Private Treaty or Auction?

There are two methods of sale that are most commonly used for the sale of residential property. They are Private Treaty and Auction. Each method has advantages.

A skilled agent realises that each property's marketing strategy is unique and as such both should be properly considered and explained to you:

Private Treaty

• The Seller sets the asking price
• Buyers are aware through advertising that the home is in their buyer range
• Buyers can place offers and begin negotiation immediately once the property is advertised
• Market feedback is ongoing with Agent reports.
• The Seller can adjust the price at anytime through the campaign
• Most simple and flexible method

Auction

• The Seller sets the reserve price and decides on a finite intense marketing program
• Auction can create a greater sense of urgency amongst potential buyers which may result in higher sales price as there is no ceiling price.
• You can adjust your reserve price on the day of the auction if it is not met
• The reserve price is confidential but the property is announced as on market once the reserve price is reached
• Contracts exchange on close of auction if reserve price is met.
• A deposit is payable on the day and settlement is normally 30 days following.
• Ultimately the market will determine the final sale price.