An auction is designed to capture the maximum attention of buyers within a set time frame. The auction process is a great way of achieving the best possible outcome for your property, and you, as the owner, are in control and can set all the conditions of sale.
Auctions work especially well for properties that have a unique set of selling points, or where you as a vendor believe the property has real appeal. It has also been proven over the years as a method of sale that achieves a better result in a more efficient timeframe, a particularly relevant aspect if time is important to you in the sale process.
Auctions attract more buyers to your property because prospective buyers aren’t put off or influenced by an asking price.
You set the deadline or the sale of your home. Usually this is relatively short as experience tells us the most amount of interest in a property is usually in the first 3 weeks of marketing.
You are protected by a reserve price which is set by you. This means your property won’t sell unless bidding has reached the reserve price set, or a price you are happy to accept.
Leading up to the auction there will be some high profile marketing to attract as many buyers as possible and this in itself produces lots of enquiries. A pre-auction offer can be made at any time in the lead up to the auction.
The auction itself is the best opportunity to generate an atmosphere of competition, which in turn can produce the best possible price for your property.
If your property does not sell under the hammer, the auction process generally generates a lot of sales leads thereby creating a great opportunity to sell to a buyer who may not have been in a position to bid at the auction.
You know what the sale price is the moment the hammer falls, not later as may happen with a tender or other types of sales.
The auction process produces an unconditional contract for sale with a pre-determined settlement date set by you. You get a commitment to buy and a contract of sale comes into force as soon as the hammer falls.