Overview into the world of online property auctions » The Gavelry

Online Auctions

Overview into the world of online property auctions

April 2021

For many, buying or selling property can be a daunting task. Your property is, in most cases, your biggest asset and it is vital that you are informed and make the right decision when either buying or selling. Since the dawning of the digital era, more and more industries migrate to doing business online, and today there are very few transactions that cannot be done online. 

The property industry is no different, with online property auctions gaining steady momentum, and now even more so with the recent Covid-19 pandemic. A progressively increasing percentage of buyers and sellers, both residential and commercial, are opting for online property auctions due to the uncomplicated and effortless nature of the process. 

Bidding online is not a new concept, but for many, it can still be intimidating to bid on an online platform. At The Gavelry, we have implemented unique strategies to guide our clients through the process, providing exclusive, top-quality service with experienced consultants. This article aims to give you some insight into the world of online property auctions, the many benefits that come with this method, as well as the distinctive approach The Gavelry is taking.

Traditional auctions can be adrenaline-packed and very exciting! Online auctions are no different in the sense that all the excitement of the bidding war is retained but it allows you to remain in the comfort of your home, your office or even bid at the beach - it is up to you!

Online auctions are an effective, convenient, and extremely transparent process, as the growing number of buyers and sellers who now use it can verify.

Let’s look at some of the benefits of online property auctions for both sellers and buyers.

Benefits for sellers:

  • Your asset gets exposed to an unlimited amount of prospects who have access to online facilities.
  • Leading up to the auction, aggressive marketing campaigns will be developed and implemented.
  • All buyers are pre-qualified which means no chancers or time wasters!
  • The rivalry amongst buyers and the convenience of bidding with the click of a button can improve ratings.
  • Fewer interruptions for the seller since frequent unscheduled showings are eliminated
  • Assets are disposed of quicker
  • Asset carrying costs are reduced including the cost of maintenance and tax.
  • Peace of mind of knowing your assets will be sold only if the reserve price is met.
  • Your assets will be sold at market value.
  • The immediate deposit payments, on the fall of the hammer.
  • The buyer pays and is liable for the commission.

Benefits for buyers:

  • You can view and bid from anywhere in the world.
  • You can view and bid at any time as online auctions are accessible 24/7.
  • Your time isn’t wasted by sellers that are merely testing the market - all sellers are committed.
  • The sale is open and transparent as all buyers compete on an unbiased playing field.
  • Competitive bidding means that buyers could divulge higher value.
  • Assurance that the asset is sold at the true current market value.
  • More control as the purchase price is determined by the buyer.
  • Elimination of unbearable waiting times since there are no long negotiation periods and the time to purchase is drastically reduced.
  • The closing date of the auction is made known.
  • Comprehensive information packs are supplied prior to the auction.

Six simple steps to buying on auction with The Gavelry:

  • Step 1 - Sign up on The Gavelry’s website to get notified of new auctions and download detailed property info packs for each auction
  • Step 2 - Once you are ready to start bidding on auctions you need to register to bid on a specific auction. The friendly staff at The Gavelry will help you with the registration and pre-qualification process. This is essential so that you know what the maximum bid is that you qualify for.
  • Step 3 - The Gavelry will notify you of the auction date. On the day of the auction, you can either use their mobile app or auction website to place your bids. 
  • Step 4 - On auction day, you simply bid on single or multiple lots at the same time to grab that amazing deal!
  • Step 5 - The timed online auction closes and The Offer to Purchase will be sent to both the highest bidder and the seller to sign. ESI Attorneys will then assist in the transfer process of the transaction.
  • Step 6 - ESI Attorneys will let us know that the transaction has been successful. We congratulate the buyer on the purchase of his/her property

Six simple steps to selling on auction with The Gavelry:

  • Step 1 - The seller will let us know that he/she has a property to sell on auction.
  • Step 2 - One of our agents will contact the seller to do a sales listing of the property and complete the mandate.
  • Step 3 - An auction listing with all relevant information, photos, video, and documents will be uploaded to our online bidding system. Marketing and registration of buyers take place.
  • Step 4 - Auction day takes place.
  • Step 5 - The timed online auction closes and The Offer to Purchase will be sent to both the highest bidder and the seller to sign. ESI Attorneys will then assist in the transfer process of the transaction.
  • Step 6 - ESI Attorneys will let us know that the transaction is successful. We congratulate the seller on the sale of his/her property.

It is very important for buyers and sellers to be informed of economic and market-related changes in the property and auction industry. Our property experts at The Gavelry will keep you informed and guide you through the entire auction process, ensuring a smooth and effortless transaction.