We are often asked whether you need an estate agent to sell your house, and the answer is no. Legally you do not have to use an estate agent, but if you want your house to sell at the optimum price within a suitable timeframe, having a reputable estate agent is vital.
Invariably, what you save on estate agent fees will not compare to the amount lost on the property price.
Can I Privately Sell My House to a Family Member?
Yes, you can sell your home privately to a family member. Having said that, there are significant tax implications to be aware of.
The key factor is the relationship between the parties involved. For example, consider a mother whose daughter and son-in-law were renting her primary residence. The house was valued at €220,000, but the daughter offered €150,000 and the mother accepted.
Revenue would treat the difference between the valuation and the sale price as a gift. The daughter would be entitled to receive up to €335,000 in gifts or inheritance from her mother over her lifetime. However, the daughter’s husband is only entitled to €16,250, as in tax terms he is treated as a stranger and falls into the lowest category (C) of tax relief.
This is an important reason to consult both an estate agent and a solicitor when selling a property, regardless of whether the sale is private or on the open market.
Revenue does place specific regulations on family members selling property to one another. A full list of these regulations is available at www.revenue.ie. It is worth noting that Revenue is likely to issue penalties if a property is undervalued.
Do I Have to Pay Tax if I Sell My House in Ireland?
The average total tax paid on the sale of a home in Ireland is typically around 33% of the property’s overall value. This applies whether the property is sold privately or through an estate agent.
What Documents Do I Need to Sell My House in Ireland?
There are up to 11 documents that you may be legally required to produce in order to finalise a sale. These apply whether you are selling via an estate agent, auctioneer, or privately.
Title Deeds
A title deed is the ownership document for any property. If more than one person is named on the title deed, all parties must agree to the sale.
BER Certificate and Advisory Report
A Building Energy Rating (BER) certificate tells prospective buyers how energy efficient the property is. It must be produced by a registered BER Assessor.
Letter from the Council
A solicitor will need to confirm that the roads and services surrounding the property are maintained by the local council. A letter from the council will be required to confirm this.
MUD Act Documentation (Multi-Unit Development)
If you live in a building managed by an Owners’ Management Company (OMC), you will need to present any related MUD Act documentation.
LPT (Local Property Tax)
Local Property Tax documentation is required to confirm that all outstanding local tax has been paid up to date.
NPPR (Non-Principal Private Residence)
If you own more than one property and the one being sold is not your principal residence, you will need to complete an NPPR form.
Planning Documentation
Any documents relating to planning applications, including those that were refused, must be submitted as part of due diligence.
Marriage Certificate
If you have been married, your solicitor will require your marriage certificate. If you have been separated, a copy of the separation agreement, deed of waiver, or court order will also be required.
Proof of ID and Proof of Address
You will need to verify your identity and address when selling a property.
Bank Statement
A bank statement is required to ensure the proceeds of the sale are transferred to the correct account.
Land Registry Compliant Map
If your property is not currently registered with the Land Registry, it must be registered before sale. Once registered, a Land Registry compliant map will be required.
If you are unsure whether your property is registered, you can check at www.landdirect.ie.
How Does an Estate Agent Help With Selling a House?
Some estate agents offer a straightforward transactional service covering property valuation, marketing, advertising and coordinating viewings. Some will also act as an intermediary between you and the buyer throughout the process.
Others go considerably further, supporting you at every stage from initial preparation right through to completion.
Selling Your Home With Earnest.ie
At Earnest.ie, we manage the entire property sale process from start to finish. Whether it is improving kerb appeal, getting the interior of the property ready for viewings, or guiding you through the paperwork, our experienced team is with you every step of the way.
We have helped countless property owners make the right decision for their circumstances.
If you would like to discuss the possibility of a sale or arrange a free comprehensive valuation, contact Earnest.ie today.