Selling your property during a recession is possible and has several benefits. While you and your estate agent will have to work together closely to overcome some challenges that come with selling your home during an economic slowdown, it's definitely worth it if you do it right.

So, what's the right way to approach the sale of your home during a recession?

Watch our tips for making things easier and read on to find out how to take the effort out of selling your property:

Follow these six simple tips from our estate agent, Estelle Saayman, to make the process of selling your property in tough times easier.

Six tips for selling your home during an economic downturn

1. Set realistic expectations

It's important to know that it generally takes longer to sell your home when the economy is in a tight spot. While this is not always the case, it's vital that you prepare yourself for a longer wait. If you start off with the right mindset, you're less likely to get disheartened.

Estelle Saayman, NS Property Solutions estate agent in Brackenfell, Cape Town, explains that buyers are typically more reluctant to incur additional debt during a recession. This results in houses being on the market for longer periods of time.

You may also have to prepare yourself to settle for a lower amount than you hoped you would get. "House prices tend to be lower than usual, which result in smaller profit margins," says Estelle.

There is an upside to this market condition. "If the homeowner succeeds in selling their property for a good price during a recession, they will become purchasers in a reduced property market." And as Estelle notes, this means you'll have the opportunity to buy a new home at a lower price too!

If you're buying a home in 2020/2021 to become a landlord, ensure you understand current market conditions by checking out our article You're not alone if you're struggling to find a tenant to rent your property in 2020

2. Don't set your heart on a new property until you have a serious buyer

This tip is relevant to all sellers, whether the economy is in a recession or not. It's simple: Only start searching for a new property once you have an Offer to Purchase on your current home.

If you begin looking for a new home before you have a firm offer, chances are you'll fall in love with a new home only to realize that your house won't be sold in time to secure a loan for the new property.

This is especially true during a recession, says Estelle. "You run a greater risk of a successful offer being withdrawn at a later stage of the selling process because buyers are more likely to be retrenched during tough times or run into financial difficulties."

3. Improve your property without spending

The condition of your property plays a role in attracting - or repulsing - potential buyers. When you're selling your home, a well-kept house can get you a higher selling price.

But when you're selling during an economic downturn, it's best not to invest too much in upgrading your home for potential sellers. Because homes are often sold for less during a recession, you're unlikely to see a great return on the money you spent on improving your home.

It's also helpful to tidy up the garden so your yard comes across as clean and easy to manage.

Are you finding that you're spending more and more on the upkeep of your rental home? It might be a sign that you need to sell. Read more in our article on Three signs you need to sell your rental property now

4. Give potential buyers flexible viewing times

In times of economic turmoil, potential buyers might be working longer hours or have more duties on their plate than before. This is especially true during the COVID-19 pandemic, in which many parents are working from home and may not be able to view your home within times that are convenient for you.

If you're serious about selling and want to speed up a process which could otherwise take longer during a recession, you need to be available for viewings after hours.

Discuss flexible viewing hours with your estate agent to find a schedule that works for both potential buyers and your own household.

5. Weed out buyers who aren't serious

It's an unfortunate fact that many potential buyers have bad credit records in a recession. Such buyers might still try to invest in property and will be shopping around for their dream home.

To ensure that these consumers don't waste your time, it's essential to pre-qualify potential buyers before arranging a viewing.

The right estate agent will already have this process in place. If not, it's something that you as the client can insist on.

6. Choose the right estate agent

One of the most powerful ways to successfully sell your home during a recession is to choose the right estate agent.

The right realtor will have a proven track record, knowledge of the area, strong connections to the community - and practical advice when it comes to selling price.

If your estate agent is suggesting a higher selling price than what you think you can get, you might need to reconsider using them, as Estelle notes: "Less property stock on the market results in agents having to be more competitive. They might promise a high price to secure a Sole Mandate - putting you at the risk of trying to get rid of an overpriced property."

Need a better estate agent? Meet our team here.

If you're ready to sell your home, contact Estelle for a valuation of your home or more advice.