Home Guides FOR SALE An easy, step-by-step guide to selling your home If you are thinking about selling your home, this guide is for you! Your home is probably your largest financial asset, so it’s not surprising that the thought of the whole selling process can be a daunting one. So whether you are a first time seller or just want to remind yourself how it all works, this guide will take you through the necessary steps to successfully selling your home. Read straight through the Guide or jump to a particular section of interest as outlined on our contents page. We’ve included a user-friendly glossary to help you make sense of the jargon! You can find all purple words throughout the Guide in the glossary. If you are looking to buy, why not check out our new Buyers Guide, SOLD which will help steer you through the whole process, giving you handy tips along the way. Provided by Part of www.NationwideEducation.co.uk. Independent of Nationwide products and services. Selling Guide Home Guides Selling Guide CONTENTS Click on a Step to jump straight to that section. Step 1: Things to consider before you sell Step 9: Property not selling? Step 2: Where to begin Step 10: Getting organised to move out Step 3: Preparing to sell Step 11: Moving Day action plan and checklist Step 4: How much is your house worth Step 12: After the move Step 5: Selling through an estate agent Step 13: Top Tips for selling or privately Step 14: Frequently Asked Questions Step 6: Getting the most out of viewings Appendix Step 7: Legal work a) What does all this jargon mean (glossary) b) Useful contacts Step 8: Ensuring the sales goes smoothly c) Home seller checklist for those to contact - Part 1: England, Wales and Northern Ireland Available on - Part 2: Scotland www.NationwideEducation.co.uk Independent of Nationwide products and services Provided by contents Selling Guide Home Guides 1 Things to consider before you sell STEP Remind yourself why you are considering selling, and make sure you’ve considered all your options! Main reasons to sell Alternatives to selling Main reasons to sell • If too little space is the issue: you might want Firstly, what are some of the main reasons why to consider borrowing more to extend your present Alternatives to selling people put their home on the market? home – perhaps out into the garden, down into the • Space: upsize or downsizing! basement or up into the loft space. • Location: to move closer to work or family • If too much space is the issue: have you and friends. considered renting out a room or rooms? • If you need to relocate: what about keeping • Financial Difficulties: you may want to your home and renting it out? You may be able clear debts. to get a ‘Buy to let’ mortgage, or, if your current • Divorce or the breakup of a relationship: this house is mortgaged, contact your lender who may is sadly one of the most common reasons; couples be happy for you to rent out, (usually at a slightly need to sell to move on. higher interest rate). Similarly, if you have inherited a property this might be an attractive option. • Bereavement: perhaps you have lost your partner Remember, in addition to your mortgage provider and want to downsize or you have inherited a (if you have one) you will need to tell your property and want to convert it to cash. buildings and contents insurer if you do decide to rent out your home. • Ill health: your home is no longer suitable. • Repossession: you may decide to sell your home Available on yourself to clear the debt owed. www.NationwideEducation.co.uk Independent of Nationwide products and services • Necessary costly repairs: your home may need repairs and you can’t fund the expense or face the upheaval. Provided by STEP 1: page 1 of 2 Selling Guide Home Guides Things to consider before you sell 1 Alternatives to selling cont’d... • A home reversion loan: may be a suitable alternative for some. This is where you sell your STEP • If it is your finances: have you thought about home, or part of it, to a company in exchange for a changing your mortgage, such as extending your cash lump sum, a regular income or both. You have current term to reduce your monthly payments the right to continue to live in your home, under a or remortgaging to release some of the equity lease, until you die. You can usually sell between Main reasons to sell in your home and borrow a little extra? (See our 25% and 100% of your property, but the amount Remortgaging Guide) These options might be Alternatives to selling you get in return will be significantly less than that worth considering, for example, if you want to share of the market value. The actual amount will finance expensive repairs, but you’ll need to think depend on your age – the older you are, the more very carefully before changing your mortgage and you’ll get. make sure that if you do increase your mortgage you can afford the monthly repayments. If you have • House swapping or part-exchange: there are the space, renting out a room could be an option websites that specialise in putting you in touch with here too, but bear in mind that the rent you receive others who are willing to consider this interesting may be taxable (depending on how much you way of avoiding getting stuck in a chain or paying receive). those estate agency fees. • If you are older: a lifetime mortgage might be • Sell and rent back: there are specialist companies the answer if you’d rather not move. This is a type that offer to buy your home from you and then rent of equity release loan that is based on the value of it back to you under a tenancy agreement. This can your home. You get a lump sum or regular income be done quickly for cash and you benefit from being but you are charged interest on the additional loan, able to continue to live in your home, but you would which is added to the original loan amount. You need to be sure this is right for you. still own your home and the loan is repaid when your home is eventually sold. Note though that the • Wait and see: if you’re concerned about the Available on interest accruing is compounding (interest on the market or having difficulty selling, it might be wise www.NationwideEducation.co.uk previous years’ interest) and there may be a risk to put off selling for a while if you possibly can. Independent of Nationwide that the loan could become larger than the value of You might want to use the time to make any repairs products and services your home. However if there is any extra value in or alterations that will add to its value. That way the property after it’s sold, say in the event of your you will be ready to move when you feel the time Provided by death, it will be paid to your heirs. is right. STEP 1: page 2 of 2 Selling Guide Home Guides 2 Where to begin STEP So you have decided to sell. There are a few things you should consider first, including making sure you get your timing right, your options if buying and selling, getting an EPC and budgeting appropriately! Get the timing right Get the timing right If you’re buying • If you don’t need to sell immediately, you can give and selling your property the best chance by choosing to sell Get an EPC when demand is high. This is usually in spring, early summer and autumn; avoid mid-summer and the Budget for your sale winter festive period if you can. FOR SALE • Take in the wider picture too, what is happening in the housing market nationally? Be aware of interest rates and lenders current attitudes. • What is happening locally? Too many ‘For Sale’ signs at one time in your area may put off potential buyers or force house prices down. However, you might be lucky and live in a location that seems immune to the national trends and always has a buoyant market. Available on www.NationwideEducation.co.uk Independent of Nationwide products and services Provided by STEP 2: page 1 of 3 Selling Guide Home Guides Where to begin 2 If you’re buying and selling? STEP You have three main options: • Buy and sell at the same time: this is the most Gazumping is when a seller accepts an offer but common scenario. Whether you manage to sell then before contracts are exchanged, accepts a or find your dream home first is often a matter of higher offer from another buyer. Get the timing right planning, preparation and a bit of luck, but bear in If you’re buying mind it can be stressful trying to do both things at Gazundering is when a buyer who has agreed to pay a certain amount for your home and you have and selling once! If you’ve found the house you want, see Step 3 ‘Preparing to sell’ for tips on how you accepted this offer, then tries to reduce the price Get an EPC could speed up your sale. they will pay for your home at a crucial point in the selling process. Budget for your sale • Sell first: you will be in a stronger negotiating position when you come to buy, since you will be chain free and be clearer about what price you can Get an EPC offer.