Selling Strategies – getting the best price for your property
Auction or private treaty? It’s one of the first questions you will need to answer when it comes time to selling your property.
Whilst auctions can make both sellers and buyers nervous, John McManus, Principal of LJ Hooker Willoughby Artarmon, is firmly of the view that auctions are the better way to go.
“An auction allows the market to set the price of the property. It provides transparency for buyers so they can see what it’s worth based on what other people are prepared to pay. This can help push the price up,” says John.
“In contrast, a private treaty could cost you if your agent doesn’t get the price guide right. If you set it too high, for example, you might price people out who otherwise would have actually reached that figure in a competitive auction environment.”
“The only properties I wouldn’t send to auction are those which are extremely unique making it hard for the market to set a fair price.”
Marketing your property is also a key component of your selling strategy. The most popular advertising channel is property websites which allow you to post information, photos, videos and maps. Some agents also place dropcards into local letterboxes and print advertising in local newspapers.
“Showcase your property as best you can online and, if possible, use premier listing to make your property stand out. Print advertising is being used less and less and is more typically reserved for exclusive, high-end homes,” says John.
But what if the worst case eventuates and you don’t sell your property at auction or it’s been on the market for a long time? There are a few things you can try such as dropping the price, refreshing your advertising or posting new photos.
However, John believes there is really only one course of action: “If you haven’t sold your property within eight weeks, take it off the market and give it a rest. People will start to think there is something wrong with it and the price will diminish.”
“In most cases, the reason is that the price guide is wrong. A good agent will pick this is up within the first two weeks of selling and drop the price guide to match. This will most likely cost you less than sticking with an inflated price and ending up with a property that won’t sell.”
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