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
Preparing for an auctionAuctioning 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 copy that will be included, to where the property will be advertised (online, papers, brochures, in office, etc.)
What is your role on auction day?If you’re in the country, the best recommendation is to attend your auction. It’s great to have you there if there are any last minute questions. Your auctioneer 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.
The reserve priceIt’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 don’t see a win but you don’t see a loss.
- 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.