Article from Evening Herald House Doctor Wednesday 12th September 2007
- Nancy Previs
Our three bedroom mid-terrace redbrick is more than 100 years old and we believe it could command a healthy price if sold at auction. While we want to get good price, we also require a quick sale. What’s your advice on the best way to sell such a property in the current market climate?
Justin Kinsella of Justin Kinsella and Associates, MIAVI (www.justinkinsella.com) responds:
Certain types of properties – such as those with outstanding or unique features, or ones with development potential – can do well at auction.
We’ve already found a property on which we’d like to make an offer, which is why we would like to fast-track this sale. Should we go to auction in the hope that our house will sell on the day?
Putting a property up for auction is most suitable in a market teeming with committed buyers, because on auction day the competition is concentrated. This is likely to achieve strong price, as well as a 10pc deposit paid on the day.
However, as market activity decreases so does the success rate of auction sales – we saw this happen last Spring.
While selling by auction gives a definite timeframe for marketing, viewing, legal work and inspections, if the property doesn’t sell on the day, you may have wasted the time and money spent on the process.
Why might we wish to go for a private treaty sale?
With the private treaty process the agents list the property at an “asking price”, thereby inviting offers. This offers the benefit of flexibility, useful where a fast sale is needed.
And remember the highest offer isn’t always the best one – you may want to accept a slightly lower offer if the bidder’s circumstances allow for a quick exchange.
We’re still uncertain. What else can we do to help us make a decision?
It is certainly a good idea to see how other properties in your area have been sold. Don’t forget, too, that agents who have recently agreed sales on similar houses may have a list of potential purchasers.
Finally, should we seek the advice of our agent?
Yes – you’re paying for the agent’s expertise. However, ask to see supporting facts and figures before you make a decision.
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