When the time comes to sell your property, you’ll need to consider which method of sale is best suited to your desired outcome. Selling a property by auction has not been a preferred option in many parts of Perth over the years, however with the favourable changing market conditions taking your property to market may now result in a selling price which far exceeds expectations.
It’s common to hear of properties that sold on the first Home Open leaving many eager buyers disappointed. Instead, we believe these properties should have been put up for competition between the many motivated buyers, resulting in a clear cut, unconditional cash sale at the maximum price.
The Benefits of Selling at Auction.
A Public Auction provides a true and totally transparent indication of the market value of the property with the auction allowing prospective purchasers to compete for the property in a public forum. Through the skill of the Auctioneer, your auction should result in a price that may by far exceed expectations. The friendly competition instils confidence in your buyer that they are bidding for a valuable property as they can see other bidders doing the same. Auctions have been conducted in all forms for centuries and the same basics always remain. If you possess an item of worth, let competition decide the real underlying value.
Set Time Frame (Minimum Disruption).
At De Freitas Ryan we opt for a five-week auction campaign allowing for the first week as a ‘forthcoming auction’ week. This allows us the opportunity to set all of our premium marketing in place. Then we progress into a solid four-week campaign with set ‘open for inspection’ times so that you, the seller, can work around allocated time frames. This is different from a drawn out private sale campaign, which can see the seller preparing the home for inspections for months, without a set deadline in sight.
Prior to the auction, the seller in consultation with the agent can set a reserve price meaning the lowest price that the seller is willing to accept for their property. This keeps the seller in control of their sales process and provides great peace of mind if for some reason or another, the bidding was to fall short of expectations. A reserve price must never be disclosed to the public or anyone else other than the auctioneer and your sales representative.
Choosing an Auctioneer.
Frequently Asked Questions.
A Real Estate Auction is a public sale of a property usually conducted by an Estate Agent and Licensed Auctioneer, at an advertised place, date and time. The process is governed by strict rules and a code of conduct.
Competitive bidding can push the sale price well above asking price.
A set date deadline compels buyers to act quickly and doesn’t delay the process for sellers.
An efficient four week campaign period means less inconvenience to the sellers in regard to inspection times.
The contract signed is unconditional, meaning not pending any additional finance approvals, building checks or legal queries.
The lowest price which the seller is willing to accept for the sale of their property with the goal of an auction to get the property to a point where it is deemed ‘on the market’, i.e. reaching reserve price and then the fun begins! The reserve price also helps to keep the seller in control, as if the property fails to reach the required amount the seller is not obliged to sell and is able to negotiate the price afterwards.