A popular method of buying and selling property is through auction. A reserve price, the minimum price you are willing to sell your property, is set by you and your agent. The auction is conducted by the agent or auctioneer on a specified date. Conducting an auction is covered by laws, so allow a professional to do it. If your reserve price is not met, you may negotiate with the highest bidder through your agent.
The sense of urgency and competition amongst buyers in an auction can result in a higher price for your property. However, buyers can also be put off by the prospect of an auction. It is better to talk to your agent to see if auction suits you best.
Before advertising and showing the property, you and your agent set a price range but it is not advertised. Prospective buyers are invited by the agent to formally submit their best offer along with their terms and conditions on special tender documents, which must be submitted by a particular date and time. When the set date has passed, the tenders will be delivered by the agent and presented to you for opening. You can opt to take the highest tender, open negotiations or re-list your home if the price you wanted was not met. This method is similar to an auction but without the stress.
Asking Price / Private Sale
Buyers find listings with an asking price most appealing because this method is less daunting and simpler to figure out. As buyers will normally attempt to negotiate for a lower price, better talk to your agent about your expectations. Private sales can take a longer time because there is no sense of urgency like an Auction or Tender Sale.
For more information about any of these methods and to find out what will suit you best call me directly on 0418447856.
Annette Pinkerton - the Newcastle Real Estate Agent who enables you to turn the key to where you want to be!