Selling a property - huge interest but no bids at auction and passed in, what now?

Hi guys! Long time, no speak

I'm in the process of selling a property and this one is a real gem. It presented extremely well and had 59 unique groups throughout the 4 week pre-auction campaign.

Come day of auction though, even with a huge crowd and multiple bidders present, it passed in with no bids (except for my two vendor bids). This is really disappointing.

Anyway, what now? It's been listed as a private sale at the lowest price I'm prepared to accept (which is unusual, I know) and the agent will do the ring around tonight.

This is a very unique property, there is not much stock in Melbourne at the moment and it's a pretty unique heritage building. Melb is supposed to be very hot but starting to show signs it's running out of steam.

Now that the auction is over, have I lost the chance of it going for a really great price? What are my odds of there being another in-room 'second auction' if multiple interested buyers come forward. We have had 4 inquire post auction which is a good sign.

FYI - I'm working with a vendor advocate (buyers agent helping me with the sale) and the top performing selling agent in the area.

David.

 

There are many reasons people don't bid at auctions. Sounds as if yours never really got going.

Sit tight. You agent will now get to work and follow up all interested parties. New buyers come into the market every day.
Marg

 

Fair enough you've listed it at the lowest price you're prepared to accept - but how close do you think you are to the market price?

When I hear things like "very unique", that just makes me think "harder to sell" rather than perhaps what vendors often hope for - "really good price".

 

Usually if it doesn't sell its because the vendor's expectations are unrealistic.

Everyone thinks their property is better than someone else's. Its normal behaviour.

 

Yes very unique isn’t always a positive description.

That house is on fire = motivated seller.

Care to share the suburb?

 

Lots of reasons why properties don't sell at auction .

We sold a unit via auction in manly late last year . Had lots of interest and several contracts . In the last week we had three main people . One got cold feet , one other bought something else and the third one turned up to buy then realised he was the only serious buyer and started playing silly buggers trying to low ball.

Someone turned up to the auction ( to gauge the market ) and realised it was exactly what he wanted , but didn't have his cheque book with him . The third person continue to mess around and low ball . We ended up selling to the late comer at well above our expectations .

If the market is still hot and you have a good property you should be ok . If not you're being unrealistic ( or the agents are ) .

Cliff

 

There is one reason and one reason only that a house does not sell.............the price.

Having said that, many properties that go to auction and are passed in, do sell within the next few weeks due mainly to the marketing campaign and potential buyers who were not in a position to bid by the auction deadline, now being ready.

 

Keep in mind that the auction its self is an integral, but small part of a whole marketing campaign
.In saying that, If I turn up to call an auction and the agent has had 59 unique groups but we get no bids, its HIGHLY likely that the market doesn't agree with the agent and sellers expectation of market value.

 

Thanks everyone for your comments.

I understand the comments in regards to price. I am confident it's reasonable though, the vendor advocate is an ex-valuer and I've had about 5 bank vals for mortgage purposes done in the last 3-4 years (three years ago it was $800k, and Melb has performed strongly since).

FYI the vendor advocates details were not on the ad, it just looks like a normal sale.

I've decided if I don't get the listed price I'll keep it as a rental, but I'll give it to the end of the week.

 

How long is the post-auction period in the contract with the selling agent?

 

I don't know if that is true. There are other issues to consider such as a property being sold under auction conditions vs not auction conditions. I can give you an example of this: I went to this auction in Melbourne and it was passed in on a vendor's bid of $690,000 in November 2015. It sold in December 2015 for $725,000. Maybe the buyer didn't want to buy under auction conditions?

3 Bamfield Road, Heidelberg Heights, Vic 3081 - Property Details

I had an auction in November 2015 and the property was also passed in. It sold later for a higher amount than the highest bid at auction.

 

In my experience, a successful sale comes down to price, presentation, location. The presentation is spectacular and the location seems great! I don't know if your price is right or not because I know nothing of the area. Maybe for such a unique property it just takes a bit of extra time to find a buyer? That said, if you couldn't move it after a couple of months, I would say the price wasn't right.

 

Mate you're making it harder to sell this at that price. If it's worth the listed price and I was interested in buying it, I now know what you want, and I'd offer a slightly lower amount. And I'm confident you would sell it for slightly less instead of all the headaches of renting out the place and costs to resale at a later stage. Imagine you get someone that's clueless in not knowing what to offer and offers more?
Take the link down.

 

OK thank you, it's been removed. (Thanks moderator).

Could you also please remove it from your quote? @Barny

K

 

I can't delete it now. Moderators will.