Understanding Methods Of Sale

Auction

Pros:
Creates urgency, competition, and emotional bidding.
There’s no advertised price, which can drive buyers to focus on winning rather than negotiating down. Strong cash buyers often prefer auctions.

Cons:
Requires a strong marketing campaign to get enough buyers to auction day.
If interest is low, the property might pass in and need post-auction negotiation.
Some buyers (especially conditional ones) may be discouraged from engaging.


Deadline Sale (or Set Date of Sale)

Pros:
Creates a clear timeline, encouraging buyers to act quickly without open-ended negotiations.
Flexibility for the seller — you can accept offers before the deadline.

Cons:
If buyer competition is low, sellers might feel pressured to accept a lower offer as the deadline approaches.
Needs strong early interest to succeed.


Negotiation (By Negotiation)

Pros:
Provides flexibility without tying the seller to a fixed figure.
Useful for unique, high-value, or hard-to-price properties where letting the market lead is smarter.

Cons:
Without a price guide, some buyers hesitate to engage.
Negotiations can take longer if expectations aren’t well managed.


Fixed Price (Asking Price)

Pros:
Clear for buyers — they know exactly what is expected.
Can encourage faster, cleaner offers when priced correctly.

Cons:
If overpriced, the property risks sitting on the market.
If underpriced, you may miss opportunities to generate bidding competition.


Offers Over

Pros:
Sets a clear minimum expectation while still inviting competition above that figure.
Buyers know the seller’s bottom line but are encouraged to offer higher to secure the property.

Cons:
If the “Offers Over” figure is too ambitious, it can confuse or turn off buyers.
Managing buyer expectations is critical to avoid low offers anchored around the starting figure.

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