Property auctions fast and simple
Selling a home by auction can be both exciting and nerve-wracking but it's a process that is often misunderstood.
That’s according to Harveys National auctioneer Robert Tulp, who says that auctions are one of the simplest processes available to transact a sale, including property.
“Yet unfortunately many people get stressed, avoid it or complicate it due to lack of knowledge or experience with the auction process,” he says.
Auctions are a quick way to sell a property, and as simple as these few steps:
- List a property for sale, which is usually advertised up to a month before auction day
- Put a deadline in place for owners to deal with unconditional buyers (before moving to conditional buyers if need be)
- Buyers register interest in advance and attend on auction day to bid on the property which can be on-site or in the real estate company auction room. Absent bidders use their own agents to represent them using auction apps or phone
- Get a skilled auctioneer to “work their magic” and give all bidders the chance to vie for ownership
- If bidding reaches the owners’ reserve or acceptable price (which only the owner, agent and auctioneer know), then the property can transact unconditionally and the sale is legally binding. If not, then the listing agent will simply move on to the next stage of the process
- Besides real estate commission and fees and marketing costs, there is also the auctioneer’s fee.
“A sale at auction gives sellers certainty – once it’s sold, it’s sold!” Robert says.