Selling my flat: need advice on process

[jobin]

Have never sold a property before, so this will be a first time event for me. My flat is old, in a protected area, rather small, and fully paid for on day one, 12 yrs ago. I don't think any bank will be involved as in the New Territories where some Titles are 'cloudy', etc.

So, i figure some buyer needs to have the cash on hand and is eager to buy. But what is my best option to find that buyer? Go to all the agents in my town with a photo, and estimated size, etc? Since i don't speak cantonese i'm restricted to English only agents, which might limit me. Must i sign some contract with every agent, etc?

Do i need a lawyer or is that the buyer's need? I have a large pile of docs from 12 yrs ago provided by my lawyer then, so does the buyer need such docs anew? How long will all this take, in your estimation? I presume that once the money finds my local bank account, my problems are over. But is this correct, can there be any sort of clawback possible?

Plz give me your thoughts, esp if you are knowledgeable and experienced in this area. I need to get this thing done before CNY, so no time to waste. Thanks.

[JAherbert]

Have never sold a property before, so this will be a first time event for me. My flat is old, in a protected area, rather small, and fully paid for on day one, 12 yrs ago. I don't think any bank will be involved as in the New Territories where some Titles are 'cloudy', etc.

So, i figure some buyer needs to have the cash on hand and is eager to buy.

cash buyer is unlikely, unless it has special appeal, but as you may know the market is poor

But what is my best option to find that buyer? Go to all the agents in my town with a photo, and estimated size, etc? Since i don't speak cantonese i'm restricted to English only agents, which might limit me.

find agents/advertise yourself/advertise on geo;

Must i sign some contract with every agent, etc?

they will require you to sign contract and agree percentage fee;

Do i need a lawyer or is that the buyer's need?

yes you need lawyer, with expertise in that type of property;

I have a large pile of docs from 12 yrs ago provided by my lawyer then, so does the buyer need such docs anew?

yes

How long will all this take, in your estimation

cant say, if the title might be suspect, the buyer will probably demand at least 45 days to close, or more, that means it takes extra time to check all the land/deeds/etc.

I presume that once the money finds my local bank account, my problems are over

the buyer payment is transferred through lawyers, then your lawyer transfers to you.

But is this correct, can there be any sort of clawback possible?

no

I need to get this thing done before CNY, so no time to waste

unlikely, speed depends on the asking price, lower price faster sale, if you can find a buyer. put it on sale for a million and it will sell fast

[jobin]

@JAherbert , many thanks for your thoughts, much appreciated.

A few more Qs have popped up: i don't live in HK now, will travel there soon. Hope to meet an agent, make some arrangements for the sale, including contacting a lawyer, etc. And then, given the possibility of waiting months before a buyer located, depart HK and go back home and wait for news.

Is it reasonable to 'sell from a distance' if the agent handles all the details? Frankly, not being resident, i cannot accept numerous agents, with unknown clients, trooping thru my house in my absence. So i expect to find one agent and let him/her/them do all the work.

And what is the current agent commission fee, and can that be negotiated? Will a higher offered fee generate better activity from the agent?

thanks again

[chobochobo]

Before CNY is a bit too soon. As for the agent and fees, they do say that money makes the world go round.

[drumbrake]

Lowering price can lead to a quick sale, which might be preferable if you don't want to stay in Hong Kong.

Commission fees are always negotiable, but usually downward not upward. I don't actually think offering more commission will provide much better service.

I would also only leave the key with one agent. That agent can then allow other agents to see the property.

You need to sign agreements with the buyer. They might agree to electronic signatures, but better to have someone with PoA to sign on your behalf. If that is a lawyer, you will need to pay for the service.

[flyingmmike]

Are you saying that your title is “cloudy”?

It’s difficult to sell right now, and I’ve seen some good deals (10m reduced to 6m) but then they aren’t attractive because you can find something better (better location or condition).

You’ll want to get as much exposure as possible, talk to many agencies nearby and ask them to contact you by WhatsApp.

Get the bank valuation of your flat, and advertise your flat with photos on geoexpat, spacious, 28Hse, etc.

Good luck.

[jobin]

Thanks all for the good advice offered.

Now, regarding the Power of Attorney for Real Estate matters: can the Estate agent offering my flat serve that need? Can i find a 'boilerplate' form online, acceptable in HK? If i ask a local friend to act as Attorney Agent, must the agreement be witnessed, and/or signed, before a lawyer, or some such official? In my absence, who must hold the document?

What have i missed here? Any info on PoA, very welcome. I strongly suspect, given the responses here, that selling my flat may take some time, and so, because i do not live in HK now, i need set up the advert/selling process and then depart. I should have all my 'ducks in a row', hence my Qs.
Thanks again.

[mpbk]

You could sell via PoA, but I don't think it's advisable to appoint the listing real estate agent as your personal attorney, unless he/she is a trusted relative or some such. Otherwise, even giving the agent keys to your estate comes with risk.
You can do most of the paperwork remotely, except for 2 key events:
1. when an offer is accepted
2. final closing of the sale
Both of them need to be signed in person, either by you or by your attorney.

Is it that hard for you to take a plane and land in HK on, say, a week's notice?
Given the amounts involves, a few $K for plane tickets would be just background noise. You'd spend that much getting a lawyer to prepare a PoA for you.