Selling your home privately: The ultimate NZ guide

• What is a private sale?
• Why sell privately?
• Tips for a successful private sale
• Things you should consider

A private sale simply means you’ve decided not to work with a real estate agent when selling your home. This makes you responsible for the legwork they’d normally pick up, from marketing your property to vetting buyers and hosting open homes.

While you’re flying solo on the sales front, you won’t be completely alone. You’ll still need a lawyer or conveyancer to handle the legal requirements, like checking the sale and purchase agreement and transferring the title.

• Keep the commission: No agent means no agent fees to deduct from your sale price. This can save you tens of thousands of dollars.
• Total control: You manage every step of the process, from the wording of your listing to the timing of your open homes.
• Price flexibility: Without agent fees, you might feel you can put your house on the market for less to attract a larger pool of buyers.
• Your local knowledge: Nobody knows your home better than you do. That can be a powerful tool when talking to prospective buyers.

Hiring a lawyer is a necessity whenever you're selling property, but it's especially vital when selling privately. They will:

• Provide advice on the sale process and potential pitfalls.
• Review the sale and purchase agreement before you sign anything.
• Handle AML requirements: Your lawyer is legally required to verify your identity under Anti-Money Laundering (AML) laws. Have your passport and a recent utility bill ready to go early to avoid delays.
• Hold the buyer’s deposit in a trust account once the agreement is signed.

Without an agent giving you an appraisal, it’s up to you to decide how much your home is worth. There are a number of ways you can get a good gauge on what your house might sell for:

• Use our tools: Trade Me’s Property Insights tool is a great way to view records, rateable values (RVs), and recent sales for over 1.9 million NZ properties.
• Research the local market: Attend open homes and check out recently sold properties in your area to see what they’re actually selling for.
• Get a professional valuation: A registered valuer can provide an objective market value based on current trends.

It can be tempting to sell to the first person who puts in a good offer. If you believe there’s more interest or you can get a better price, don't be afraid to negotiate or walk away. To protect yourself, consider getting your own builder's or LIM reports to verify any claims a buyer might make during negotiations.

Ideally, you’ll land a multi-offer situation. Having more than one buyer at the table gives you the leverage to negotiate the best possible result. Here’s our guide to making sure you’re ready when they start rolling in.

To get people through the door, marketing your property is key. You want to make sure it looks its best before it goes live.

• Presentation: Declutter, clean deeply, and tidy the garden.
• Photography: High-quality, professional photos make a massive difference to your listing.
• Visibility: List your home on Trade Me Property to reach the largest audience of Kiwi buyers.
• Signage: Put a professional 'For Sale' sign in a prominent spot in front of your home.

Selling privately takes work. Agents often have an existing database of buyers and professional contacts (like stagers and photographers) to get things moving quickly.

The process can also be stressful, especially if you’re trying to buy a new home at the same time. If you aren't comfortable with negotiations, remember that your lawyer can often act as a go-between to help secure a fair deal.

Do I still have to pay commission if I’ve already listed with an agent?

It depends on your contract. Most agency agreements have a 'sole agency' clause, meaning if you sell the property yourself while the contract is active, you may still owe them a commission. You can request to end a sole agency, which is worth doing before attempting to sell privately. Ultimately, always best to check your agreement or wait for the notice period to end before listing privately.

Can I sell my home privately if it's currently tenanted?

Yes, but there are specific rules. Details can be found on the tenancy.govt.nz website but essentially, you must let your tenants know in writing that you have put (or are putting) the property on the market. You’ll also need to get tenants permission to access the property for photos and property viewings.

Do I need to pay tax on the profit from my sale?

Under the current bright-line property rule (last updated July 2024), if you sell a property you’ve owned for more than two years, you generally won't pay tax on the gain. If it’s your main home, you’re usually exempt regardless of the timeframe. It’s always best to check with your accountant or the IRD to be sure.

What happens if a buyer finds an issue after the sale?

Sorting out problems after settlement can be expensive and time-consuming for everyone involved. While it’s always best to resolve issues before the keys change hands, a buyer still has options if something goes wrong later.

If you sell privately, the buyer’s main path is to make a claim through the Disputes Tribunal (for claims up to $30,000) or the District Court (for claims up to $350,000). If an agent was involved and the issue was their fault, the buyer can also complain to the Real Estate Authority (REA) for free.

Because it’s much harder to fix things once the sale is final, your lawyer or conveyancer is the best person to help you weigh up the costs and navigate your options.