At auctions, the bidding environment creates competition among bidders. It helps form an emotional connection between a buyer and the property. All in all, it improves a property’s value, and helps the seller secure the best result possible..
There is a fixed date of auction (in most cases). It helps create urgency among potential buyers. They view properties in a restricted time period with the view of selecting a property before the auction day.
When you know you have a set date for the auction, as a seller, you have clarity of your role in the selling process, and you come fully prepared to sell property at auction.
When you sell a property yourself in the market, buyers often take more time to make full payment, as it takes time to apply for mortgages. When you sell property at auction, the buyer has around 20 working days to deposit full payment, and complete the whole procedure.
Once the hammer has fallen after bidding has been completed, final documents will be exchanged between both parties. The buyer will have done most of the work beforehand. Therefore, all the buyer needs to do is complete payment and work on the final contracts.
Auction houses use current databases and marketing techniques to send high-quality auction catalogues to people whose chances of buying the property are high. They arrange viewings that attract potential buyers. As a result, more people will see your property for sale than if you went the traditional route of listing with a standard estate agent.
When you sell your property using the traditional method, the buyer is in control. The buyer negotiates and suggests the terms of contract.
However, the opposite happens when you sell property at auction. You are in control of the whole process. You dictate the terms and conditions of the contract. You select the settlement date and reserve price, meaning you design everything according to what you think is the best for you and your circumstances..
Effective marketing campaigns are designed to attract potential buyers in a short period of time. Potential buyers get the opportunity to understand the advertisement, view the property and develop a connection with it, even before they bid.
When you sell property at auction without a price, buyers look at the property based on its qualities, and then the price moves up.
The whole procedure of selling a home at auction is completely transparent. Sellers set the minimum price they want to sell their property at, meaning there is no risk of selling your property below its market value. Bids are made in public, so you will know what offers are being made at every stage.
These are just some of the reasons why you should sell property at auction.