Thinking about selling your house at a property auction, but not entirely confident with how they work?
A few years ago I didn’t know much about them either. The closest I ever got to an auction room was watching “Homes Under the Hammer.” And I had a few impressions that ended up being completely wrong.
Fast-forward four years and a stint working in the thick of the property industry. And I’ve got a much better understanding of how they work.
In this article, I’m going to be debunking some of the most common myths. So that you can feel more confident going into the auction room
The houses all need a lot of work and investment
I’ve seen some great bargains go to auction. Like a 3 bedroom house in Leeds which sold for less than £5,000. That’s less than the price of a lot of cars!
It’s fair to say that particular property needed a lot of work.
But, it’s a common misperception that all auction properties are like that.
Lots of people choose to sell by auction rather than using an estate agent. They might need a quick sale – auctions are the fastest form of sale by a long shot. This is something a lot of sellers need, not only those where the property needs work.
You’ll lose money by selling at auction
Another myth that I hear a lot is that you’ll end up selling for less, compared to selling through an estate agent.
The price your property sells for depends on a few different things. The price reserve, the experience of the auctioneer and the pool of buyers in attendance. These all have a knock-on effect on the price it sells for.
If you work with a good property auctioneer, they’ll place a reserve on your property. This means that it’ll be impossible for it to sell for a price you’re not happy with.
If you end up with a competitive room, it’s possible it could end up selling for even more than if you sold with an agent.
My property won’t get as much exposure
Before I worked with a property auctioneer, I didn’t have a clue how they marketed properties. The truth is, they market properties in almost exactly the same way as an estate agent.
It varies from auctioneer to auctioneer. But typically you’ll receive a full marketing service. That’ll include things like professional photography, floorplans and a database of buyers.
Your property will feature on the big property websites like Rightmove and Zoopla. You’ll even get a for sale board outside your house in most cases.
If you’re in two minds on whether a property auction’s the best option for you, reach out to your local auctioneer. Speak to them and get an insight into what they offer. If speeds important to you, it’s a better option than using an estate agent.
Keep an eye on our website for more guides on property auctions in the future.