Selling a property in the UK can be a stressful experience for homeowners. It can take months to find a buyer and almost half of all house sales in England and Wales fall through before completion. The housing market has slowed significantly in the past decade and is currently 30 per cent below pre-financial crisis levels. Add to this the fact that nobody really knows how Brexit will impact the property market and it’s no surprise part-exchange is becoming an increasingly popular way to avoid the hassle and stress of selling via a more traditional route.
Offering your clients the option to part-exchange their current home to help fund the purchase of a new property will speed up the sales process, repair broken chains and increase profits. Whether you’re an estate agent or a housebuilder, you must understand how part-exchange works and that you can easily explain the benefits to clients. In this blog, we’ll take a look at some of the most commonly asked questions about this type of financing.
What Are Part-Exchange Schemes?
Part-exchange (PX) schemes allow homeowners to purchase a new build property without having to wait for their current home to sell on the open market. The homeowner trades their existing house for a reduction in the price of the new property.
How Does Part-Exchange Work?
Many property developers offer part-exchange schemes. HBB Solutions is the trusted provider of part-exchange schemes for home builders and estate agencies throughout the UK. We have developed a reputation for being straightforward and trustworthy.
It’s quick and easy to set up PX for your client with us. Fill out an Offer Request Form with your customer and we will then value the customer’s property and send an offer within 24-hours. If your customer accepts, all they need to do is complete an Offer Acceptance Form and agree to a date of sale and we’ll take care of the rest.
Can You Part-Exchange to Downsize?
Part-exchange is a particularly popular choice for retirees looking to downsize. The property seller may have to accept a lower sale price than they would achieve on the open market, but they will have a guaranteed sale, often completed within 28-days. While many people downsize when they retire and grown-up children have left home, there are many reasons a homeowner may choose to move to a smaller property. Ill-health may make it difficult to maintain a large property or a change in circumstances could mean that a homeowner needs to reduce daily living costs. Downsizing may also enable people to live the dream of mortgage-free living.
Part-exchange is a quick, hassle-free way to downsize. Your clients will have much greater control over when they move than they would if they sold on the open market. If you arrange part-exchange through HBB Solutions, we’ll purchase a property from your buyer — even if they’re downsizing to a smaller house of lesser value.
What Are the Benefits of Part-Exchange?
- Part-exchange provides several benefits for buyers of new build properties.
- Guaranteed sale of the current property
- Control over when you sell and move
- No estate agency fees
- None of the stress or hassle of an open market sale
- Achieve completion in as little as 28-days
- No risk of a broken property chain
- Avoid the inconvenience of numerous viewings
For you as a business owner, house builder or estate agent, offering PX will allow you to:
Meet property development deadlines and sales targets
- Attract more buyers
- Focus on growing your business
- Deliver excellent customer service
- Save money with HBB’s commission-free part exchange
- Avoid failed sales and broken chains
HBB Solutions has been funding part-exchange schemes since 2011. We have worked with hundreds of businesses to help them provide exceptional customer service and meet their business objectives. Contact us today to find out how we can help speed up your property sales with PX.