The Process of Selling Property by Auction

The auction process is by far the fairest and most transparent way to purchase property and attracts buyers who have a genuine, strong desire and are committed to purchasing the property. The team at Coolum Coastal Property work closely with their preferred Auctioneer Geoff Kerkow, together they have achieved outstanding results with carefully tailored marketing plans and current market insight.

The Campaign 

Throughout the campaign our experienced salespeople stay fully engaged with our sellers so as to never miss an opportunity to achieve an optimum outcome.

Auction Day

The lead up to auction day can be stressful but our experience and guidance will ensure you are comfortable with the process. Before the auction we’ll ensure that you are clear on what will happen on the day, the process that will take place, the reserve price has been set, and identify the various scenarios which may play out. We’ve seen them all.

Your agent is required to display documentation relating to the property such as a copy of the Contract Of Sale, Title Search, current Rates Notice etc. When the auctioneer begins they will announce the information from state law regarding auctions in general and the terms & conditions of your particular auction.

Opening Bids

Once the auctioneer has addressed all attendees and prospective bidders he will ask for an opening bid, followed by setting an amount by which all bids will rise e.g. $5,000 increments. These bids may be higher or lower and it is at the auctioneers discretion that he agrees to and accepts any bid.

Generally there is a sense of urgency because buyers are pushed to make a decision much faster than compared to a private sale -if they don’t make up their minds in time they will miss out on the sale. An auction can be highly competitive if there are multiple buyers interested in buying the property. The competitive bidding can cause the price to exceed the expected value of the property as people tend to bid higher than they originally expected to spend due to the high pace atmosphere of the auction.

Reserve Reached

Once the agreed reserve price has been reached the property is considered to be ‘on the market’ and will be sold to the highest bidder. When the final bid is reached and the seller is happy with the price, the auctioneer will call “going once, twice, three times…” and if no more bids are offered he will then call, “SOLD”.

In the event that the reserve price isn’t reached the auctioneer will privately ask the seller if they wish to adjust the reserve or pass the property in and negotiate with other prospects post-auction.