Auctions can be scary, but according to buyer’s agent Amanda Segers from amandaonmyside.com.au, for the most part they are a good, clean way to do business.
She has some top tips for vendors and buyers when it comes to auctions:
- You have several weeks to find your buyer, advertise strongly and widely – don’t choose a cheap agent, but the one that has sold the most property around you and knows how to attract the right buyers.
- Spend some money sprucing your property up, eg having professionally cleaned if necessary. A simple paint and updating of floor coverings makes a huge difference.
- Ensure there is zero clutter, remove anything that you would hate somebody to steal from you.
- Choose a time of day that presents your home in its “best light” for open homes.
- Ensure there is nothing that will stop potential buyers from buying, eg. Damp (you can cut vents six months prior to dry the home), unit blocks behind (plant a row of tall trees or put up privacy screens or a sail) etc. If you have plenty of time, consider getting a DA for a granny flat/home office in the back yard, it will add value to your home.
- Have your finances in place prior to setting out on your search, they can take weeks to organise.
- Pre-plan your Saturday schedule of inspections, spend time calling the agents prior to confirm each property is in your price range (and still available) so you don’t waste time.
- Once you find the right property ensure the agent knows of your interest so that they don’t sell it without including you.
- Discuss the price expectations with the agent (and even other local agents who may know the property) and then generally add about 10 per cent if it is going to auction (note that this depends on market conditions, the property etc. a number of properties have recently sold below what the agent was quoting prior to auction).
- Ensure you do your homework on price and give yourself an auction limit – you will be more relaxed and wont to be making hasty decisions whilst the whole auction crowd is staring at you.
- If you are keen on a house but are not sure on price than the best rule is to make sure you are present at auction, you do not want to read in the Sunday paper that it sold below the price you would have been happy to pay!