How to sell your property

If you've established that you're not going to be stung by an expensive early repayment charge, it's time to consider your next move. Why do you want to sell and how do you want to go about it? In general, you've got three options:

• Remain a homeowner (selling to buy immediately). In other words, you want to sell so that you can buy somewhere else (whether upsizing, downsizing, or relocating) straight away.
  
  The advantage of this is that everything is done in one go – you use the same conveyancer/solicitor for both transactions and you only have to move once. But this approach can be stressful and you could end up in two chains, which could make you a less attractive seller/buyer.
  
  As well as following the selling tips in this guide, you’ll want to read our Buying a home timeline guide.
  
  
• Move into temporary accommodation (selling to buy later). In other words, you'll be moving into temporary accommodation, such as renting, in between selling your current home and buying your new one.
  
  This can be a good option if you’re relocating, for example, and not yet sure exactly where you want to live. It means moving twice, but there’s less pressure on you to find a property you like and you'll be chain-free when you come to buy, which could be attractive to sellers.
  
  However, you need to factor in the cost of renting (if that's what you plan to do) and the fact you might be tied into a fixed tenancy. House prices could also go up by the time you come to buy, plus you'll have to think about where to keep the proceeds from the sale in the meantime (you can get six months of Temporary High Balance Protection).
  
  
• Leave homeownership (selling with no view to buy). In other words, you're moving into some form of permanent living arrangement which isn't homeownership, such as renting, or moving abroad or in with family.
  
  There’s no chain to consider and you’ll be mortgage free. However, you do need to think about what to do with the lump sum you’ll receive after your property has sold. If you're selling in order to raise funds for your retirement income, an alternative to selling your home would be equity release (which means you can stay in your current home) – though equity release comes with its own risks.

Properties with long leases tend to be more attractive to buyers than those where the lease is short. So, if you're selling a leasehold property (if in doubt, see our leasehold vs freehold guide), consider whether extending the lease will boost your chances of selling.

The golden rule is that it becomes significantly more expensive to extend once leases drop below 80 years. So, if your property has between 80 and 90 years remaining, buyers may factor this future expense into any offer they make. If your property has less than 80 years remaining on the lease, buyers may struggle to get a mortgage on it, even if they did want to make an offer.

Extending a lease can cost £1,000s (and sometimes more), but bear in mind that a healthy lease length can add property value that outstrips this outlay. Have a read of our Should I extend my lease guide, which covers:

• Why lease lengths are so important.
• How much it costs to extend a lease and how much added value a good lease brings.
• Step-by-step on how to extend a lease.

If you've got a short lease but opt not to extend it, be prepared for buyers to use this as leverage to haggle on the asking price, as the buyer wouldn't be able to extend it themselves until they've lived in the property for at least two years. If a buyer insists you extend the lease as part of the sale, beware that the legal process can take at least a few weeks – if not longer.

Either way, when it comes to selling, make sure you have details about your lease to hand, such as it's length, plus any information on service / maintenance fees that you have to pay. 

There's no right or wrong way to sell your property, but deciding which to choose is one of the most important choices you'll make. Essentially, you're limited to three options: do it yourself (DIY), online agent or high street estate agent.

The best way will depend on your circumstances, such as if you're time-poor or don't feel comfortable showing strangers around your home by yourself. If you're perfectly happy doing most of the work yourself, bypassing an agent entirely can save you serious cash. 

For example, if selling a £300,000 property, you could DIY for a few £100s, or you could pay 2% commission for a high street agent, setting you back £6,000. Below we'll talk you through exactly how the options compare, but in brief...