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Auction:

Love it or hate it, sale by auction is the most successful method of sale used throughout Australasia with a 90% plus success rate measured over the length of the campaign which encompasses sales concluded before Auction, at Auction and after Auction. Auction employs 4 key strategies that underpin its success being;

  • URGENCY - it creates urgency in a buyers decision by having a pre-set 'sale date'
  • NO PRICE - the biggest barrier to purchase is always price and so Auction eliminates price marketing;
  • MARKETING - your home is put on a pedestal with an elevated marketing campaign to find and attract more interest;
  • COMPETITION - Auction puts buyers in competition with each other which forces the price up.

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Exclusive Agency:

This is the most common form of Agency entered into with your Real Estate Agent where that single Agency holds the exclusive rights to market and sell your home over an agreed period of time. This exclusivity allows the respective Agent to commit totally to the process and the relationship with you without the fear of doing a considerable amount of work, an undergoing expenditure, that could go unpaid if another agent (open agency appointment) sells the property.

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General (Open) Agency:

A General Agency, or 'Open Agency', as it's also called, is where the vendor lists their home on the market with multiple Real Estate Agents at the same time. This type of Agency Agreement and marketing approach is a carry over from Real Estate times up to the mid 1980's where it was far more common place. Fortunately, very few Vendors now opt for this strategy simply because they can't get the attention, the marketing and the service that's required to achieve an appropriate outcome.

The common place thinking for vendors back in those days (and I was around, late 80's anyway) was that more agents means more buyers, but that simply isn't true, even more so in todays information rich internet buying and selling society. Buyers go where the listings (properties) are so you will definitely not be missing out by listing with just the one agent as in an Exclusive or Auction agreement as above. And on top of that you will be getting the attention, time, effort and dedication to your property that an Agent just cant devote when he/she is in competition with other Real Estate Agents via a General Agency agreement.