A Vendor Advocate will help the Seller get the best price possible for the property.
A Vendor Advocate is a professional advisor who helps property sellers navigate the often complex and stressful process of selling a home or investment property. A Vendor Advocate works with the vendor providing guidance and support to ensure that the seller gets the best possible outcome from the sale.
What does a Vendor Advocate do? Vendor advocates advise and manage all aspects of selling a property.
Choosing the Right Real Estate Agent
One of the primary roles of a Vendor Advocate is to assist in selecting the most suitable real estate agent for the seller's needs. We obtain marketing proposals from up to three local agents who we believe are the most suitable to sell the property.
Property Appraisal Pricing Strategy
Vendor advocates can obtain either an informal ‘kerb side’ valuation or a formal valuation from a licensed valuer to provide an accurate estimate of the property's value. It helps set a realistic and competitive asking price, ensuring that the property is neither undervalued nor overpriced.
There may be other reasons why a formal valuation should be obtained, for example, if you are the executor of an estate, or are selling on behalf of someone else. Your lawyer can advise on the need for this.
A Vendor Advocate can assist advise on marketing and property staging.
Presenting Your Property for Sale This is one of the most critical aspects of selling a property. It’s where value can be added, and money can be wasted. The test we use when recommending work to be done to a property is to ask, “will you get at least 3.5 x the return for each dollar spent?”.
If your property will be redeveloped in the short term, then anything spent will be wasted and clearly not meet the three times value test. A good vendor advocate can advise you on what improvements should be undertaken, the costs of those improvements and arrange for them to be done if it makes commercial sense.
A Vendor Advocate can also manage the sorting, storing, selling and disposing of all household goods. Many people find this aspect of moving a daunting task and defer making the move.
Often people are asset rich and cash poor and don’t have the money available to pay for presentation works. If required, we will pay for presentation works where they improve the value of the property. Repayment is then made from the sale proceeds.
Developing a Marketing Plan
A well-executed marketing campaign is crucial to attracting potential buyers. A Vendor Advocate will work closely with the real estate agent to determine the best method of sale and will review the agents marketing plan to ensure an optimal budget has been set. It’s important to get the right balance of activity between online listings, open houses, and print advertising is achieved for a successful sale campaign.
Manage communication with all third parties A Vendor Advocate will liaise with all third parties including lawyers, councils and utilities to ensure accuracy and compliance. They review the written inspection report and the Section 32, (known as a Vendors Statement) which is prepared by the vendors conveyancer or solicitor. They also review the Contract of Sale to ensure all details are correct and present. Vendor Advocates will also review the campaign reports provided by the real estate agent to make sure everything is running smoothly and will make recommendations to adjust the campaign if it’s not on track.
Setting a Sale Strategy and Negotiating with Buyers
If the sale is by auction, we provide a written Pre-Auction Strategy based on the initial agents estimate of value for the property, the formal valuation (if any), recent comparable sales and all feedback from the marketing campaign. We also attend the auction to ensure that the auctioneer adheres to the agreed strategy. The Vendor Advocate will work closely with the real estate agent to review and negotiate offers, seeking to secure the best possible price and terms for the seller.
From start to finish, a Vendor Advocate is there to manage the sales process, handle any challenges that arise, and make sure all aspects are executed smoothly, from property inspections to the final settlement.
What does a Vendor Advocate Cost? Vendor Advocates may either share the sales commission with the estate agent (and say they are a ‘free service’) or charge an agreed fee and negotiate down the agent’s commission with the aim of it being cost neutral to the vendor. If additional work is required beyond managing the sale, such as disposing of goods, arranging presentation works or attending to anything otherwise necessary in selling the property, an additional hourly fee may be charged.
Tower Property Advisory is an independent Vendor Advocate consultancy that specialises in managing the end-to-end process of property sales on behalf of the Vendors. If you’re thinking of selling, contact us for a free consultation.
Regards, Robert Allanadale Director M: 0418 517 643