Steve Koerber's Old Blog

Remuera's house sold name since 1998 – 021864166

Posts Tagged ‘auckland market’

Why auction in a buyer’s market?

Posted by Steve Koerber on May 1, 2008

If an auction is “correctly” run, the top bidder (even if there’s only 1 bidder) will pay the highest figure they are prepared to pay…not a few dollars more than the next highest bidder. And not necessarily on auction day.

Sellers pay agents handsomely to achieve a sale at the best price available in the marketplace. If a seller is keen and desires a quick result, auction is a fantastic method of determining the value of a home within a short timeframe.

If a house has an asking price of $800,000 and the best buyer over 4 weeks sees value at a maximum of $700,000, in my experience that buyer is unlikely to make an offer at all.

Time is precious to everyone and buyers don’t want to waste their time with over-priced houses.

If the same house has no asking price, is taken to auction after 3 or 4 weeks, in my experience if the higest interest is $700,000, a bid at auction is likely.

In the above scenario, via auction, the value of the home (within the timeframe) is more likely to be established than if it was priced. If a seller is not happy with the established value (best bid), they have the option of remaining on the market with (say) an $800,000 asking price to see if the next 3 weeks or 3 months produces a better buyer.

So why not just price a home correctly from the start? Easier said than done! Especially in a “buyers market”.

Posted in Selling your home | Tagged: , , , | 2 Comments »

Slow real estate market in Auckland? Yeah right!

Posted by Steve Koerber on February 3, 2008

Not boasting but…surely the following is good to know if you’re interested in Auckland real estate….

During the eleven day period between 24 January 2008 and 4 February 2008 I was  involved in the sale of seven homes.  One contract didn’t go through, so that’s six sales.  Better than one every two days.  And tomorrow I’m presenting another offer.  I like these slow markets, they’re good.

Update:  as of 7 Feb 08, a further two sales.  Eight sales in 2 weeks.

Update:  as of 14 Feb 08, Nine sales in 3 weeks.

Update:  as of 5 Mar 08, Twelve sales in 6 weeks.

Update:  as of 11 Sep 08, Ten sales in 5 weeks.

Posted in Opinion, Remuera Sales Statistics | Tagged: , , | 3 Comments »