New approach results in both a record sale price AND $12,500 saving on commission.
Meet the clients:
It was with sadness that Sandy and Jan were letting go of their apartment. It had been perfect for their lifestyle since purchasing off the plans 15 years earlier. The location, the ease of living. And of course, that view was hard to beat. However, it was time to move onto their next chapter together.
Although they didn’t have to sell, they did hope for a quick hassle-free transaction. Who wants to wallow on the market – plans on hold – life in limbo – stuck between where you are and where you want to be? Certainly not Jan & Sandy. They wanted to get on with it, while also walking away with as much as possible in their pockets.
The most recent sale of an apartment in their complex (just two months earlier) seemed on the low side, especially considering their superior view.
- Selling privately was seriously considered. After all, it wasn’t a matter of “if” it would sell. It’s a special home – it’ll sell itself. It was more a matter of how much they managed to get for it. Plus, they are both perfectly capable people. However, with a business to run and family wedding on the horizon, life was busy enough.
- Traditional Agent: Jan & Sandy value professional help, and certainly don’t mind paying for it. They understood that good agents’ have knowledge, experience, expertise and a stronger marketing reach. So it follows they should be more able to leverage a premium price. With that said, Jan & Sandy felt the $23,000 – $28,000 in traditional commission was a large chunk of their equity. Especially since they were genuine about selling, and had presented their property immaculately. If they sold easily (with a lot less work needed by an agent), why should they have to pay so much? And just because their property is worth more, why should they pay more for the same service? It just doesn’t make sense.
- New Approach: Some friends had recommended they talk to Restate, who work how you’d expect a professional service to… Acting as consultants. Advising and serving their clients best interests. Sharing inside strategies with their clients (helping to get a superior result). Offering fees based on the amount of work and outgoing costs needed for each client, rather than the value of their property. Their friends seemed thrilled with the price they achieved with Restate, and also kept $4,791 more than if they’d paid a traditional commission.
The decision (and results).
Jan & Sandy’s plans were discussed in depth, establishing their goal: To maximise how much they ended up with.
Achieving this required three steps.
- Firstly, protecting their equity by avoiding costly mistakes. This is where Restate stood out from the beginning. Jan & Sandy liked that they were engaging an expert to guide them. Empowering them with quality advice and transparent choices. It felt like Restate had their back. This definitely wasn’t a sales pitch.
- Secondly, maximising their sale price. This is where things get a little more technical. Extracting a premium price from the market is not a matter of luck. It can be engineered. Amongst other things, presentation, approach to the market, smart marketing and how the negotiations are handled all impact the final price. Restate guided Sandy & Jan through all their options. Outlining Restate’s documented five-part process for maximising price – backed up with plenty of recent case studies.
- Sandy & Jan could see that it was all very well achieving a premium sale price, but if their selling expenses were excessive, then their net would be eroded. So once the best price has been extracted from the market, the final step to walking away with the most in their hand, was to minimise their selling costs. This is where Restate’s choice of more efficient professional fees made so much sense. Paying only for the advice & services needed on their behalf, rather than a percentage of their property’s value. Meaning the smoother the transaction, the less they would pay, and the more they keep. Based on the scenarios discussed, the potential savings would be significant.
With the selling plan agreed upon, Sandy & Jan disappeared for a 10 day holiday – leaving Restate to execute the approach on their behalf.
While they were away enjoying a deserved break, strong interest was being generated on their property. Sandy & Jan arrived home to a written offer from genuine buyers who loved the property. After some negotiations, an agreement was reached.
The final result?
A record price for the complex ($130,000 more than the previous sale). PLUS their total fees (including marketing and healthy bonus for the agent) were $12,500 less than they would have paid had they chosen a traditional commission of ($500 + 2.95% of the sale price up to $390,000 + 1.95% thereafter) + GST.
Record Sale Price + Most Efficient Fee = Most in their hand.
“With time being the resource that we were the most short of, we needed to be able to hand over the responsibility for selling the apartment to a team that we trusted and did not muck around!
The responses from Restate were prompt and to the point. We were able to make decisions quickly and with confidence. Restate fitted in around our other commitments. We were kept fully informed every step of the way and the final negotiations were completed in under an hour.
Fantastic service and a great professional team. Easy to recommend these guys and gals!”
Jan & Sandy