How To Sell Your House at Auction
After making the decision to sell your house, comes the question how? There are a number of ways you can go about selling your home but most commonly people opt. for a private sale of auction. There are a number of advantages for both, but if you decide you are selling your house at auction the biggest advantage is you know the date your property will sell. Additionally, actions give you the time to correctly market your property they also generate excitement and competition which are both crucial elements for a successful sale.
So, for those of you who do decide that an action is best for your property, here are some top tips for a successful sale by auction:
Find the right agent
You will want to find an agent that has a proven track record for auctions in your local area. Whoever represents you and your home needs to have an understanding of the marketplace trends that apply to your property. Have a look at their portfolio and weigh up the rate at which they have successfully sold properties at auctions and decide if they are the right agent for you.
Choose a realistic reserve price for your property
It is crucial that throughout the auction process you are realistic about your expectations. Work with your agent to set a reserve price that correctly reflects your property and compare it to the asking price of similar homes in the area. If your reserve price is met during the auction then your property will be officially on the market and be able to be purchased, because of this make sure you are comfortable with your reserve price.
Budget all costs associated with the sale
As you are preparing to sell your property it will be in your best interest to create and stick to a budget. The budget will be specifically important for advertising, advertising is a crucial expenditure as it generates hype and lets people know that your property will be up for sale. You will a crew advertising costs regardless of how successful the sale is, so an accurate budget for advertising is usually 1% of the expected final sale price.
Ensure you and your agent have an agreement
If you are selling your house at auction it is crucial that you and your agent discuss the ins and outs of the selling process. Ask questions like, what authority will your agent have if your reserve price is not met? What commission fees are you paying them? What authority will the auctioneer have? These types of questions offer clarity to both parties and are the basis for the contracts you will be required to sign.
To learn more about selling your house at auction or to get in touch with a buyer’s agent contact us today!