08 October 2018
Almost one in five Aussies are missing out on bargains because they are scared off by auctions.
Source: Real estate insiders
Buyers are throwing great property bargains onto the scrapheap before they have even seen them because they’re scared off by auctions, experts say.
Universal Buyers Agent property expert Darren Piper said buyers are missing out on bargains of up to 25 per cent because they are frightened off by auction sales.
“It can be daunting if you don’t know what you’re doing,” Mr Piper said.
“With television shows turning up the theatre and adrenaline of an auction it can cause buyers quite a lot of anxiety.
“But for those who aren’t put off it can be a great way to get in the door and find a real bargain.”
A recent survey by finder.com.au found one in five Aussies are “terrified” of auctions with many buyers passing over listings with an auction process.
Although the process can be intimidating Mr Piper said professional buyers agents can help to do the heavy lifting for buyers by attending auctions, making bids and finding properties worth inspecting.
“The first reaction many people have when they see a listing set as an auction is to give it a miss.
“We cut through the smoke and mirrors and ask the hard questions to determine if the auction if worth pursuing and just what kind of bargain you could get.
Mr Piper said a client had discounted a listing at 27 Cowper Street, Bulimba believing the auction listing was likely out of their price range.
But after enquiring with the estate agent and working out the value the client was able to secure the property at auction for $50k less than their max price range.
Mr Piper said it is also worth finding out how many bidders are expected to manage expectations and avoid falling into a price war.
“Most buyers turn to water at the thought of standing in a public place staring down other buyers and engaging with a boisterous auctioneer.
“We make the process less scary so buyers have the choice of handing over bidding to an expert and ensuring they get the best deal possible.
“There’s nothing worse than being out bid after you’ve spent time and money on a property, but with the right help you can snap up a real bargain.”
27 November 2017
The latest data from REIWA shows 53.4 per cent of sellers are having to discount their property in order to sell and the average amount they’re discounting by is seven per cent.
If you’re on the market or considering selling, you need to adapt to the current property conditions. Otherwise, you may need to discount to achieve a sale, which can lead to significantly longer selling times.
The latest September quarter 2017 data shows it takes on average 70 days to sell a property in WA, so if you want to beat the average you need a strategy to encourage a quicker sale.
Meet the market from the get-go
Pricing your property appropriately as soon as it goes on the market is key. The number one reason why a home stays on the market for an extended period is because it’s considered over-priced by the market. If you want an expeditious sale, you need to be realistic about price.
A suitable price will attract more buyers and, subsequently, more offers and competition. If you’ve not had an offer to buy within the first four weeks’ of coming to market then you need to consider either the asking price or marketing/selling methods being adopted.
Consider expressing the price differently such as a price range or shifting to an auction campaign.
Auctions can achieve a quick sale
Auctions are gaining in popularity in WA and are a considerably faster way to sell, taking an average of 27 days for a seller to secure a buyer. While listing numbers are relatively stable across the Perth market, stock levels remain higher than the long term average.
Selling via auction can help your property stand out from the competition and separate the genuine buyers from those just browsing.
Presentation is key
With good choice for buyers (particularly in select markets), you’ll need to take extra care and effort when it comes to presenting your property. While you don’t need to do a full blown renovation, making mild cosmetic improvements to the property, including the garden and any fencing, can go a long way in attracting more buyers.
Do your research before coming to market
If you are buying and selling simultaneously under similar market conditions, the state of the market is almost irrelevant. While you might not sell for a price you want, you’ll also be buying in a market that offers adequate choice and competitive prices.
When you’ve made the decision to sell, do your research and find out how the market is performing in your local area. Speak to our agents in the areas you’re interested in buying in. They’ll be best placed to give you an idea of what’s going on in and around your area.
There are buyers out there and we know that if your property is priced correctly from the start, it will be snapped up by those eager to buy their first home, trade up or downsize.
Visit our website for more details pmmetro.com.au