Why auctions don’t always work!

Auctions can be an effective way to sell residential real estate under certain circumstances, but they may not always be the best fit for every property or situation. Several factors can contribute to auctions not always working for residential real estate:

Time Constraints

Auctions have a set date and time, which may not align with the schedules of potential buyers or may not give enough time for interested parties to conduct thorough due diligence on the property.

Type of property

Negotiation can be a more suitable method of sale for properties with specific complexities, such as those with weathertightness issues.

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Buyer Financing

Auctions usually require buyers to have financing ready and available, as they are expected to pay a deposit and complete the purchase quickly. Some buyers may find it challenging to secure financing on short notice in this current market, leading them to avoid participating in auctions.

We are very selective about the properties we take to auction, unlike other agencies who apply this to every listing they have. By listening to our client's needs and assessing their property carefully, we are able to advise them on the best marketing tactic and strategy to achieve a premium outcome. This has been demonstrated in our case studies here and here.