Selling By Private Treaty
Selling Your Home By Private Treaty Your Property. Our People. SOLD!
Private Treaty is when your home has an asking price and is sold by negotiation.
Benefits Of This Method Of Sale:
You are able to reflect on the buyer's offer.
The buyer does not know what other buyers have offered.
Not as stressful for the seller as an auction may be.
When choosing to sell your home by private treaty, buyers will submit offers to your agent. As the seller, you may choose to accept the offer or negotiate with the buyer by way of a counter offer. Your agent will act on your behalf in the negotiation process until an agreed price is reached. Should the buyer wish to negotiate any changes to the contract such as the settlement date, inclusions and cooling-off periods, you will need to advise your solicitor of the agreed changes to the contract of sale.
Exchange Of Contract:
The exchange of contracts is when you and the buyer each sign a copy of the contract of sale and then physically exchange the contracts. This process is completed by your solicitor, conveyancer or agent. Upon exchange, the buyer is required to pay the deposit which is normally 10% of the purchase price.
The deposit is normally 10% of the purchase price. This is held in a trust account by the agent or solicitor until settlement date.
Once the property is exchanged, there is usually a 5 day cooling-off period unless this period is waivered. There is no cooling-off period when purchasing a property at auction.
Settlement is when the buyer pays the balance of the purchase price and becomes the legal owner of the property. The settlement period can be anywhere from 21 days after the signing of the contract depending on the conditions in the contract of sale. Once the settlement is complete, your solicitor will instruct the agent to hand over the keys to the new purchaser.