Editor’s Note: This post was originally published in April 2020 and has been completely revamped and updated for accuracy and comprehensiveness.
Are you ready to sell your home and move on to your next chapter? The recent changes in stamp duty exemptions by the Malaysian government make it an excellent time to sell now.
There is a 75% exemption for homes priced between RM500,000 to RM1 million until December 31, 2023, which means potential buyers can save a significant amount of money.
For example, a 75% exemption on an RM750,000 property purchase will save a buyer up to RM15,000. This will pique the interest of middle-to-upper income first-time home buyers as well as those who are looking to upgrade their property.
On top of that, the memorandum of transfer for houses priced RM500,000 and below is 100% exempt from stamp duty until the end of 2025, offering even more savings for buyers.
With your buyer pool pretty much guaranteed, you can start the process of selling your property with no stress. Here’s a step-by-step guide for you to sell your home:
Step 1: Decide if you will engage an agent or go DIY
As a seller, you can choose to either do everything yourself using property websites or with the help of a professional agent.
While selling your home on your own means you can save from paying the usual 2-3% agent’s commission fee, but it also means taking on all of the responsibility of a property agent:
- Marketing the listing,
- Negotiating the price with buyers,
- Finding qualified buyers to negotiate the price with,
- And all of the legal paperwork in between for you to cash out, transfer ownership, and move into your new home.
While you can do it yourself to save money, there are many advantages to engaging a property agent, such as: They’ll be able to dedicate a lot more time to the process, which can be quite complex, including plenty of financial and legal paperwork that has to be done correctly.
Furthermore, agents have a wealth of information about the property market and are experts at working with buyers. They can persuade buyers to make an offer and negotiate the price to ensure that you get the most money possible for your property. Furthermore, they can leverage their network of past and current clients and collaborate with other agents to expedite the sale of your home.
Step 2: Research the asking price
This next step is important, especially to those of you that are confident in your decision to not hire a realtor.
Before putting your home up for sale on a property platform like Ohmyhome, you should first get an accurate valuation of your home. It’s important that you have an estimate of the current market price for your home so that you won’t ask for too much money and scare off potential buyers, or ask for too little and not make a profit.
With a little bit of research, you can get a better idea on how to price your home:
1. Ask your agent to generate a home valuation
One way to get a home valuation, which is typically based on a number of factors like property type, location, average prices and more, is by getting a professional appraiser to conduct an inspection of your home. This ensures you’re not overpricing and scaring away potential buyers, or greatly losing out on profits by underpricing.
The great thing about our Ohmyhome Super Agents is that they are able to generate a home valuation for you, and you won’t even have to ask them for it. This is part of their process in serving home sellers like yourself.
With Ohmyhome, you will be getting a comparative market analysis on top of your home valuation. That means you will be able to see past transaction data of houses in your area (i.e. how much they have been sold for), and a market survey including the asking prices of property listings similar to yours and whether the property is furnished or renovated.
2. Look up online listings in your area
If you’d rather DIY, you need to conduct a market research on your own. You can visit property portals such as Ohmyhome, where you can filter your search by property type, such as bungalows, semi-detached homes, or terrace link houses, to find similar property listings and how much they are selling for. are currently being sold for.
3. Try contacting realtor agencies
Call up a few local realtor agencies and ask about the price of properties similar to yours in your neighbourhood. They may be willing to share some insights and give you a better understanding of the local real estate market, though probably not without getting you to sign an exclusive agreement with them first. So may the odds be ever in your favour on this one, because it’s really a toss-up.
4. Drive around your area and look for other for-sale properties
The third method is an oldie but a goodie. Take a drive around your neighbourhood and look for “For Sale” signs and banners. Call the phone numbers on the signs and ask about the asking price and other relevant details. This method can also give you a better understanding of the current supply of houses on sale in the area.
5. Consider the renovations you’ve done for your home
If you have made any unique renovations or improvements to your property, be sure to take them into account when determining the asking price. These can add value to your home and set it apart from others in the area.
Step 3: Spruce up your property
As a homeowner, you may have become accustomed to certain areas of your home and may overlook areas that need improvement. Try to look at your home with fresh eyes, as a potential buyer would.
Framing your home in the best possible light is crucial when it comes to selling your property. One effective way to do this is by choosing colours, furniture, and decor that complement each other and create an overall aesthetic that appeals to potential buyers.
In addition to framing, there are several general rules to follow when preparing a house for sale. Giving both the exterior and interior a fresh coat of paint, and performing a deep cleaning are great places to start. It’s also important to take care of any plumbing issues, leaking roofs, broken fixtures, and other repairs. Neglecting these issues can make it harder to land a buyer and could even decrease the perceived value of your home.
By taking the time to properly prepare your home for sale, you can increase its perceived value and attract more potential buyers.
Step 4: Conduct a home viewing or a video tour
Once again, if you have hired a property agent, they would handle this step by taking potential buyers around the property and answering questions that they might have. Realtors would discuss at length with the buyers regarding an offer to purchase agreement and relay it all back to you once an offer is put in.
If you are conducting the viewing, make sure to take precautions by having someone you know and trust there with you. If you’re still living in the house during the viewing, tidy the place up and take down personal things such as photos. Make it feel as homey as possible, but remove any clutter. After all, you’re trying to sell them a house so that they can turn it into their home.
If you cannot conduct physical home viewings, ask about doing a video property tour and put it up with your listing. At Ohmyhome, our property agents. You can upload the video on the Ohmyhome platform.
Step 5: Hire a lawyer
Several legal documents have to be written up and signed for the house to be sold and passed on from you to the new owners. The lawyer is there to write up all the legal documents required to have the house sold, such as the sale and purchase agreement (SPA) and the memorandum of transfer.
The Sales and Purchase Agreement (SPA) is one of the most important documents of the entire process. It is often too late when people realise their SPA’s crucial importance until something goes wrong.
This is also why hiring the right property agent is essential. You’ll be able to tap into their vast experience and network of contacts to ensure you’re doing things the right way. They know every trick in the book and can connect you with the right representatives.
Step 6: Getting paid and deducting expenses
After accepting an offer, your buyer should give a deposit worth 10% of the selling price. All you have to do is wait for the buyer’s bank to release the money to your lawyer and then to you. The bank often releases the money in two stages: the first is often to cover your mortgage loan on the property with your loan bank, then the second is to you through your lawyer.
Once you’ve received the payment in full and you’ve handed over the keys, it’s time to pay your dues to the government. As of 2019, there were amendments made on the Real Property Gains Tax (RPGT) rates, which were announced during Budget 2019. If this is the first home that you’re selling, you will be given a one-time exemption from RPGT.
If you follow these steps, you can cover the essentials and complete the property transaction hassle-free.
Let us help you sell your home at the best price
Having an experienced Super Agent from Ohmyhome by your side gives you invaluable peace of mind as you know you have someone who is looking out for your best interests. You will be matched with an experienced agent specialising in your area – which means they will have extensive knowledge of the real estate market and the neighbourhood where your home is located.
They can help you understand market trends and conditions, identify potential buyers, and negotiate the best possible price for your home, while also handling the paperwork and legalities involved in selling a home, making the process less overwhelming and more streamlined.
Secure an appointment with any of our Super Agents today by dropping us a message on WhatsApp or via our Live Chat at the bottom, right-hand corner of the screen. You can also give us a call on our hotline at 016-299 1366.