Have you ever sold a house that had a mortgage on it? The process can be tricky and time-consuming. It requires the assistance of a solicitor, an independent valuer, and in some cases your mortgage provider.
In this article, we break down the process into three simple steps that will help you to sell your mortgaged property quickly and at the best price possible. We’ll also share tips on how to maximise your profit by choosing the right solicitor, getting rid of unwanted items, and making sure your home is presentable before putting it on the market.
The first thing you need to do when selling a mortgaged property is set an asking price. There are several factors that will contribute to the price of your home, including:
- The amount owed on the mortgage
- The market value of the property
- The area where the property is located
- Your timing with the market
You can get an estimate for the market value of your home by checking out a range of websites, and compare that with what you owe on your mortgage. You might want to consider setting a higher asking price and then negotiate down if people don’t buy. When selling your home, it’s important to remember that you want to sell it for as much as possible. If you are not sure about how much the house is worth, you should get a professional valuation from an independent valuer.
After finding out how much the house is worth, you should decide whether or not there are any upgrades or improvements that would increase its value. If there are things like new carpets or appliances in your kitchen and bathroom, this will increase the value of your property. You also need to think about whether or not there are any additional costs associated with selling your house (e.g., lawyers fees).
When assessing what you should ask for in terms of price, bear in mind that mortgages typically have three repayment plans: interest only (IO), capital never repayable (CNR) and repayment interest only (RIO). The
The first thing you need to decide is what type of lawyer you want to use. There are two options: a commercial solicitor or a conveyancing solicitor.
Commercial solicitors work with businesses and landlords, while conveyancing solicitors work primarily with residential property transactions.
Conveyancing solicitors are the best option for homeowners because they can offer expert advice on how to sell your home quickly and at the right price.
A commercial solicitor will cost less but they won’t have expertise in selling residential properties. You should also keep in mind that these types of lawyers are often tied to one specific law firm, so if you choose this option, you may be restricted to just one agency.
When it comes time to speak with your chosen solicitor about selling your house, make sure you ask for their rates up front. Some homeowners are surprised by the high costs associated with using a lawyer, but as with any professional service, they're worth every penny.
Before you start selling your mortgaged house, you’ll need to de-clutter and make any necessary repairs. Remember that the buyer wants to be able to picture themselves living in your property; so, it’s important that it is free of clutter and in good condition.
It also pays to have a solicitor review the contents of your property, as they may be able to help you get rid of unwanted items before you put it on the market. When preparing for sale, it's always worth getting a professional opinion from an independent valuer too. They will tell you if there are anything that needs fixing, or if there are any other things that could increase the value of your property.
the home
An important step in selling a mortgaged house is to declutter the property and make sure it’s clean and presentable.
Do some spring-cleaning before you put the house on the market so that buyers will get a sense of how easy your home is to maintain. Remove any clutter, old furniture, or excess belongings from the property.
What if there are objects that you want to keep but don't want potential buyers to see? You can always store them in spare rooms so they're not on display. People walk through homes looking for things they like, so removing unwanted items from sight means you'll have a better chance at getting your desired asking price.
One of the best ways to sell a mortgaged house is by getting rid of any unwanted items. For example, if you have an old sofa or an old fridge in your garage, it’s worth having them removed before showing your property. You might be tempted to hold onto those items because they’re free, but think about how they’ll impact potential buyers.
If they were looking at two properties side-by-side and one had a lot of clutter and the other was neat and tidy, which would they pick? The answer is usually the one that’s neat and tidy.
By getting rid of any items that you don’t want to move into your new home, you make your property more appealing for prospective buyers.
The first step is to make sure your home is in the best condition possible. That means cleaning, decluttering, and tidying up. This can help you get the best price for your property – which will give you more money to put towards things like buying a new place!
It’s also worth noting that it’s not just about making your home look presentable from the outside. You want to make sure that it looks presentable on the inside, too. Items like mouldy carpets and kitchen appliances that are chipped or rusty need to be removed and replaced with cleaner, newer versions.
We recommend getting all of the work done before you put your house on the market so that you can advertise it as an immaculately presented home with nothing to hide!
You may also want to consider getting professional photographs taken of your home so potential buyers can see what they could enjoy if they purchase it.
Selling a mortgaged house in the UK can be a tough and time-consuming process. But it doesn’t have to be! By following these six steps, you can turn a negative situation into a profitable venture.
