While auctions may seem intimidating to those who have not gone through the process before, they are a straightforward way to buy and sell property in an open environment. Buyers can rest assured they are paying true market value, while the vendor receives an unconditional offer on their property. The open format of auctions also drives competition to obtain the best possible price in a transparent environment. When selling your property, there are quite a few different modes of sale you can opt for. However selling your home through auction has many benefits, such as:

  • You set the terms and conditions of sale
  • Target marketing puts a spotlight on your property
  • Marketing with no price attracts genuine, cash in hand buyers
  • Auctions create a sense of urgency, bringing buyers to a point of decision
  • Conditional buyers are not excluded from the Auction. If the reserve price isn't met, there is still the opportunity purchase the property post auction

    • What to expect when selling at auction
      Your sales consultant will guide you through the pre-auction and auction process which will include:
      • Keeping you up to date with what is happening in the market, specifically around your area and in regard to properties that are similar to yours
      • Weekly vendor reports and updates which include feedback from open homes, marketing progress and interest from potential buyers
      • Helping you set a realistic reserve price.
      Remember, you’re in control as the seller. You set the reserve. If bidding does not meet the reserve, you can decide if you want to enter negotiations.
    • Preparing for an auction
      Auctioning your property is about so much more than simply showing up on auction day. There’s a lot that goes into it beforehand to ensure you achieve the best result possible for your property. Marketing your property well is chief among the things you’ll need to do.

      Your sales consultant should walk you through your marketing plan in detail, from the images that’ll be selected and advertised, the script that will be included, to where the property will be advertised (online, papers, brochures, in office, etc.)
    • What is your role on auction day?
      What is your role on auction day?
      If you’re in the country and able to attend, the best recommendation is to be at your property auction. It’s great to have you there especially if there are any last minute questions.

      Your auctioneer and sales consultant will also want to confer with you depending on how the auction is going. If bidding stops below your reserve price for example, your auctioneer will want to discuss next steps with you. You will always receive plenty of support throughout the process here at Harcourts as we understand it can be an anxious time.
    • The reserve price
      It’s important for you to understand and be clear on what your reserve price is, and how it’s used during the auction.

      There are three types of figures to consider before the day:
      • Your best price – The figure you’d be very happy to accept.
      • Your ok price – The figure you’d be ok with based on the feedback you’ve received. You feel rather neutral about the outcome.
      • Your accepted price - This last figure is basically the one you wouldn’t be thrilled with, but given market conditions, you’re prepared to sell at that price and move onto your next chapter.
     
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