Tips to sell properties in recession

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Just a year and a half ago, real estate was among the top growing sectors in India. Then, the economic downturn came and with it the realty sector nosedived. Property prices plummeted, demand was at an all-time low and projects were being abandoned. Some builders went bankrupt and others suffered huge losses. Those who bought properties in the boom time saw their investments lose value. Today, the property market has recovered to a large extent yet it cannot be called a boom time for the real estate market. Selling property in this market is still tricky. Sellers- individuals and builders- need to revise their strategy to book profits in property for sale.

First thing, accept the reality. Phenomenal profits on properties are a thing of the past. So, rationalize your profits and keep them in accordance with the market circumstances. Thus, you would need to redraw your selling strategy in sync with the prevailing demand and supply ratio. You would need to forego any hidden profits and aim at a reasonable profit only. Property developers can look at building more residential units and selling more at lower profit rates to keep themselves in business.

Keep away from unrealistic concessions. Do not advertise saying that you have reduced your prices considerably. That goes on to show that you were charging an exorbitant amount earlier. This will also dent your reputation. So, keep your prices reasonable but firm with a narrow negotiation window. Such sellers gain the most credibility. Once you have gained the trust of the buyer, you will surely make a sale even in recession. For property developers, the advantage is that their goodwill spreads by word of mouth.

You can look at offering additional services instead of offering concessions. Provide help in the paper-work, reduce the hassle for the buyer and be congenial at all times. Buyers appreciate these things a lot and will trust you more. In the property also, you can offer to give a finished product as per the requirements of the buyer. Make sure all fittings, floors, electricity wiring etc are in proper order before you make the sale. The ready to move in properties sell faster than the unfinished products. You can highlight other good things about the property like its advantages in terms of location, security, amenities, power backup, parking, vicinity to the main markets, schools, hospitals, its connectivity, etc. These things attract an impress the buyers.

With these few points in mind, you can develop a sound selling strategy for your property. And don’t panic. Be patient with your search for the right buyer. Since there is liquidity crunch and lack of cash flow, people are not walking around with ready money. They will evaluate every aspect of the property before putting their hard-earned money into it. Make sure you can highlight all the good points about your property while trying to convince the buyer . These things will help you get good buyers and good rates for your property. Once the market picks up, you can again look at making huge profits like before.