IT’S A BRAVE NEW WORLD

Agents are adapting to new methods

WHAT a difference a few weeks can make. Real estate has gone from taking the handshake out of a deal to a complete turnaround on how some people approach buying and selling property.

As you’ll no doubt be aware, onsite and inroom auctions have now been restricted for the foreseeable future, with open home inspections similarly off the table, changing how agents sell and buyers approach real estate transactions.

When it comes to auctions, southern metropolitan markets like Sydney and Melbourne are most likely to be affected in the short term, with auctions far more prevalent in both capitals due to different legislation and accepted selling methods. CoreLogic data shows auction withdrawal rates are beginning to surge, with 40 per cent of auctions across the country pulled from the market last weekend. Owners who were intending on selling their house via auction need to pivot to either online auctions (which are already a growing part of the real estate landscape) or alternatively, resort to private treaty sales with a listed price in place.

While auctions have become increasingly popular in Cairns, they still represent a small proportion of overall sales. I expect the impact of these changes to be less broad in our residential market. However, if you were considering selling your house via auction before the restrictions were in place, there’s no need to scratch the idea. Have a chat with a local REIQ accredited agent to see what technology they have to facilitate an auction that’s compliant. There are a number of great platforms your agent can use, such as GAVL, Openn Negotiation, RESO or Market Buy. A number of local agencies have already bolstered their technological capabilities during these restrictions, so this request isn’t out of reach.

It’s important to clarify that while open inspections are not permitted, it’s not a blanket ban on inspecting homes. Since the Prime Minister has introduced a ban on gatherings of groups of two people or more, there has been some confusion that by-appointment private inspections cannot occur. This is not the case.

By-appointment private inspections are available, but your agent should only take one person through the property at the time. So, if you and your partner are wanting to inspect a property, don’t be surprised if one of you is asked to wait outside before swapping over.

Many agents are preparing floorplans, videos and virtual tours so inspections can still be held for those unable to physically inspect. Homes can still be sold under the hammer and properties can still be inspected; just in a way we’re not used to.