Ask Jackie: Your guide to the local property market in Longford
I planned on investing in property a few years ago and purchased two apartments and one house hoping to build a portfolio. I have now decided it's a good time to exit the market. Is it better to sell by private treaty or via online auction?
There are pros and cons to both options, the things you will need to complete the sale will be the same regardless of which one you choose.
As your tenants are not renewing their lease you don't have to give them notice, if they had, you would have to give them the required notice period.
The minimum requirement is 28 days but it can stretch to 224 days depending on the length of the lease.
The RTB website https://www.rtb.ie/ ending-a-tenancy lists all the required notice periods.You will also need a BER report, "conditions of sale" of the property: this can cover everything from the title, to planning permission and what is included in the sale.
Let's take the Open Market first
The open market is a great way to sell your property, there is a shortage of stock on the market at the moment, there is a strong demand for family homes with an area that can be used as an office.
Advantages to a private treaty sale include greater flexibility for negotiation but on the other hand, it can be a longer process.
The downside from a sellers' perspective is the buyer can change their mind right up until contracts are signed.
With an online auction, Contracts are immediately signed on the fall of the hammer, an unconditional contract exists which obliges the successful bidder to pay over 10 per cent of the price bid immediately.
The closing date for the completion of the sale is normally four weeks after the auction date. Before the auction, your estate agent will let you know the interest in the property by potential bidders. This will give you the opportunity to set a reasonable reserve.
Depending on how quickly you would like to exit the market, you may decide that selling by auction has more benefits for you than a private treaty sale.
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