To auction a property or not to auction

The benefits to you as a Vendor

•          A set time frame, an auction campaign usually runs 3-4 weeks

•          Is an unconditional sale, no waiting for conditions to be met which may go on for weeks

•          Vendors terms, you decide terms and conditions

•          Elevates your Property Profile, puts an urgency into the market regarding time the frame.

•          Sends a firm message to the marketplace that you’re serious about selling

•        The only method of sale that creates open competition between buyers to drive the price up.

Benefits of buying at Auction

•          Process is transparent- open competition

•          No chance of being gazumped

•          Can plan towards auction date.

Auction FAQ’s

Q: If I am the successful bidder do I need to pay any money immediately?

A: You will need to pay the deposit which is usually 10% of the purchase price.

Q: What is a Vendor Bid?

A: If the conditions of sale allow, the Vendor may instruct the auctioneer to bid on their behalf. The Auctioneer will advise bidders that a vendor bid has been made. Not all real estate companies allow vendor bids.

Q: What is the Reserve Price?

A: Usually only the Auctioneer and owners know the reserve price and it will not be made public. When the reserve price has been met the auctioneer will advise that property is “on the market” and will be sold to the highest bidder.

Q: What if the house doesn’t sell at Auction?

A: The property will be “passed in” to the highest bidder if the reserve price is not reached. The highest bidder will have the right to purchase the property at the reserve price.

If you have any further questions, please do not hesitate to contact me at Bayleys Remuera.