If you're getting your property ready to hit the market this spring, you've got an important decision: Should you go the auction route or opt for the classic 'for sale' sign and private treaty method?
There's positive news: opting for a private treaty or an auction to sell a home comes with many benefits.
Private treaty sales are the most prevalent method for selling homes. This method of sale revolves around negotiations focused on a predetermined asking price. Unlike auctions, as you'll discover, the seller's price expectation is disclosed to the buyer. In private treaty sales, there isn't a fixed timeframe dictating buyer action, which might not be suitable for those seeking a rapid sale this spring.
Vendors can leverage this amplified buyer interest through the auction process. In scenarios where multiple bidders express interest in purchasing a property, the intrinsic competitiveness of an auction can drive individuals to place higher bids than they initially intended, which frequently results in strong sales results. In situations of intense competition, buyers may even submit a pre-auction offer. An early offer can also achieve an excellent sale price for your property before auction day.
But that's not all, and several other benefits are associated with an auction sale. With this method, the seller collaborates with their Raine & Horne real estate agent to determine the "reserve price". The reserve is not disclosed to the bidders, and the property only changes hands if bidding hits or surpasses the reserve price or if the highest bid meets the seller's approval.
Opting for an "under the hammer" sale requires buyers to make decisions within a specific timeframe, typically around four weeks, and even shorter sometimes, which will work well for vendors hoping for a spring sale.
Additionally, once the auctioneer's gavel falls, the property is sold unconditionally - meaning there is no cooling-off period, and the buyer is legally obligated to finalise the purchase. In contrast, a private treaty sale allows for cooling-off periods enabling buyers to conduct pest and building inspections. During this period, buyers can withdraw from the purchase, although this might result in forfeiting a holding deposit, usually valued at a few thousand dollars.
Before selecting the most suitable sales method, it's crucial to ensure you're partnering with the right real estate agent. A property professional from Raine & Horne, possessing extensive knowledge of your local market and a proven track record, is advisable.
For a professional selling experience this spring, contact a Raine & Horne agent in your area today for an obligation-free appraisal of your property's value and discuss your options for sale.