Giving you the answer to 'how quickly can you sell a house after buying', as well as what will help you sell fast and what might slow you down...
Selling a property is never an easy task. It becomes particularly tricky when you’re trying to sell a property within the first 6 months after buying it.
Buyers will ask questions, lenders may refuse house repayments, estate agents might not want to list the property – it begs the question ‘how quickly can you sell a house after buying?’.
We’re going to answer this question for you, as well as how long you need to live in a house to avoid Capital Gains Tax and what will help you sell a property quickly, shortly after buying.
Ready to find your answers? Use the menu below to help:
- Is there anything stopping me from selling my house straight away?
- How long do you have to live in a house to avoid Capital Gains Tax?
- How quickly can you sell a house after buying?
- Why would someone need to sell a house quickly after buying?
- How can I sell my property quickly after buying?
Need to sell your house ASAP?
When it comes to selling a house shortly after buying it, there are a few things that may stand in your way to stop you from selling the property straight away.
For example, there may be a clause in your house repayment agreement that states you must own the property for a certain length of time.
You may also find that a buyer is unable to get house repayments on your property, as a lot of banks and lenders will refuse to lend to any buyers who are purchasing a property that has been owned by the seller for less than 6 months.
Another thing that may stop you from selling your house straight away is potential buyers or the estate agent asking questions about why you’re selling the property so fast. Your answer to these questions could be to do with the area or issues with the property itself, which are things that will put off potential buyers.
Your reason for selling so fast may also be personal, for example, financial troubles or bad health of a family member, but if you don’t want to explain this to a potential buyer, they will assume it’s something wrong with the property, making it highly unlikely they will want to put in an offer.
Do you have to own a property for 6 months before selling?
There’s no rule that states you must own a property for 6 months before selling, but there may be a clause in your house repayments paperwork with your lender, that stops you from being able to sell the property within the first 6 months of ownership.
Also, due to previous losses by banks and lenders, most will refuse to lend to any buyers who are trying to buy a property within 6 months of the property last selling, which will make it a lot harder for you to sell a property within the initial 6 months.
This is unless you’re selling to a cash-only buyer. In this situation, this ‘6-month rule’ won’t apply, as the buyer doesn’t require any kind of borrowing to fund the purchase.
Generally speaking, you should be exempt from Capital Gains Tax if you have bought a property and live in it as your sole main residence. However, if you’ve bought a property as an investment or to make money by ‘flipping’ the property, then you will most likely be liable to pay the tax.
If you live in the property for a short period of time, it may look as though you have bought the property to make money and not live in it as your sole residence, making you also liable to Capital Gains Tax.
Capital Gains Tax is the percentage fee payable to the government on any profits made through the sale of a property, stocks or high-value assets. You only pay Capital Gains Tax if the asset has increased in value, for example, if you bought a property for £200,000 and sold it for £205,000, you would be liable to pay the tax on the £5,000 profit.
To avoid Capital Gains Tax, you will need to live in a property for at least 2 years.
It’s hard to know exactly how much Capital Gains Tax you will be liable for, as it differs with each individual’s situation, but the government website has a helpful calculator to help you out.
Want a fast and fee-free sale?
Currently, in the UK there is no law stating a minimum period of time that you must own a property before selling, so technically the answer to ‘how quickly can you sell a house after buying’ is straight away!
However, you may struggle to sell a property straight away, particularly in the first 6 months, because, as we mentioned earlier, most banks or building societies won’t want to lend to buyers to help fund their purchase of a property that is being sold within the first 6 months of it being bought by the seller.
But if you’re selling to a cash buyer, there’s no bank to hold this back, so this will be a better option if you’re looking to sell fast, within the first 6 months of buying.
When someone sells a house very shortly after buying, it can look like it’s due to issues with the property. However, there are many reasons why someone may want to sell their house shortly after buying, without it being anything to do with the property itself.
- Relocation – A member of the family could suddenly get a new job, meaning there’s a need to relocate shortly after purchasing a property. This creates an urgent need to move
- Ill health – A family member can suddenly become ill and may require some expensive treatment, meaning the family need to release equity from the property to pay for the treatment. Or, as a result of the ill-health, the family need to live in a different type of property, e.g. unable to climb the stairs so now needs a bungalow, meaning there’s an urgent need to move fast
- Divorce – Divorce can be sudden and sometimes unexpected. As a result of divorce, the shared property is often sold, with the equity being split. Due to the nature of divorce being an unpleasant time for all involved, a quick sale is a necessity
- Financial issues – People can run into financial issues at any point, and it could happen shortly after moving to a new house, creating a need to sell the house and release some equity to be able to pay back any debts
Does one of these sound like you?
When it comes to selling your property quickly after buying, there are plenty of options that will help you get a quick house sale.
Firstly, you’ve got the option of selling your property through auction. At auction, you’re able to avoid the open market and guarantee yourself a buyer on the day, as buyers are required to exchange contracts and put down a deposit when the hammer falls.
After the auction day, buyers then have 28 days to complete, making it a speedy sales option.
You will still need to pay high fees and host a few open days, just as you will on the open market, but as there are lots of buyers at auction, you should hopefully be able to avoid any probing questions about why you’re selling so soon after buying.
Also, to sell your property quickly after buying, you have the option of selling to a cash buyer. A cash buyer could be either one you find on the open market or a cash house buying company (like ourselves).
With a cash buyer, there will be no restrictions from banks or lenders, as a cash buyer doesn’t require any funding to be able to buy the property. Also, because of this, cash buyers are normally able to complete fairly quickly.
The downside of using a cash buyer on the open market is that you will still have to pay fees, such as the estate agent fees and legal fees, leaving you with a lot less than you originally sold your property for.
Using us, a cash house buying company, you’re able to avoid this problem, as we cover the costs of all fees, leaving you with our cash offer in full.
Selling to a cash buyer, whether it be a company or one you’ve found through the open market, is going to be a quicker option than selling through auction.
Although after the actual auction day the sale takes about a month, prior to that it’s hard to know how long it will take until your property actually gets to auction and this part can take up to 12 weeks.
What will slow the process down?
If you’ve recently bought a house but have decided you need to sell it sooner than you thought and you need to sell it quickly, there are several things which you need to be aware of that may just be slowing you down…
- Asking price too high – When advertising on the open market, the asking price is the first thing any potential buyer will see when looking through houses on property portals, and so by setting your house price too high, you’re going to put off any potential buyers. Especially if you’re selling a property very soon after buying it, you can’t expect to set your asking price high, you may even have to set it at the price you bought the property for (or potentially lower, depending on how fast you want the property sold)
- Long chains – Another downside of selling on the open market is that you may be able to find yourself a buyer quickly, only for the process to be slowed down by the long chain below you. Your sale will also rely on the other sales completing and there’s always a chance a sale below you will fall through, causing your sale to collapse, not getting you the quick house sale you wanted
- House survey issues – If your property has a fault that you’re aware of, you should address it straight away, either by making the buyer aware of it or making repairs to it yourself. If you don’t make your buyer aware of the issue and it’s flagged up in the survey, the buyer can feel as though they can’t trust you, making them walk away from the sale altogether, leaving you back at square one
- Bad estate agents – When selling through an estate agent you may face the issue of them not living up to standard and them not correctly marketing your property, leading to few, if any, potential buyers. Estate agents can be unhelpful and once putting your property listing up, not put the effort into making calls and actively trying to find you a buyer
Whilst this all sounds quite negative; we have good news in that there’s a way to get around all these potential issues – sell to us!
As we mentioned earlier, we’re a cash house buying company with the ability to buy any house, in any condition, FAST and for CASH! We cover all your fees, so you won’t have a penny to pay and can enjoy our cash offer in full.
As we’re a cash buyer, we don’t have any chain, meaning we’re focused on getting your sale done in a timescale that suits you!
You don’t need to worry about having to answer questions about why you’re selling so quickly after buying – we’re only here to focus on buying your property, we don’t need to know any tough details you don’t want to share.
We only require one quick viewing of your property to check our valuation is accurate – no long-drawn-out surveys here!
Also, we're rated 'excellent' on Trustpilot, so you can rest assured that with us you're in safe hands!
Ready to get your house sold in as little as 7 days, even if you’ve just bought it? Give us a call or fill in our online form for a no-obligation, CASH offer which we can have in your bank in FULL, with no fees to pay…
Ready to get started on a super fast sale?