Date Published 10 September 2019
It's estimated that only 15 – 25% of UK Estate Agents offer auction services to their clients. However, property auctions are becoming increasingly popular with buyers and sellers alike, providing an increasingly-viable alternative to traditional, private treaty model.
When considering the frustration and emotional exhaustion often experienced in a private treaty sales process, as well as the average 30% fall through rate, the benefits of auction are clear. By comparison, the Modern Method of Auction is designed to maximise the chances of completion, with a 95% success rate and completion time frame within 56 days.
These figures are a powerful draw to sellers who have experienced the disappointment of a sale falling through. The speed of the Modern Method of Auction, reassurance of fixed timescales and the high level of security can be attractive to both sellers & buyers.
An attractive starting price coupled with increasing exposure, interest and viewings will help auction properties achieve a fair market value by using transparent competitive bidding to drive up the price. This maximises your fee revenue at a time of increased pressure in a competitive market. Whilst it will likely take time to change consumer perceptions and educate your customers, a modern approach to auction is the alternative option consumers are looking for, and it's what will help you achieve a valuable competitive advantage.
