11 Dec 2012
Home sellers who have fallen on difficult times remain prime real estate clients and deserve the same level of service as any other buyer or seller.
This is according to Charl Els of the Aida Roodepoort franchise and his opinion is obviously one which resonates with clients, because he has shot to prominence in his local market over the past two years.
He has been named among Aida’s top three selling agents in the country twice, despite the fact that he runs a small, two-person operation. Els attributes a large part of his success to the fact that his franchise is very active in marketing distressed properties. "Mandates issued by the four big banks for the sale of properties under pressure represent about 15 percent of our listings currently."
He says although reserve prices of distressed properties are 80 percent of market value, they consistently achieve at least 95 percent of market value. "On top of that, we sell 75 percent of all the properties we list on bank mandates.”
He says tough economic conditions affect homeowners in all property classes. They have mandates for homes across all price ranges, from R350 000 to R2 million and it's an indication that consumers in all income brackets have been affected by the recession and the tough financial situation since then, as many forced sales are due to bondholders losing their jobs and regular income.
But, he says sellers who have to liquidate their properties remain bona fide real estate clients. "Our view is that in spite of current circumstances such clients deserve the best possible service."
Their approach is based on four considerations. The first is to achieve a fair price as soon as possible to allow the seller to consolidate his financial position. The second is to accept reasonable offers that represent up to a 5 percent discount on market price to expedite the transaction to the benefit of the seller, the buyer and the bank.
The third is to actively market distressed properties as close as possible to current market value, to ensure market statistics are not distorted and, fourthly, they realise distressed sellers' circumstances may change and they may well become clients again in future.
Townhouse for sale in Summerstrand R 1 450 000
House for sale in Montana Gardens R 3 450 000
Apartment / Flat for sale in Brackenfell R 880 000
Apartment / Flat for sale in Willowbrook R 500 000
House for sale in Pecanwood Estate R 5 950 000
House for sale in Olympus Country Estate R 19 995
Commercial Property for sale in Hatfield R 5 800 000
Vacant Land / Plot for sale in Margate R 5 375 000
House for sale in Elspark R 900 000
House for sale in Richmond Hill R 1 200 000
If you are using Internet Explorer 8 or higher, please verify that your Internet Explorer compatibility view settings are not enabled.
For the best browsing experience, update to the latest Version of Internet Explorer or try out Google Chrome or Mozilla Firefox.
Please contact our Property24 Support Team for further assistance. Tel. +27 (0)861 111 724