Selling a home in summer can be tricky for some but rewarding for many. First National Real Estate Lakeshores Principal, Mark Millington says it all comes down to getting the details right.
“Pretty gardens, spectacular views and a well-presented home will only go so far, especially in a market where buyers would rather be relaxing with a cool drink instead of house-hunting in the heat,” Mark Millington said.
“It is essential home sellers price their property correctly, choose the most appropriate sale method and market it appropriately. Real estate agents can make a lot of difference here as they have the necessary knowledge and experience to maximise the value of your property.”
Mark Millington said that when it came to pricing the property, home-owners need to consider the market and buying conditions.
“Summer is a time when buyer numbers plateau – particularly during the holiday period – but the current market conditions of low interest rates and affordable prices will prove too tempting for many to pass up,” Mark Millington said.
“So it requires real skill to set the price at a realistic level where both the buyer and seller feel comfortable that they have paid and received a fair price.”
One of the biggest dilemmas summer sellers face is whether to go to auction or sell their house through private treaty (for sale). In making this decision, there are a number of factors that should be considered such as location, style of property, level of demand and timing of the sale.
“Private treaty sales offer the advantage of a clearly stated price. This can be powerfully attractive to buyers who sell their property just prior to Christmas and are facing settlement in early January Mark Millington said.
“When you have properly priced your property, these types of buyers can be super motivated to make strong, fair offers, with a minimum of negotiation, but it’s essential to have your price right in the first place if you’re going to do business.
‘On the other hand, auctions allow the market to determine the price and competitive bidding can push the price up. Auction also offers the seller certainty that once the reserve is reached, the property will be sold, and there is no Cooling Off Period so the sale is secure – the buyer can’t change their mind. However, the timing of an auction is crucial so it’s best to have auction campaigns completed before the holiday period gets underway.”
When it comes to auctions, Mark Millington said there are two types to be considered: in-room or on-site.
“At an on-site auction, buyers can actually touch and smell what they are buying, which can provide a stronger emotional connection to the property,” Mark Millington said. “Also, there is an argument to be made that suggests when it comes to those final bids, and the buyer is standing in what is to be their new home if they are successful, they are more likely to go that little bit further to secure their new home.
“However, in-room auctions are not affected by the weather or other environmental factors and when the market is running hot, the enthusiasm for other properties offered by auction at the same event can positively influence the bidding on your own property.
According to Mark Millington, the soft market of recent times is showing a trend towards private sales over auctions, with sellers more inclined to take that route than what they perceive as the uncertainty of the potential outcome on auction day.
“My advice would be to discuss all the options available with a real estate agent, who will help determine which method of sale best suits your individual circumstances and the likely degree of demand for the type of property you’ll be offering the marketplace,” Mark Millington said.
“The agent is there to help weight up the benefits and costs and pro’s and con’s of each scenario and to support a seller through the sale process. They can only do that if the seller is open and honest about their feelings and share their concerns.
“At First National, we are there to put our clients first, which is why we lead our industry.”
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Issued by: First National Real Estate
For further information contact:
Mark Millington, Principal, First National Real Estate Lakeshores, on 02 4359 1555