After you have made the decision to sell your home, the next key decision you need to make is the sales method. Many people shy away from auctions, fearing they may be stressful. But here are four reasons why they can be the best way to sell your home.
You need a fast sale
If you have a deadline that you need to hit, an auction can be the best sales option. This is because auctions have short and concentrated marketing campaigns that typically last for between three to four weeks. This means you have a date by which time you can be reasonably confident that your property will be sold. Such an approach means you will need to agree to accept the price offered on auction day – which may not be what you hoped – but this can be offset by the knowledge that you can move on with your life.
There are multiple parties benefiting from the sale
If you are going through a divorce or the property is a deceased estate with multiple parties set to benefit from the sale, an auction is often the best sales method because it provides full transparency as to the value of the home. Especially if there is conflict between parties, there can be no argument about settling for a lower than expected price at an auction as the bidding takes place in front of everyone on the day. And of course, if the property sells for more than expected, this can help improve the relationship.
Prices are on the move
When property prices are on the move – especially when that move is up – auctions can be a popular choice. In a sellers’ market, an auction is a no brainer because it means that despite the appraisal price from your agent, if there is competition for your home, the bidding can go much higher. But an auction can also be a valuable sales method in a market that is heading south too. That is because it demonstrates to you exactly how much the market was prepared to pay for your home on the day, removing the worry of “if we’d just hung on a little longer”.
It is a popular sales method in your suburb
When auctions are a popular method of sale in your suburb, it is often the best idea to run with the pack. That is because buyers expect to purchase through the method and going against the grain can cause doubts about the property. There can also be an expectation that ‘the best’ properties sell via auction in some suburbs which you can capitalise on.