When it comes to selling your home, there are six common methods. Each of these has its own advantages depending on the nature of your home and the prevailing market conditions, so we recommend consulting with Koala Blue to decide the best option to secure the best price.
Sale by Private Treaty (“For Sale”)
Sale by Private Treaty means that you set a price at which your property is to be marketed to the public through the marketing plan agreed to by you and the agent. Negotiations are carried out in private between the agent and the buyer.
Auction is a method of selling property through public negotiations by way of an intense campaign based marketing strategy with a set date of sale. The campaign is over a 3-4 week period and is an excellent method for creating maximum exposure to the home and driving the price up through healthy bidding from potential buyers. A successful campaign is one where the price for the home exceeds market value and sometimes exceeds the owners expectations. Auction is one of the few methods of sale where both the seller and buyer are working towards a set date for the sale of the property. One of the benefits to the seller is that the offers are unconditional and settlement is generally 30 days from the fall of the hammer.
Offers Over Price e.g. O/O $300,000
"Offers Over Pricing" has become increasingly popular as a selling method because of its ability to create a sense of urgency and create multiple buyer interest. While there is no advertised ceiling price, there is a " target price " that the sellers may be chasing and the buyer can make an offer by starting above the " Offers Over Price" and negotiate a price that may fall somewhere between the advertised Offers Over price and the sellers target price.
Fixed Price e.g. Fixed $300,000
The “Fixed Price” system is the most traditional of all selling methods as it offers a clear guide to buyers the seller's price expectation. While the seller has outlined their desired price, the buyer can make an offer and the seller can negotiate the offer. Like all other methods, the offer can be accepted by the seller if the price and conditions meet their expectations.
Expressions of Interest
The ‘Expression of Interest’ method is a campaign based marketing strategy that is conducted over a specific time period, usually three weeks. The success of this method is concentrated on the competitve nature of this method which ensures buyers make their offers as attractive as possible by way of price and conditions.
Price Range e.g. Price range $400,000 - $440,000
A set of goal posts are created, being the price range, to attract as many possible buyers. The buyers are made to understand that offers only within the range will be considered by the sellers. This method opens up the market for buyers with a wider budget and the invitation is there for the buyer to negotiate within the parameters of the price range. The more buyers there are looking within that budget, the more potential offers the seller has an opportunity to consider and the better outcome of the price.