The high pressure of an auction may seem like an intimidating experience for some. However, here are three common advantages that should be considered when weighing up whether an auction is the best means to sell your property.
Quick result
Some buyers may be cautious about whether to take a leap into a purchase or not, potentially resulting in lengthy negotiations. Due to the immediate nature of an auction, buyers are compelled to make a faster decision, which can mean you sell a property quicker in many instances. This quick result could also be beneficial if your sale is being made under pressure, such as the need to relocate for work.
Make a move or miss out
The heat of the moment and the competitive nature of auctions can have the power to drive the price of a property up, which can be beneficial for a vendor. The thought that a buyer may miss out on their ideal property may create a greater sense of urgency during the auction and may help you to achieve the best possible sale price.
Safety net of a reserve price
Setting a reserve price provides assurance that an auction must meet a minimum price expectation. To ensure this price is the ideal reserve, attending local auctions will help to determine the market value of your home and help you set price expectations. You should observe whether properties are selling in your area at auction and if so, what prices they are reaching. Do these prices suit your expectations? You may also get a feel forbidding conditions, and how fiercely bidders are competing for similar properties.
Of course, before making any decision about the best way to sell your property you should carefully consult with an agent and your advisors, and undertake extensive market research.