To Auction or Not? Buying and Selling Property through Auction
- Buying property in Malta, Articles, Selling Property in malta, Contributors, Jeff Buttigieg, Real Estate Auctions
Most people have, at one time or another, tried their luck at an online auction. Just for the kick of it. Just for the thrill. Buying a bag, a book or a boat even. The novelty of actually buying property on auction is just as thrilling especially if you can handle the excitement, minus the trouble, and be ready to take your pick of some of the loveliest properties around. If on the other hand, you want to sell on auction – you are in for one of the smoothest methods of property selling ever.
It is one of our ultimate missions to innovatively bring buyers and sellers in Malta and Gozo closer together whilst decreasing the number of days to sell and most importantly at the market price. With this in mind our introduction of Property Auctions is a natural inclusion to the services we offer to the general public in Malta. Professional property auctions have been practices abroad and throughout Europe for over four decades and we feel that the Maltese Public are ready for an integrated service offered by an established real estate company.
Here in a nutshell, is what you can expect to experience if you are interested in purchasing or selling your property via through the RE/MAX Malta Property Auction service:
I want to buy:
- Sit back and take your pick from a choice selection of gorgeous properties which have been put together for the next auction, all available for preliminary viewing online.
- Once you find something you fancy, just get in touch with one of our RE/MAX Associates and you will be assigned an agent who will meet you to view the property and further understand your requirements. The process of the auction and information about the next Upcoming Auction will also be provided.
- If you are in agreement – you will be shown other properties for sale by auction options similar to what you have selected, to allow you a wider spectrum of properties within your preference limitations and budget.
- Property viewing will be organised just for you. Time will be dedicated to allow you to see each property intimately.
- Once you fall in love with a property, you may register for the auction. Once registered, you only have to wait for auction day.
- If you simply cannot wait to grab a deal, you may be willing to make a pre-auction offer which the seller may consider and accept.
- On auction day, your bidding will provide you the opportunity to ‘win’ your preferred property.
- There and then, right after the auction, you will be signing your promise of sale with the reassurance that all preliminary notarial searches will have been effected professionally prior to the auction.
- You would have obtained a property at market price, would have speeded up the process of property buying whilst eliminating the strenuous part of negotiating.
When buying a property by Auction you are ensured that the seller is prepared to commit thus there is no worry that the seller may back out of a deal. Once they have agreed to go to Auction and the hammer is activated the sale is yours. You are determining the price and of course you are able to bid or outbid other bidders, whilst each and everyone at the Auction are comfortable with the fact that they are bidding on a level playing field. It is a known fact that properties that go to auction are sold at a fair price.
I want to sell:
- Contact the a RE/MAX Malta Sales Associate and they will visit you and your property to gauge whether it is suitable to be placed on auction. It will be vetted by the Auction Manager and your options will be explained thoroughly.
- Once the decision is made to auction the property, you will be requested to register as a seller and the team will start preparing for the auction proper.
- Price, marketing strategies, staging, professional photography, social media promotion – all will be organised for you and your property.
- Your agent qualify leads and organise pre-Auction property viewing for interested parties.
- There is a possibility that you may receive a pre-auction offer which you may decide to accept or choose to wait for the Upcoming Auction.
- Notarial searches will start being processed so that they are preliminarily complete by auction day.
- On auction day you will know whether there were interested bidders who will bid on the property.
- The winning bidder will join you and the notary immediately after the auction to sign the promise of sale.
When Auctioning your home you are rest assured that buyers are prepared to buy, and in fact, come to the Auction prepared with a bank draft of 10% – which is registered immediately at the auction. Whilst the losing bidders of course will receive their bank drafts back, they may also bid – should they choose to – on another property thus increasing your chances for a sale. Selling your home though Auction accelerates the sale, all potential buyers are pre-qualified and your home is exposed through a myriad of marketing avenues, increasing the pool of potential purchasers.
Type of Property Suitable for Auction
All types of properties both residential and commercial real estate are suitable for a Property auction. A decision to place a property auction is mainly based on the motivation of the seller and not the property type.
When should I put my Property on Auction
The reasons why you may consider an auction:
- You have signed a Konvenju and you need to sell your home within a specified time, and the purchase of the new home is dependent on the sale whilst you would like to avoid the costs of a bridge loan.
- You have inherited a property together with siblings. An auction is an ideal scenario considering that you are assured a quick sale at a fair price.
- Property is vacant and the cost to refurbish and turn around into a rental investment is too high or not affordable.
- You are living abroad and you haven’t the support network in Malta to assist in viewings.
- A relationship dispute with a partner and a fair sale of the property is a common objective.
- Moving abroad and would like to plan the sale of the property instead of guesstimating. With an auction the planning of the sale of your home is one of the major benefits.
- Your property has high maintenance costs and you need to sell to be rid of these additional costs.
- You are looking to liquidate your estate of residential and commercial properties.
- Retiring and do not have the time or health to manage the daunting task of coordinating viewings and the negotiating prices and just want to sell.
- There are financial problems and the option to sell fast is a consideration.
- You property is unique and you know that by putting the home on auction may fetch a higher price than selling through a open agency where other agents may use your home as a “fill the gap” kind of home.
- You know that auctioning your home will bring you a fair market price.
In both instances, a property auction is another incredible option to sell you home within a specific time frame and at the best going market price. Our commitment has never been so strong in ensuring RE/MAX customers are provided the market knowledge to make informed decisions. We hope that this article has shed further light on our latest product offering. Should you be interested you may call any of our RE/MAX agents or contact Jeremy Borg Grech, Auctions Manager, for more information on 99524111, send an email to [email protected] or browse our new Auctions Real Estate Malta website
Post by Jeff Buttigieg
Jeff Buttigieg is Co-Founder and COO of RE/MAX Malta and JK Properties Ltd. He overseas the marketing, PR, IT and business development of the company. He has a vast experience in real estate having been an associate and manager himself for several years.