auctions increasing in Western Australia
According to research by the Real Estate Institute of Western Australia (REIWA), vendors are beginning to favour auctions as a way to sell properties quicker. Although homeowners and buyers in Perth have traditionally favoured private sales, this could change as WA embraces a selling method usually more associated with East Coast property markets.
"West Australians have grown very familiar with the offer and acceptance method of buying a property, which involves a simple contract process and some gentle haggling on price, but there is growing interest in auctions as a quicker way to sell in a sluggish market," said REIWA Deputy President Hayden Groves in a December 12 statement.
Auction campaigns can be over very quickly, which could reduce the time available for potential purchasers to complete their due diligence before bidding, unconditionally, at auction. For buyers, however, this can be a scary process, with a lot of unknown factors. Looking at new home building may present a more certain alternative for those who do not wish to compete in auction environment.
Commenting on the benefits of auction campaigns for sellers, Mr Groves noted that speed was the key.
"The auction method saves sellers almost a month on average, which in the current climate is very attractive to many people thinking of selling their property," Mr Groves said.
It stands to reason that although a selling method may work very well for vendors, it may not be the best way for purchasers to go about acquiring property. If you are in the market for a new home, make sure to consider options that will work best for your budget, timeframe and peace of mind.
With the Western Australian market experiencing an increase in housing stock available for purchase, according to December 17 market update from REIWA, there is no doubt that buyers will be presented with a lot more choice going forward.