Avoid those 10 mistakes when selling your property in Berlin
Are you currently contemplating the idea of selling your real estate in Berlin?
In this article, we give you more information on how to do this best as well as common mistakes that you should avoid at all costs.
Mistake 1: I will simply go ahead and put my property for sale on the market
Many property owners throw themselves in this great entreprise without really knowing what to expect. There are indeed many questions to answer before going to market: When is the best time to sell? How should the sale process be? How do i take care of my current mortgage? When can i consider buying my next property and do i need bridge financing for that? How do i plan the property transfer in terms of timing and finances? How can i reach the best price for my property in Berlin? What will prospective buyers ask? Which legal hurdles are along the way? And so on and so forth.
This much should be clear: real estate is usually one’s biggest asset. Any small mistake can lead to substantial costs.
Mistake 2: I know exactly the value of my property.
All owners know how much they paid for their property and how much they invested in it throughout the years. This is often used as a price point when assessing the new asking price: „ I want to get out of it at least as much as i put in“. However, this expected value can simply have nothing to do with a realistic target price. The actual value can be under or over the expected value.
The asking price will only be set based on the current offer and demand trends. This assessment process is not so easy and requires experience and knowledge on all factors that can impact the value of your property. This is why it is often wise to reach out to someone qualified to clear any doubts when it comes to property valuation and estimating the potential market price.
Mistake 3: I really don’t need a real estate agent to sell my property
There are in fact of lof of people who have sold their property without the help of an agency. This right question should however not be if you want to sell your property yourself, but how to sell your property for the best possible price without investing too much of your time, stress and money in it.
Experience shows that a committed professional agent is valuable help and worth the money. He is responsible for a proper property valuation in Berlin, creating an efficient and convincing exposé, promoting it on the market, organizing viewings. He is also readily available on the phone, handles the negotiation phase, prepares the sales contract, helps with any issues that might arise. While the real estate agent supports all those costs, the fee only applies if the sale is successful.
Don’t hesitate to trust a local real estate agency with a local and international network of clients to support you through this process. Berlin continues to be a very attractive city for international investors. An agency with a large network increases the chances to reach a realistic and attractive market price.
Mistake 4: I can certainly publish an ad myself
Many prospective sellers are putting their property for sale on online platforms or in the newspaper to see what happens. This can lead to some issues as far as positioning is concerned. Setting the price too high will reduce the number of requests from prospective buyers. Setting it too low may you lose you a fair amount of money.
Another problem: Not knowing enough outlets, or not picking the right ones. Some owners decide to publish their offer on only one or few platforms for ease of use or simply to save money. You might then risk to reach out to fewer people or not the right ones, potentially missing on buyers that might just have agreed to buy your property for your asking price. Don’t hesitate to trust your real estate partner on this. They have the experience and the far-reaching network to let your property shine the right way on the market.
Mistake 5: It can’t be that hard to be showing my own property around, can it?
Indeed, who should be better placed to do that than the owner? Prospective buyers have however often a completely different approach to viewing the property than the landlord. They can all sorts of question like how much it would cost to change the layout, or what insulation works costs would be, etc.
It’s not rare to see prospective buyers come with a long list of questions. Owners are not always prepared to face those questions as they spent most of their time covering aspects they find more important. They might also omit to mention some things, unconsciously or not (e.g: hidden defects that could lead to a price decrease).
Mistake 6: Incomplete documentation
To be able to assess property value or at the latest, to answer prospective buyers’ requests, we will need any and all documents concerning your real estate. Make sure to gather all of them early in the process and requests any missing pieces to the relevant office.
You can find an overview of all necessary documents, and where you can ask for them, on our check-list.
Mistake 7: Forgetting the housekeeping
It is recommended to have your property in the best possible conditions before any photo sessions or viewings.
- Make all the necessary cleaning & renovation works that have been on your waiting list
- Tidy up unnecessary clutter
- Try to aim for a clean and friendly atmosphere
- Remove anything too personal
Mistake 8: Why should i negotiate? I state what i want to have.
You should always keep this in mind during the negotiation phase: Prospective buyers want to lead a successful negotiation. This is why an owner must always think how much to give in for a particular case, and at which point too. This requires experience.
A real estate agent can assist you and help you to lead a successful negotiation. The agency can also be an interesting intermediary for both parties, something an owner cannot do.
Mistake 9: Trust instead of control
Many property sellers are self-conscious when it comes to asking about the credit-worthiness of prospective buyers. Insufficient thoroughness and the simple hope that they payment will go through can lead to costly consequences. A last minute withdrawal when an appointment with Notar has been booked costs time and money, if the notary has already drafted the sales contract at this point for example. To avoid such unpleasant surprises, you need to make sure that the prospective buyer has the financial means to follow-up with their offer. Our agents are happy to share with you what a credit-worthiness check encompasses in Germany. Don’t hesitate to get in touch with us.
Mistake 10: I don’t need an estate agent anyway: the notary takes care of the sales contract.
It is in fact up to the notary to draft a sales contract and guarantee a safe and orderly property transfer. Another fact: the sales contract should reflect agreements made between the seller and the buyer. Since the solicitor was not present during negotiations, oral agreements must be transferred to a lawful written contract. A property owner should know what is contained is the contract (e.g: Should there be a down-payment? Should defects be listed in the contract? Which ones? When should the actual financial transfer take place?, etc.).
This is why we are an asset for you to sell your flat in Berlin:
- A sound and knowledgeable property valuation backed by years of experience and local market expertise, at no cost for you.
- Better market visibility thanks to our professional and efficient promotion
- Save time and increase security with our screening process
- A good selling price thanks to our negotiation know-how and sales skills
- A successful and stress-free sales process supported by our qualified service
Don’t hesitate to get in touch with our estate consultants today (we speak English, French and German fluently). We are happy to assist you across all aspects of selling your property in Berlin.