Would you like to sell your house or apartment in Luxembourg? There are several factors to consider when selling a property. There are several steps to follow. Here are our top tips for implementing an effective sales strategy. Sell your property in Luxembourg as quickly and efficiently as possible.
What’s the best strategy for selling your property as quickly as possible?
The best way to sell your property is not simply to set a price. What’s more, given the soaring property market in Luxembourg, many owners would be tempted to increase the sale price. But is this the right strategy?
Determine the fair value of your property in Luxembourg
Do you want to sell as quickly and efficiently as possible? You’ll need to determine the fair value of your property. This fair value is the price a buyer will be willing to pay for your house or apartment within a reasonable period of time.
Defining the right price is one of the key elements of an effective sales strategy. By being as close as possible to the right price for your property, you give yourself every chance of selling as quickly and successfully as possible. This is especially true in Luxembourg, which is a buoyant but complex real estate market.
How do you assess the right price for your property in Luxembourg?
The right price for your property depends on a number of factors:
Estimate the “market value” of the property
The market value of a property can be assessed in relation to equivalent properties for sale on the market. Is your home the only one for sale in the area? Is your apartment considered a rare property for sale? So many assets in your sector.
Don’t hesitate to consult real estate ads. You’ll be able to determine a range of asking prices for equivalent properties in your area.
In addition, the latest trends in the Luxembourg real estate market should provide you with additional information on market developments.
Also assess the future prospects of the local real estate market. Are public transport developments underway in your area? Ask your local municipality for more information. Perhaps these developments will boost your selling price.
Evaluate possible renovation work
When a potential buyer visits your house or apartment, he will note all the defects of it. The paintings have to be redone? Is the kitchen obsolete? Are the bathrooms aging or “in their juice”? The terrace is not maintained? Potential buyers will deduct these costs from the asking price before making an offer.
Want to sell your property? Take a critical look at the renovation work required by a buyer. Don’t hesitate to carry out minor repairs. Sometimes all it takes is a fresh coat of paint to enhance a room. You’ll give the impression of a clean, well-maintained apartment. Your buyer will be all the more inclined to pay the asking price.
Showcasing the property’s assets
In your ad, highlight the assets of your apartment or house. Your home is very well located, close to schools, shops, public transport? Do you have a large balcony or terrace? Your garden is huge? All these assets will be appreciated by your future buyer. Highlight these assets in your ad text and photos.
You should also take into account any disincentives to sales when setting your price. What’s more, you can expect the sale to take longer to complete. It’s important to remember that since the Covid confinement, the absence of the outdoors has been an obstacle to sales. The same applies if your home is located on the 3rd floor without an elevator. Make these points clear during your first contact with a potential buyer. There’s no point in making visits that wouldn’t have taken place if the buyer had been aware of these weaknesses.
Calling on real estate specialists
To find out the right price for your property, don’t hesitate to call in several real estate agents to have it appraised. On the other hand, beware of valuations that are too high. Your apartment or house may stay on the market too long. A property that takes a long time to sell depreciates by itself.
Once the property has been evaluated at its fair value, it is time to think about its marketing.
What are the main steps in selling a property?
If you decide to sell your property through a real estate professional, ask them about their strategy. What are his references? What marketing will they put in place to sell your property as quickly as possible?
Putting your property up for sale
If you decide to sell your property yourself, advertise it on real estate portals. Highlight its strengths. Remember to tidy up your home before taking pictures. Remember to take the pictures during the day. Enhance the brightness of your apartment or house.
Don’t forget the sites of sale between individuals, nor the social networks. In Luxembourg, there are specific pages on facebook. Use word of mouth. Luxembourg is a big village, don’t forget that!
Constitution of the file of sale of a real estate
Prepare in advance all the necessary documents for the sale of your home. These documents will be requested either by your potential buyer, or by the notary in charge of the sale. Here are the documents you need to prepare:
- Accounts and regulations of co-ownership with the last minutes of general meetings for an apartment
- Statement of condominium charges, gas, electricity and fuel bills.
- Proof of boiler maintenance.
- Insurance statements
- Plans and building permit for a single-family home or apartment building if you have them
- Proof of ownership
- Mandatory energy passport for sales and rentals
Visits to potential buyers
Your apartment or house is for sale and you have requests for visits? Here are a few professional tips to apply during your visits.
Play the “Wow” effect at the beginning or end of the tour. And don’t forget that visitors’ questions and comments are not personal. They just ask all the normal questions when buying a future home.
Do you have an offer to buy? Congratulations! On the other hand, don’t hesitate to ask about the creditworthiness of your potential buyers. Negotiating the price is as important for them as it is for you. Do the buyers already have a bank agreement? Do they have sufficient personal funds? Don’t hesitate to ask for financial proof before signing a preliminary sales agreement with a buyer.
Signature of the sales agreement
The compromis de vente is a very important step. It seals the agreement between the parties. It is a final contract between the buyer and the seller. It must include at least the following elements:
- names and addresses of the parties, seller and buyer
- designation of the building to be sold: address, cadastral reference, details of the property, ….
- sales price and payment terms
- existence of any easements
- date of signature of notarial deed and name of notary, with planned date of entry into possession and handover of keys
- possible occupancy compensation in case of delay in handing over the keys
- loan suspensive clause under which the buyer is not obliged to buy if the loan is not approved within 4 to 6 weeks. To be released from his commitment, the buyer must provide you with at least one, and possibly two, bank refusals within the allotted time.
- penalty clause obliging the potential buyer to pay compensation to the seller in the event of withdrawal from the sale. This indemnity is generally set at 10% of the sale price agreed in the compromis.
Registration of the sales agreement
The registration of the sale agreement with the Administration de l’Enregistrement et des Domaines (Registration and Land Office) makes it enforceable against third parties. Registration must take place within 3 months of signature. The registration fees are 12 euros in the case of a compromise with a suspensive clause and 7% of the sale amount in its absence. The 7% represents the advance on notary fees.
Signature of the notarial act
The compromise of sale acts the contract between the buyer and the salesman. The notarial deed formalizes the change of ownership. It is generally carried out within 2 months after the signature of the compromise.
The deed of sale can be drawn up by any notary in Luxembourg. Regardless of where the property is located. The legal guarantees run from the date of signing the notarial deed.
The loan deed will be signed at the same time by the buyer.
Notary fees will be paid at that time. They are generally payable by the purchaser, but can be agreed otherwise between the parties.
Our advice for the smoothest possible sale
Do you want the sale of your home to go as smoothly as possible? You’re already planning your future home. If you’re already on your way to a new expatriation, save your nerves.
For this, we advise you to call on the services of a real estate expert. You’ll save time and, above all, worry. A real estate agent knows the local, commercial, legal and financial environment that is related to the sale of real estate. He will accompany you throughout the sales process and advise you in your best interests. The agency commission should not be an obstacle. It’s more than worth it when you know what a real estate agent can do for you.
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