Marketing Strategies
At Ray White we understand there is a lot more to selling your home than simply placing a “for sale” sign in front of your property. Below, we take a look at the four major marketing strategies used in the sale of the property ie: sale by Private Treaty, Public Auction, Tender or Price Range.
Sale by Private Treaty
Your property would be placed in our hands as exclusive agents for an agreed period of time. As your exclusive agent we are committed to actively market the property for sale.
Under this arrangement the property will be promoted to the market with a predetermined asking price, however the terms of the final contract can be changed as consequence of negotiations with the buyer.
• Placing a price on your home guarantees that the amount set will be the maximum price you will be likely to achieve. People often offer less rarely more.
• As a result of the unlimited timeframe, there is little urgency placed upon potential purchases to buy your property. It is also a common place for sales to fall over in the period from when the deposit is paid until the final exchange of contracts.
Sale by Public Auction
The sale of property by Auction is widely recognized as the most effective and successful method of achieving a premium price for your property in the shortest possible time. This is achieved by the following:
• An auction advertising program is an impressive demonstration of your commitment to sell, with a targeted marketing campaign interceded to saturate specific buyers in the market.
• The contract of sale will be on your terms and conditions of the sale are predetermined.
• An auction date creates a sense of urgency yet still allows purchasers ample time to complete their own enquiries and arrange finances. On the actual day of the auction each potential purchaser can clearly see their competition, which builds competitive bidding and ultimately exhausts market demand- resulting in a premium price.
At the conclusion of a successful auction, the purchaser is required to pay a 10% deposit and the Agreement of Sale of Land must be executed. Once the contracts have been exchanged the purchaser is locked into the purchase of the property.
Sale by Tender
The marketing concept for this strategy is similar to that of Auction except that both you and the purchaser can achieve a sale without the loss of confidentiality associated with Public Auction.
The purchaser must complete a form of tender and submit this together with a preliminary deposit to the agent before the determined closing date. As the seller, you may accept whichever tender you wish, which may not necessarily be the highest tender. Once you have accepted the tender neither you, as the seller, nor the purchaser may withdraw from the sale.
Your purchaser may impose conditions with this offer and these conditions could be subject to considerable negotiation prior to the sale being effected.
Sale by Price Range
This method has been particularly successful with our office and is most effective in a market where prices are constantly changing.
It is quite common if used correctly to achieve a premium price.