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How to Sell Property at Auction

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Manage episode 501442092 series 3309995
Content provided by The Expat Property Guy. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by The Expat Property Guy or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

#231

Join our WhatsApp group
Giveaway from Hammered (worth £1,000)

Recent episodes have demonstrated that the UK property market is currently experiencing significant challenges.

  • Properties remaining unsold for months
  • Rising costs and reduced buyer activity
  • Uncertainty around the renters rights bill
  • The Impact of stamp duty changes and Section 24

have all contributed to traditional sales methods becoming sticky or protracted.

One solution is selling at auction. Which is what this episode is all about.

Piotr Rusinek is co-founder of Hammered, UK property auction consultants, and co-author of Before the Hammer Falls: The Insider's Guide to Property Auction Success

The Seven Tips discussed in the episode:
Tip 1: Decide if Auction is Right for You

  • The trade-off between speed, certainty, and price
  • Who should consider auction sales (motivated by speed and certainty rather than maximizing price)
  • Drawbacks vs. using estate agents or cash buying companies

Tip 2: The Right Property Type for Auction

  • Auction suitability for distressed properties
  • Projects and properties requiring refurb
  • Less suitable for owner-occupiers

Tip 3: Selecting the Right Auction House

  • Not all auction houses fit all asset types
  • Importance of auctioneer’s buyer database / marketing focus
  • Risks of choosing wrong auction house
  • Benefit of professional guidance (e.g. Hammered)

Tip 4: Creating Buyer Excitement and Showing Value-Add Potential

  • Showcase development opportunities (extensions, loft conversions, etc.)
  • Photographs, floor plans, CGI
  • Subtly indicating potential to let buyers feel they discovered it themselves

Tip 5: Setting a Low Reserve Price

  • The importance of a low reserve for driving competition and excitement
  • Balancing risk and reward with reserve price strategy
  • Reserve price recommendations (~70-75% of market value)
  • How emotional bidding can drive prices up beyond trader expectations

Tip 6: Preparing a Bulletproof Legal Pack and Using Auction-Savvy Solicitors

  • Comprehensive legal pack
  • Auction-savvy solicitors
  • Timing legal pack uploads (not too early / too late)
  • High-quality property photos / marketing materials

Tip 7: Embracing the Auction Cycle

  • Understanding auction cycle
  • Interpreting buyer activity, pre-auction offers, and data analytics
  • Dealing with properties that don't sell

Exclusive Property Engine discounts (Code: EXPAT)
Starter package: 30 day trial
Pro package 30 day trial, then 3 months 1/2 price, Ultimate package, 1/2 price 3 months

I'd Like Help With Setting My Goals

Leave a review
Join our WhatsApp group / access 37 Question Due Diligence Checklist / 23 Step Guide to Buying Property at Auction
Instagram

Keywords

  continue reading

234 episodes

Artwork
iconShare
 
Manage episode 501442092 series 3309995
Content provided by The Expat Property Guy. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by The Expat Property Guy or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

#231

Join our WhatsApp group
Giveaway from Hammered (worth £1,000)

Recent episodes have demonstrated that the UK property market is currently experiencing significant challenges.

  • Properties remaining unsold for months
  • Rising costs and reduced buyer activity
  • Uncertainty around the renters rights bill
  • The Impact of stamp duty changes and Section 24

have all contributed to traditional sales methods becoming sticky or protracted.

One solution is selling at auction. Which is what this episode is all about.

Piotr Rusinek is co-founder of Hammered, UK property auction consultants, and co-author of Before the Hammer Falls: The Insider's Guide to Property Auction Success

The Seven Tips discussed in the episode:
Tip 1: Decide if Auction is Right for You

  • The trade-off between speed, certainty, and price
  • Who should consider auction sales (motivated by speed and certainty rather than maximizing price)
  • Drawbacks vs. using estate agents or cash buying companies

Tip 2: The Right Property Type for Auction

  • Auction suitability for distressed properties
  • Projects and properties requiring refurb
  • Less suitable for owner-occupiers

Tip 3: Selecting the Right Auction House

  • Not all auction houses fit all asset types
  • Importance of auctioneer’s buyer database / marketing focus
  • Risks of choosing wrong auction house
  • Benefit of professional guidance (e.g. Hammered)

Tip 4: Creating Buyer Excitement and Showing Value-Add Potential

  • Showcase development opportunities (extensions, loft conversions, etc.)
  • Photographs, floor plans, CGI
  • Subtly indicating potential to let buyers feel they discovered it themselves

Tip 5: Setting a Low Reserve Price

  • The importance of a low reserve for driving competition and excitement
  • Balancing risk and reward with reserve price strategy
  • Reserve price recommendations (~70-75% of market value)
  • How emotional bidding can drive prices up beyond trader expectations

Tip 6: Preparing a Bulletproof Legal Pack and Using Auction-Savvy Solicitors

  • Comprehensive legal pack
  • Auction-savvy solicitors
  • Timing legal pack uploads (not too early / too late)
  • High-quality property photos / marketing materials

Tip 7: Embracing the Auction Cycle

  • Understanding auction cycle
  • Interpreting buyer activity, pre-auction offers, and data analytics
  • Dealing with properties that don't sell

Exclusive Property Engine discounts (Code: EXPAT)
Starter package: 30 day trial
Pro package 30 day trial, then 3 months 1/2 price, Ultimate package, 1/2 price 3 months

I'd Like Help With Setting My Goals

Leave a review
Join our WhatsApp group / access 37 Question Due Diligence Checklist / 23 Step Guide to Buying Property at Auction
Instagram

Keywords

  continue reading

234 episodes

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