Business
4 steps for Selling a Home at an Auction
Once you’ve decided to sell your house you’ll want to get it listed and start getting potential buyers through the door as quickly as possible. Although the decision to sell can be hard, once you have weighed everything up and decided it’s the best course of action, you will want to be looking for and moving into your next home.
That’s why you should pause for a moment and consider selling it via auction. This is an increasingly popular option as you will be able to set a minimum price you’ll accept, know the date your house will be sold, and can complete the entire process much faster.
When you sell at auction most people won’t have the opportunity to see your house first. They will only have your pictures and the associated text to show them what a great investment it is. That’s why you need to understand and implement the following four steps before selling your home at auction.
- Choose A Good Auctioneer
It may surprise you to know there is more than one auction house in your area. You need to take a look at the reputation and specifically how successful they are at selling houses. This will help you to choose the best auctioneer and start the selling process.
Don’t forget, when you talk to them you should feel comfortable and able to ask all the necessary questions.
- Check The Commission
Auction houses generally take a commission on a sale. So, the more you sell your home for the greater their commission. This can feel like you’re giving money away. However, it is generally cheaper than a real estate agent and it’s a great incentive for the auctioneer to push for a higher price. That’s beneficial for you as well.
You should also check if there is a charge when the house doesn’t sell. This is only possible in a minimum bid style auction where you have specified the lowest figure you’ll take and it hasn’t been reached. If you choose an absolute auction the house will be sold to the highest bidder, regardless of what price that is.
- How Do They Verify Bidders?
If anyone can bid at an auction how does the auction house know that the bidder can actually afford to buy the house? It’s important to check with the auctioneer how they verify bidders to ensure they are genuine and can afford the property.
It’s normal for the funds to be paid in a very short space of time. But, if the buyer doesn’t have the funds you’re not going to sell your house and will have to start the process all over again.
In short, make sure all bidders are checked and verified as genuine.
- Prep Your Home
As buyers are reliant on pictures and words you’ll need to take the best possible photos. Choose a sunny day to take photos of the outside and make sure the inside and outside are clutter-free.
In the writing, make sure you tell potential buyers about the energy efficiency of the house and what type of appliances you have. It will make it easier to find genuine buyers.
Kenneth is a proud native of sydney, born and raised there. However, he pursued his education abroad and studied in Australia. Kenneth has worked as a journalist for almost a decade, making valuable contributions to prominent publications such as Yahoo News and The Verge. Currently, he serves as a journalist for The Hear Up, where he focuses on covering climate and science news. You can reach Kenneth at bloggerjohnsmith12@gmail.com.