Three reasons to auction property in any market: real-time pricing feedback shows true value, a set auction date creates urgency when buyers hesitate, and competing bids prove what the market will actually pay.
Why auction in a transitioning market? I always tell my clients 3 things. The first thing is that it'll allow you to give real-time pricing feedback to your clients. It's so difficult to value a property in either an upward or a downward or even a plateauing market. So if you can get real-time pricing feedback in whatever that transitioning market is, it allows you to make quicker decisions and more informed decisions to your vendor. But also it creates urgency where there isn't any. And I think that's one of the big issues we see probably in the current marketplace where everything seems to be sitting still. People aren't sure whether interest rates are coming down again. So they're sort of paralysed by this over-analysis. And so what we're seeing at the moment is by putting an auction date on a property, it creates much more urgency and it means that they're the properties that buyers have to focus on first prior to making decisions on other assets. And also wonderful social proof in relation to transparency. Buyers are always willing to pay you their top dollar. They just want to know that the next party is willing to pay you one increment less. And that's what social proof is. That's what an auction provides continuously over and over.
Surry Hills Shop & Basement For Lease | 68 Campbell Street Walkthrough 134 sqm Surry Hills Shop Tour
