If you want to sell your property, knowing the process of selling a house in Canada will help you a lot. Many sellers assume that all the steps are taken by the realtor and they just need to sign the necessary papers. Of course, this issue is not so far from reality. But the seller, who owns the house, plays an important role in the process of selling a house in Canada. For example, the seller plays a key role in preparing the home, setting the sales price, closing the contract, and transferring the deed.
5 general stages of selling a house in Canada:
- Pricing the house for sale and estimating the necessary costs for its sale
- Choosing the sales method
- Preparing the house for sale
- Beautifying the interior and exterior of the house
- Closing the property sale contract with the client
Pricing the house for sale and estimating the costs needed to sell
Many people only pay attention to the amount received when selling their home. But know that selling a home has costs for sellers. Please consider these costs before deciding to sell your home.
Sometimes the costs involved in selling a home surprise the owners. These costs include real estate consultant’s commission, appraisal costs, home repairs, closing, moving furniture and staging.
Of course, you may be charged a mortgage prepayment penalty or discharge fee due to early settlement of the mortgage loan. You should contact your bank and ask them whether such amounts will be charged to you or not.
If you sell your home before buying the next one, you may need to pay an extra mover and a few months of temporary rent until you find your new home.
Choosing a sales method
You have two options for selling your house:
- Sell your home on your own.
- Hire a real estate agent and benefit from his services.
Not all real estate agents are equal and their skill levels vary. Even the commission fee that real estate agents receive is different from each other. The commission fee of real estate consultants will have a great impact on your profit and is Usually 5% but it will be different in different situations.
If the real estate market is hot, some people give up hiring real estate consultants and sell their homes themselves using the for Sale by Owner method. In this case, instead of paying the commission fee to the real estate agent, the sellers assume all the responsibilities and duties. However, sellers will not save a huge amount. Because they have to pay the commission of the buyer’s consultant and the registration fee in the MLS system. An expert consultant with his negotiation, relationship and bargaining power can generate benefits for you much more than his salary. In addition to this issue, it will assume the legal responsibilities of the transaction and defend your interests. Also, in order to determine the value of the house, he may hire an appraiser and pay his salary.
Preparing the house for sale
If you want to attract buyers the traditional way, in addition to determining the number of rooms, bathrooms and toilets, you should take beautiful pictures of your property to visualize the way of living in it for buyers. However, if your pictures are much better than the house itself, the visitors will be shocked during the visit and will not make a purchase offer. Likewise, if it is of poor quality, many buyers will not have enough motivation to visit your home. You should also specify other characteristics of the property such as the area of the house and proximity to amenities. If you recently painted the walls or bought new appliances, mention them.
Here are some common repairs and upgrades:
- Washing the exterior of the house
- Replacement of insulation of doors and windows
- Painting the walls, doors and roof of the house
- Painting the exterior of the house
- Buying a new gas stove
- Installing a new counter
- Installing a new mailbox
- New shower curtain
- Fix small defects
- Dealing with rust
Beautifying the interior and exterior of the house
The beauty of the exterior of the house strongly impresses the visitors at the first glance. By seeing the exterior of the building, the flowers and plants of the garden, the new mailbox, and the clean and beautiful corridors, visitors get a positive view of the interior of the house.
Maybe you want to stage the house to make it more beautiful. Home staging is more than cleaning and painting. Some people even go a step further and rent artwork or furniture to spruce up the interior of their home. This can cost hundreds of dollars per room. Therefore, be sure to weigh the benefits of such work carefully.
Closing the property sale contract with the client
In different markets, the average time the house stays on the market is different. There is also a possibility that your house will not sell. If you receive an offer to buy, you will have a few options. You can accept it as-is, reject it (if you do not show any reaction, it is the same as rejection) or offer a counter offer to the buyer. The negotiation process is a difficult and laborious scenario. Because everyone wants to take advantage of the situation. This is where your consultant’s negotiating power becomes very important. After both parties agree, the offer becomes a formal contract and the process of fulfilling the conditions and closing begins.
Most of the duties related to closing are the responsibility of the buyer. However, the seller must also take action. Before the closing date, he should find some important documents, make the repairs mentioned in the contract and prepare the disclosure statements officially.
