Selling your home in London can be a daunting and challenging prospect. The process is lengthy and complicated, with a variety of associated fees and an everpresent risk of having your house sale fall through due to endless property chains. However, it doesn’t always have to be like this. You could simply get an offer from Vivo, the best rated fast property buyer in Trustpilot, and sell your house in as little as 7 days, avoiding many of the pitfalls that are inherently connected to selling on the open market in London. But why are quick sales so hard to come by in the Capital?
Selling your home in London can be a daunting and challenging prospect. The capital’s property market is somewhat different to the rest of the UK, so it’s advisable that as a homeowner you know the factors which influence it before attempting to sell. This is particularly true for first-time sellers as the process can be a bit overwhelming as it involves multiple steps, each with varying degrees of complexity and associated costs. Here at Vivo Property Buyers, we look at what makes the London property scene unique, why it may be difficult to sell on the open market here and look at your options should you decide to pursue an alternative house selling method.
The open market in London is slower than the rest of the UK
It’s vital to treat the London housing ‘bubble’ separately from the rest of the UK. According to Post Office Money, it takes an average of 102 days to sell a house in the UK and it becomes 24% longer when it’s in the capital.
But what can you do when you need to sell your house faster? Maybe you need to get rid of an inherited property, or are in risk of repossession, or need to sell your property after a divorce? For circumstances likes these, Vivo can help you break the slow cycle. You can get a no-obligation offer in 24 hours and full payment in less than 3 weeks. This is not only faster than the average, but faster than real estate agents and auctions. Here are the main reasons why Vivo can work for you:
Get a secure London house sale
One of the main risks of the open market is that no house sale is guaranteed until you’ve exchanged. With Vivo, once you have accepted our final offer, the house sale is locked-in and secure. No last-minute snags, just a quick and stress-free way of selling your London house fast, from Croydon to Barnet, from Romford to Hounslow.
We pay all legal fees and costs
The excitement of selling your house can sometimes make you forget that estate agents charge a percentage of the final selling price, meaning that a proportion of the payment you receive is taken. Adding to this are all the other costs that accumulate like solicitors and legal fees. Here at Vivo Property Buyers, we pay for all the cost associated with the house selling process, including the removal of unwanted furniture and a professional house clean, so there are no nasty surprises or hidden fees when selling to us. Not only that, we even pay for you additional legal advice if you feel you should need it.
You may save money in the long run
In order to conduct a quick sale Vivo offer 85% of your property’s market value. But with the slow nature of the property market, especially in London, you can actually get more for your money in the long run.
The process of selling a house can be very stressful, even more when we are talking about a house in London. Even if you are at a state where you are not sure a fast property buying company is the service you need, get in touch with us to hear some honest and impartial advice – if we don’t feel like we are the best option for you, we will let you know!
|Sales process||6 months Open market||7-14 days Vivo Property Buyers|
|Market value (advertised price)||£400,000||£400,000|
|Agreed price (average 5% discount)||£380,000||£340,000|
|Final price after post-survey negotiation (average 3% discount)||£368,600||£340,000|
|Estate agent fees (2% + VAT)||£357,542||£340,000|
|Solicitor fees (average £2,000)||£355,542||£340,000|
|Cosmetic repairs to property||£354,542||£340,000|
|Council tax & utility bills (£400 per month)||£352,142||£340,000|
|Monthly mortgage repayments (£2,100 per month)||£339,542||£340,000|
|Gas safety certificated||£339,442||£340,000|
|Risk of sale breaking down||High risk||Secured sale|
|Final Price £339,442||Final Price £340,000|
Use our form to tell us about your property in London. Knowing the adress, the property type and the number of bedrooms, we’ll be able to estimate an offer for your house
You’ll receive a no-obligation Full Offer Package 24h. This offer will include price and timelines that suit you, and all that is included in our quick sale service
If you are happy with our offer, we will then arrange for an independent RICS surveyor to carry out a valuation of your property in London. The cost of this is paid in full by Vivo.
Once you have accepted the Formal Offer, the sale, the agreed price and timescales are locked in and secured and the appointed solicitors get to work. No surprises.
From the instruction of solicitors, it is possible to get the deal done and receive full funds within 7 days, but our process is flexible and we will work towards your desired timescales.
Now that we’ve seen how selling to Vivo can make the complex and stressful process of selling your house quicker and simpler, let’s take a look at London’s unique property market. London is one of the capitals of the world and therefore plays by its own rulebook. Keep on reading to understand the context in which you will be selling your house and why acting now can help you avoid a lot of headaches.
London is a fascinating city, one that attracts around one-quarter of UK’s university graduates every year, drawn in by good career prospects and progression. As a result of the large influx of young professionals looking for accommodation in the capital, rent prices have risen significantly which has subsequently caused a knock-on effect for London house prices which, according to the UK House Price Index, is 125% higher the national average. While this may be good news for those looking to rent out their investment property it has become a huge obstacle for many London property buyers (particularly young families) looking to get their foot on the housing ladder.
House prices vs income
In addition, London for some can be a chaotic place to reside. It has seen many people begin to sell their homes for pastures new and a slower pace of life, relocating to areas surrounding the capital’s commuter belt, such as in Kent and Surrey. Properties here tend to offer greater space and value for money. Moreover, a recent study by the ONS indicated that more than 340,000 families moved out of London in 2018/2019, a record number since the organisation started collecting this data from 2012, and with the average price of a semi-detached in the capital being £740,908, it can be viewed that this figure is far above the budget of many first-time buyers. To further illustrate the disparity between income and house prices, data from the ONS shows that in areas such as Camden and Fulham median house prices were 21 times earnings, making home-ownership an unrealistic goal for many local residents. If you add in the detail that lending criteria has been getting tougher recently, there has been a reduction in ‘ready buyers’ which is bad news if you’re looking to get a quick buyer for your property.
Are you one of the lucky ones?
However, if you own a home in one of the more affordable areas of London such as in Tower Hamlets, Croydon or Newham you are more likely to succeed in getting a relatively quick London house sale with prices still being affordable to most of the general population. You have to be fast, however, as up-and-coming areas of London often don’t stay cheap for long. This can sometimes result in the London house buyers being far pickier than in other areas of the UK, with potential buyers seeking value for money. Unfortunately, this can hold up the process (a buyer may be selling to someone, who is selling to someone…) and house chains can get quite long meaning that there is a high risk of the house sale falling through.
Now, if you’re one of the lucky ones who has managed to buy in London and are now looking to sell to move to a larger house in the city or to another location all together, you will need to consider the best method to do so which will work to your needs. We previously found that the house selling period can be one of the most stressful periods of your life. So, it’s important to understand all the common problems and how you can deal with them to have a better chance of selling your home.
The process of selling a house on the open market can be incredibly complicated and requires a high level of organisation and coordination from every party involved, and although the London property market moves quickly, this method can make for a lengthy process. One of the first hurdles which can affect timings is finding the right buyer- one who is willing to pay close to your asking price and is committed to push the sale through quickly. Even after you have found a suitable buyer, there still remains a number of legal hoops that you have to jump through, which can often be complex and time consuming, making it hard to sell your house fast in London.
Even after all the back and forth the sale still isn’t set in stone and no one is legally tied in until they have exchanged. It’s not unheard of that even after months of legal work the sale falls through at the final stage, leaving you back at square one. Due to the issues that can arise from an open market sale, it is worth exploring all the options available to you for selling your house in London before you rush into anything.
This remains the most popular method of selling a house in London but it can be difficult, costly and drawn-out. If you have decided that this is the route you’d like to take, the first step before choosing an estate agent is to look at their cost structure – find out if they charge a fixed rate or a percentage based commission. If you do opt to go with an estate agent that charges a percentage rate, try to negotiate it down as most commission rates aren’t set in stone.
Furthermore, estate agent contracts can be wordy and a bit confusing. Read through everything carefully and if you are not happy with certain aspects, ask the agent if they can negotiate on this. Also, ensure not to sign a ‘sole selling rights’ agreement and only opt for ‘sole agency contracts’ or ‘multiple agency contracts’. By signing a ‘sole selling rights’ agreement, you are only allowed to sell your property via the agent. This means that even if you find your own buyer, let’s say a friend wants to buy your property, you will still have to pay the agent their commission. Similarly, a ‘sole agency agreement’ means that you are only allowed to sell your property via the appointment, however, if you do find your own buyer, there is no commission due to the agent. Finally, a ‘multiple agency contract’ means that several agents can have a go at selling your property, giving you more flexibility.
The bulk of the cost associated with a house sale comes from estate agent fees, therefore you could save money if you decide to opt for a private sale. A private sale is when the seller deals directly with the buyer, bypassing the conventional method of using an estate agent. The obvious caveat that comes with removing an estate agent from the house sale process is that most of the leg work around legalities and contracts now falls on you. It’s these details that add to the complexity of selling your house privately.
In addition to learning the legalities surrounding a house sale you also need to learn about your local property market so you can price your property correctly. Once you have a better feel for the dynamics of the local housing market it’s time to find a willing buyer. This is the longest part of the process beginning with choosing the right platform to advertise your house and scheduling time out from your daily routine to arrange viewings. This stage is made more difficult as you are not able to advertise on property portals where most house buyers search such as Rightmove, Zoopla or Primelocation as this is only for agencies to advertise one.
Auctions have become increasingly popular amongst owners looking to sell their house fast. This process can be particularly attractive if the property in question is not selling in the open market due to structural issues or undesired features, as many auction buyers are looking for houses they can reform and sell for a higher value. It also has the advantage that a bidding war by two or more interested buyers can raise the price of the property way above the initial price.
However, attempting to benefit from these advantages can be risky and come at a cost. To start with, despite being faster than real estate agents, the average house sale can take up to three months, and that’s as long as you manage to get your house sold. There is always a risk of getting no bids and thus having your property go through the whole auction process, and paying for all the fees, without ever getting a potential buyer. In this case, you will end up with an unsold property and a hole in your wallet of the size of an auction entry fee, typically around £500-£1000. If you are looking for speed and minimum risk, take a look at how Vivo’s service compares to auctions in this detailed table.
With this overview of London’s property market and its main characters, you should now be equipped with enough knowledge to give your next steps. If you have decided that it is time to accelerate the process and get a quick secure sale of your property in London, submit your details and get a no obligation offer in 24h.