All Offers Presented

What do you think of this selling strategy in a flat market.

Very Simple, no set price.

ALL OFFERS WILL PRESENTED

Do you think this will create competition? The product, development site in sort after location??


Comments appreciated.

MTR

 

Don't they already do the "all offers will be presented" in flat markets?

Personally I think it would be better to try to differentiate your stock in a flat market somehow, make it look more attractive and not act/start from such a desperate position. People can smell fear and desperation I reckon. I know I hone in on such things when looking to buy in any market.

 

Is this desperate though? I have not used this strategy ?

For me I am interested in what strategy works to create competition, like a Dutch auction?

I like underquoting because you create competition, but not sure whether the strategy I mentioned will do it???

 

Yeah I agree, I think its too desperate. Also depends on the market though. For me in a flat market I like to try to create a point of difference for the property, perhaps offer flexible terms for a better sale price. In warm and hot markets, use aggressive marketing, top sale agents. I want my agents to be killers. Forget the soft nicey-nicey ones. This is business. Really the agent/auctioneer will make all the difference. If you get a top gun who knows the market and the stock your selling, they will be able to recommend what strategies work best for that particular type of stock and market. They'll create the hype, they'll draw the market in from all corners getting their emotions up and check books out.

 

very good points

Perth is very lame when it comes to taking deposits on properties, you will be pushing to get 5% down, its just a fact, its the culture of the industry. Whereas Melb/Syd markets its 10% not negotiable

 

Like you didn't know already

 

Yep sounds desperate and encourages lowballers rather than serious buyers.

What works well in Adelaide west and east is auction (unless sold prior). They never plan to take to auction but this has a set date to sell by, and encourages strong offers on quality properties in a bid to get it off market while purchasers can still have finance clauses unlike at auction.

 

really? weird..

 

Interesting, I wonder whether this would work in Perth market, we are not big on auctions here, though they had one down the road and it sold prior to auction, 4 bidders. However, I think the price they achieved was average. It was a deceased estate, that also may have not helped

 

Does the higher end stuff go to auction?

 

It is weird. Many would not know this, but Perth re agents don't push for 10% even though its in the contracts, its just the norm here perhaps 5% if you are lucky.

 

Certainly some properties go to auction, its a mixed bag. Not necessarily higher end stuff, especially at the moment this market has not recovered since crash of 2007, you need competition for an auction, where are the buyers for this stuff???

 

Are Perth people generally just 'nicer'? less aggressive than the Syd/Melb mob?

 

Depends on the suburb really. Here about everything in west/north west goes to auction (USP). North and south not very common and typically for mortgagee sales... private sales via auction generally flop. East is probably 40% auction 60% private treaty.

 

Interesting, has this been typical of this market, or just recently auction has been the way to go??

 

West/North West has been very strong market past 2 years and with limited stock on market, auction gets some amazing results.

I bid on a property for a client in Kurralta Park a couple of weekends ago, I had appraised it as around 690-720 based on comps with superiors selling mid 7's. Two young families got swept up and it ended up going for $775k, well over market.

 

That's brilliant, it really sounds like certain pockets of Adelaide are gaining some steam now

 

yes all offers are presented anyway - that's a legal requirement.

All offers presented is pull marketing. It attracts buyers to make offers.
Irrespective of how crappy the offers are and whether you know they are never going to be accepted, all offers are valuable because then you can confidently say "we have 7 offers on this property" don't need to disclose what they are but it then creates competition for the later offers which are more within a reasonable range.

 

I OFFER $1 !!!!

Condition: $1 presented on 1x silver platter.

Offer expires 10/08/17

 

This is the logic I was trying to get my head around which can create competition, an offer is an offer, you don't disclose the price... thanks