SELLING STRATEGY

SELLING STRATEGY – WIN OR LOSE

AFL GRAND FINAL WEEKEND – TO AUCTION OR NOT TO AUCTION

Scrambling to find auctions on the weekend that were being held during the Grand Final.

An experiment to gauge the effectiveness of auction campaigns that culminated between 2 and 4 pm on September 28.

A test of the market, a test of the auction campaigns, a test of agents and agencies that were perhaps taking a gamble with their sellers asset.

The two auctions that I attended were in Glen Waverley, a typically hot spot for buyers. One was in the Glen Waverley Secondary Zone, close to Syndal Railway, Wesley College, and Blackburn Rd. The other had the unusual feature of a creek in the backyard. Both required renovation. One was vacant, the other had renters that appeared to be in the packing phase – very untidy, belongings everywhere, certainly were not doing their landlord any favours with their presentation.

STRATEGY – LOOKING AT THE STATISTICS

Glen Waverley Statistics.

Realestate.com.au

Median house price $1,701,000
Past 12 month growth Up 0.8%
Buyers Interested 7096
Days on Market 42
Houses available in the past month 151
Houses sold in the last 12 months 491

Corelogic

Top House Sale Price in the last 3 months $5,100,000
Lowest House Sale Price in the last 3 months $990,000
(disclosed figures only)

STRATEGY – VENDOR BIDS, PASSING IN

Auction 1 19 Shirley Avenue Glen Waverley

Price Range $1,600,000-$1,700,000
Opening Bid $1,400,000
Highest Bid $1,590,000
Passed In on a Vendor Bid at $1,700,000
Sold after auction $1,751,000
Corelogic Estimated Valuation $1,745 -1,920- 2,090,000 medium to high confidence
Last sold information unavailable
https://www.realestate.com.au/sold/property-house-vic-glen+waverley-148866604

Auction 2 22 Falconer St Glen Waverley

Price Range $1,630,000 – $1,793,000
Opening Bid $1,500,000
Passed In at $1,685,000
Sold after auction $unsold
Last sold 24/2/2022 $1,838,000
Corelogic Estimated Valuation $1.69-1.87-2.03 with Medium to High Confidence
https://www.realestate.com.au/property-house-vic-glen+waverley-146363284

Of course, next year may be a different story.

STRATEGY – PRIVATE SALE

Private sales continued with the Grand Final not as relevant. It impacted Open for Inspections on the Saturday however even if properties weren’t open, agents were working and conducting private inspections.

SELLING STRATEGY – STEP 1

Developing your selling strategy before you begin, will you auction, private sale, run an Expressions of Interest Campaign? Educating your client, the home seller, about each one, discussing why you think one strategy would work better for them and their home. Not automatically taking a home to auction.

What is the strategy doesn’t work? If the home passes in at auction or doesn’t attract any offers during a private sale campaign? What is your agents suggestion in this scenario? Have they explained the possibilities?

Price is a favourite solution of agents. It’s their ‘go to’ solution. Rather than suggesting an alternative marketing strategy or an alternative selling strategy, agents leap on price. I find this ironic becuase usually price – both suggested selling and marketing, is at their initiation, they are the expert after all. It’s frustrating and to me shows a lack of depth from the agent.

The real estate adage that “price fixes everything” doesn’t mean that it needs to be the one and only suggestion.