10 Steps to Real Estate Property Selling Process in Cebu, Philippines
Selling your Cebu Real Estate Properties like Houses, Condominiums, Lands, Beach Lots by the Owner in Cebu could be that easy if you know the process of doing it. But most of the property owners choose to be safe and go through a hassle-free process when selling their Real Estate Properties.
Here are the latest steps for a safe and hassle-free process of selling your Real Estate Property in Cebu, Philippines.
STEP 1: Property Owner hires a full-time Licensed Real Estate Broker to sell their property.
The Seller and Broker will discuss property details (Location, Lot Area, Improvements, etc.) and agree on the terms of the sale, the professional fee, or the commission. At this stage, the Broker will ask for photocopies of the title, tax declaration, and lot plan from the owner to conduct due diligence on the documents. Check if the property is free from unpaid mortgage, liens, and encumbrances and to check what documents need to be prepared or settled before the sale.
The Authority to Sell to be given to the Broker can be an exclusive or non-exclusive Authority to Sell his or her property. In the Philippines, the property owners usually issued a non-exclusive authorization giving them the option to hire more brokers to market for their properties. Unlike in the United States, the owners give exclusive jurisdiction to one Broker or Realtor to handle the sale of their property, thereby easing the burden of talking to so many Brokers.
The Authority to Sell is a listing contract between the Property Owner and Real Estate Broker, thereby authorizing the Broker to offer the property for sale. If the Broker can bring in the buyer and close the deal, the seller is bound to pay a standard professional fee of 5% based on the agreed selling price between seller and buyer. This Authority to Sell document will also prove that the Broker is legally authorized by the owner to offer the property for sale. In our practice, we show the Authority to Sell to our prospective buyers to let them see that the price we offer is the official price of the owner, and we don’t do mark-up on the price.
STEP 3: Property Inspection by Real Estate Broker
The Broker must visit and check the property to see the property’s location and assess its selling price versus the property status. We take it to account that it’s a No-No for Real Estate Brokers to give the seller the selling price of the property since they are the ones that will sell the property. But a Broker can provide recommendations if the price is very high or low.
STEP 4: The Broker will offer the Property for Sale
When the Broker accepts the Authority to Sell, he/she commits to use all sales efforts toward affecting the sale of the property. If there are restrictions on posting property photos online, it must be stipulated in the Authority to Sell agreement.
STEP 5: Property Viewing
The Real Estate Broker will accompany prospective buyers during the viewing of the property. With Cebubai, we advise sellers to keep property clean and presentable to add value to their property. The Broker gives notice to the owner ahead of time of their viewing schedule.
STEP 6: Offer to Buy or Purchase from Buyer
If the buyer is interested in buying the property he viewed, he submits an offer to the seller. A request to buy/purchase is a written contract setting out the terms under which a buyer agrees to buy the property, including taxes to be paid by either seller or buyer, the amount of earnest money, and lastly, the date to which full payment is to be made.
STEP 7: Acceptance of the Offer By the Property Owner
The Property Owner shall accept the buyer’s offer for the sale’s finality once the price offered and terms and conditions stipulated in the offer to purchase are acceptable to the owner. Otherwise, a counteroffer is provided back to the buyer until both the seller and buyer reach a final agreement.
STEPS 8: The Earnest Money
The home buyer’s amount of money to the seller to hold the property for sale in a given time either for the buyer to conduct due diligence or a seller to vacate the property and comply with all additional documents required. The earnest money payment can be forfeited in favor of the owner once they failed to pay the remaining balance in full on the agreed date of payment, or the money can also be refundable subject to deductions or interest depending on who has not made the conditions stipulated in the agreement.
STEP 9: The signing of Deed of Sale by the Seller and Buyer
Both the Property Owner and the Buyer will sign the Deed of Sale when the buyer makes a full payment. And the owner’s original copy of the title is given to the buyer. At this point, the seller submits all other documents needed.
STEP 10: Processing of Title Transfer
For more than 20 years, MC Dela Fuente Realty has helped and guided property owners to dispose of their property without any hassle at all. We assure the Buyers that we process the transfer of their title for FREE for all properties sold by us.
Selling any of your Real Estate Property in Cebu? Call us now!
We do it for you! Since 1997, we have helped and guided property owners dispose of their home in Cebu, Philippines.
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Ma. Corazon A. dela Fuente
Licensed Real Estate Broker in Cebu, Philippines since 1997
REB License #: 0006953
PTR #: 241589
DHSUD #: CVRFO-B-12/18-0673