09 May 2023
Selling a property through the modern method of auction is a relatively new method of selling property that has gained popularity in recent years. The modern method of auction is an alternative to the traditional method of selling a property through an estate agent, and it involves the use of an online auction platform to sell the property.In the modern method of auction, the seller sets a reserve price for the property, which is the minimum price they are willing to accept. Potential buyers then bid on the property through an online auction platform, with the highest bidder winning the auction. The winning bidder is required to pay a non-refundable deposit immediately after the auction, and the remaining balance is paid within 28 days.
One of the key advantages of the modern method of auction is that it offers a fixed timescale for the sale. Once the auction has started, it typically lasts for around 28 days, meaning that the seller knows exactly when the property will be sold. Additionally, the modern method of auction can often result in a higher sale price than the traditional method of selling through an estate agent, as buyers are competing against each other in a transparent and open marketplace.
However, it's important to note that selling a property through the modern method of auction can also have some drawbacks. For example, the seller will need to pay a fee to the auction house, which can be higher than the fees charged by estate agents. Additionally, there is no guarantee that the property will sell at the reserve price, meaning that the seller may end up receiving less than they had hoped for. Finally, it's important to carefully review the terms and conditions of the auction house to ensure that you are comfortable with the requirements and obligations of selling through the modern method of auction.
