The Harcourts guide on selling at Auction

selling-property-auction-harcourts

If you’ve decided to sell your home, you’ve now got another huge decision on your hands: which method of sale to choose.

Auctions have become the preferred method of selling property in most areas across the country. Auction is a very popular method of sale in New Zealand because it helps you achieve the highest price for your home in a short timeframe.

 

Seller advantages

1. You’re in control throughout the process.
YOU set the terms and conditions which mitigates the chances of any surprises at settlement. And YOU decide on a confidential reserve price — the minimum amount you’ll be happy to accept for your property. This control means the seller is very likely to leave the auction process with a result they’re happy with.
2. Heightened interest without a fixed price.
The property is marketed with no fixed price (the reserve is kept between the seller and the auctioneer). This broadens the pool of cash-in-hand buyers who will look at the property, making it more likely they’ll find interested parties.
3. The short marketing period returns maximum results.
The fixed and relatively short marketing period allows the seller’s consultant to gauge the level of interest in the property and assess what prospective buyers might be prepared to pay. This gives the seller the potential to achieve a high price.
4. Buyers feel a sense of urgency due to the fixed time frame.
The auction itself generates a sense of urgency and competition which brings buyers to a decision within a restricted time frame — usually within a 3-4 week period.
The auction programme is a very organised and structured process over a defined timeframe. Sellers know when their open homes and marketing are going to take place and they have the date set for the property to be sold on.
5. Reduced risk with cash-unconditional bids.
A final major benefit for sellers is that bids must be cash-unconditional. This eliminates any buyers that depend upon conditional factors like building reports or the need to receive finance which might make the sale less likely.

 

In our comprehensive guide to selling at auction, we go through all the benefits and drawbacks, how to prepare for the big day, the benefits of open homes and tailored marketing strategies — and much more. Have a read below.
Get in touch for more information about selling at auction, or request a free appraisal to discover what your home is worth.