Netrealty

Private Sales

This can be an interesting subject for us to discuss without the risk of being biased, but we will share what we know, from which you can draw your own conclusions.

Surely you’re saving money though?
Most vendors feel that by selling their property privately, they will save themselves the commission that they would normally pay to an agency.  On the surface this sounds perfectly feasible, but there are a number of potential problems with this idea for vendors.

One of the problems is that buyers that we have surveyed also felt that the advantage, for them, of buying privately was that they would get a cheaper price, because the vendor didn’t have to pay anyone a commission.  Unfortunately both parties cannot save the commission.

A skilled art
Another issue is that while selling real estate is not rocket science, achieving a top sale price can be difficult, even for those who have some experience in sales. The reality here is that what a vendor may save in commission, they could potentially be losing on the sale price. In some cases, the difference can be even more than just the saved commission.

One of the most unfortunate things that we see with private sales is the photography for people’s property on the Internet. Considering they will be looking to sell their most valuable asset, it’s worth investing a few hundred dollars in getting quality photographs taken and showing the property in its best light.

The potential market for a vendor that is selling privately is also limited, as there are a number of marketing channels that are only available to licensed agents, for example, the Property Press or the ability to list on www.realestate.co.nz

Another stage of communication
Feedback can be extremely useful when it comes fixing any issues that buyers may have with a vendor’s property and, hence, removing any barriers to a sale. In a private sale scenario, people may be too polite to tell you what they really think about your property, in which case you are missing the opportunity to easily fix some issues, if only you knew about them. On the flipside, people usually don’t have a problem telling an Agent about things they don’t like and this can be instrumental in making your property more appealing.

Another issue is the direct contact between vendors and buyers that is the reality of private sales. It often happens that one or the other party is not comfortable negotiating directly the other party, which reduces the number of potential buyers for the property.

Worth the risk of alienating buyers?
From a buyers perspective, it can be a much risker situation to buy privately, as the Fair Trading Act, nor the Real Estate Agents Act no longer protect them from deliberate or accidental misrepresentation. You may know that what people can see is what they get, but there’s not the same legislation behind their ability to trust that.              

These are just a few points to consider… If you want to ask a professional any questions, or hear about the difference that a quality agent can make to the process, give us a call.

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Central Auckland Real
Estate Specialists

If we can't help you we know who can

Netrealty are an internet based Real Estate Company primarily focused on the Auckland CBD fringe real estate market. They have an outstanding cost effective digital marketing network dedicated to showcasing their client's property to both a local and international market.

Few if any Licensed Agents in Auckland have the experience, knowledge and relevant tertiary qualifications of the company principal Grant Tucker. If he can't help you he will know someone who can... More

 

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