MAKING THE RIGHT CALL
Discussing the method of sale can be a true sweaty-palms moment for an agent, as they attempt to predict a vendor’s opinion for public or private negotiations. There are also variables to consider in relation to the property and its position in the marketplace.
“I think it’s broken into two parts – the two ingredients you always need to get the best price are an emotional buy-in and a competitive environment. Auction allows you to do both,” says Nickerson.
“I don’t think every property should go to auction,” says Panos. “Certain variables in an area, such as how much stock is available (supply) and how many buyers are actively looking for property (demand), will impact upon the level of competition that a market can provide.
“If you know that it’s going to be a property that’s going to have a lot of strong competitive bidding, I’d say it’s more predisposed to be at auction. A property that is dissimilar to a lot of other properties in the area, even if it’s not a market that’s got lots of competitive bidding, it’s probably predisposed to go to auction.”