In-room auctions making an impact in Adelaide
An increasing number of properties are selling through in-room auctions in South Australia, according to Ray White Adelaide.
“We have seen an average clearance rate of around 55 per cent, which is in line with or just above onsite auctions in Adelaide.
“It is not just about the event though, it is part of a process. Those properties that aren’t selling under the hammer, are selling quickly after the in-room auctions conclude, generally resulting in less days on market,” Brett Pilgrim, selling principal and auctioneer of Ray White Adelaide said.
In a state that typically doesn’t view in-room auctions favourably, the Ray White Group has made them a focus.
“There’s a real belief within the industry that the crowd has to be standing out the front of the house. Agents are also very selective about what’s considered a ‘good’ house for auction in Adelaide. I believe when run properly, in-room auctions can work for any type of property.
“The Ray White Group as a whole have had a particular focus on in-rooms for the last 12 months, and being the largest real estate group in South Australia it is having an impact on the marketplace,” Brett said.
“Over the past year, 21 of the 38 properties auctioned at an in-room event have sold.”
One of the objectives of the in-room events that Ray White Adelaide regularly hold, such as the End of Financial Year auctions scheduled for 26 June, is to make the auction experience less intimidating for buyers.
“An in-room event not only allows the agent to run a more professional auction, it provides a more comfortable environment for potential buyers. Onsite auctions can often become about the agent and drawing a crowd – residents in the street pop around to see who their new neighbour will be, and that can become quite intimidating for bidders,” Brett explained.
Having seen a successful 12 months of in-room auctions, Brett is confident the trend will continue to grow in popularity.
“More people are now starting to see that in-rooms work better for all three parties involved in the sale: the buyer, seller and agent.
“There is always potential for that great onsite Auction, which we all still enjoy, but our recent success with in-rooms show this is a professional and effective way to get your house sold,” Brett concludes.
The Ray White Adelaide End of Financial Year in-room auctions will be held on Thursday, 26 June 2014 at Adelaide Pavillion. Registrations open at 6pm.