Auctions generating ‘renewed interest’ from vendors

Homes in one state are taking 78 per cent longer to sell by private treaty than by auction.

Western Australia’s average days on market for private sales has reached a three-year high of 71 days, according to the Real Estate Institute of Western Australia.

That compares to an average of 40 days for auction sales, REIWA said.

During the past three years the average days on market has been 37 days for auction sales and 64 days for private treaty sales.

The best result either method has achieved in the past five years has been 33 days for auction and 50 days for private treaty.

REIWA Auction Agents Network chairman David Lynch said auction deadlines can help agents flush out more serious buyers.

“As the property market slows and the number of listings rise, auctions can be a great way for sellers to stand out from the crowd and achieve shorter selling time,” he said.

Perth’s median house price grew 0.1 per cent over the year to July, while the median unit price fell 5.7 per cent, according to CoreLogic RP Data.

Mr Lynch said that while auctions may not be as popular in Western Australia as other parts of the country, attitudes are changing.

“There is renewed interest in the auction method as people are learning about its advantages and discover how popular it is in Melbourne, Sydney and Brisbane,” he said.

[Related: WA names its top auctioneers]

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