enquiries from buyers in the UK, Ireland and other countries.
There are purchasers with decent budgets around, who have been lucky in not being affected too much by the current financial difficulties. Think also of those who are totally fed up with the UK: their numbers are increasing, looking to spend on a bigger or better Bulgarian home with a super lifestyle.
If you want to sell now, it's all about price. If a buyer feels your home is a good buy compared with others for sale, then you will sell. Consider the price carefully before putting the property on the market, otherwise it could hang around for months. Plenty of vendors have already dropped their asking prices during this year and those properties which buyers perceive as good value are selling.
As a vendor, consider it from the buyer's perspective:
You bought it for a, you spent b on renovations and want c profit. Therefore you put it up for sale at the sum total of all three. This is no way in the current marketplace to make a valuation of your home. Buyers don't care how much you are likely to make or lose. Whatever you have spent, if your property does not compare favourably on price with others which are similar, then they will not buy.
You are not pressed, so you decide to put it on above market value and see what happens. You may be waiting a very long time. Long gone are the days of taking a chance for an over-inflated price and hoping. Buyers can spot an over-priced property immediately, particularly with the availability of the internet to check out property prices and make comparisons. Agents will also not be happy with you as they are well aware of prices on the market. You will find it difficult to get the agent to devote much time to selling your home, knowing it is over market value, when they have others on their books which represent better value.
You want to leave room for the vendor to negotiate the price. Similar to the above, buyers can search all over the internet and the price they see, with your room to manoeuvre built in, may discourage them for putting your property on their list. You take the risk of falling into a figure above their budget. Check for yourself on the internet and make sure the amount you leave for negotiation is small and doesn't take your property above key search amounts on the internet sites.
Down the road
The property down the road is on for 20,000 more. I am sure every estate agent has heard this - and probably very frequently too. Well, it may be true that a nearby property is on for a lot more, but the key question is 'has it sold'? There has been plenty of property in Bulgaria put up for sale at over-priced figures. This can create a false perception of pricing and the real price at which property is selling. A property is only worth what a buyer will pay.
If you are in doubt about pricing your property to sell, then take advantage of estate agents with a good track record and you trust. Do not just look at their internet sites but get on the phone or email and find out what prices similar properties to yours have sold for recently. Also ask about any you have noticed lurking on the market for a long time and ask why they have not sold. This will give you a more accurate view of the market and the real value of your property.