Real estate agency sees the future – and it’s online auctions

Real estate agency sees the future – and it’s online auctions

by 0 comments

One office is so convinced that online auctions will change the face of real estate that it’s now using the method to differentiate itself from rivals.

Ray White Bella Vista in Sydney held an event on Thursday night to promote the sale method, as well as online platform Exchangehouse to consumers.

Owner Peter Upton told the audience that consumers and agents needed to accept that online auctions would seriously disrupt the real estate industry.

“Technology has got to the point where this is as inevitable as night following day – but it won’t happen in five minutes,” he said.

Mr Upton emphasised during the presentation that he held the exclusive local rights to use Exchangehouse, so vendors would have to employ his office if they wanted to sell their home on the platform.

Ray White Bella Vista has so far sold four properties on Exchangehouse and has three more scheduled for later this month.

“Initially we wanted to test the platform in a real-life situation to be confident it was seamless,” Mr Upton told REB.

“I had decided that online sales were due to burst onto the real estate scene, and if this was true, I wanted to ensure that we were amongst the first to offer it.”

Mr Upton said there is nothing wrong with regular auctions but that online selling removes the extreme pressure that buyers and sellers can feel when using the traditional method.

“I also felt that having more time to negotiate was advantageous to the seller,” he added.

Exchangehouse auctions run for an average of two days – they conclude when a bid has gone unchallenged for 24 hours, giving agents extra time to communicate with buyers.

Exchangehouse claims to have handled $15 million of property since the platform launched in late 2014.

Buyers must provide 100 points of identification to register for auctions. All bids are binding, and deposits must be paid within 48 hours.

[Related: Online auctions have arrived – but not everyone’s sold]

promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2017

With a combined sales volume of over $14 billion in 2017, the Top 100 Agents ranking represents the very best sales agents in Australia. Find out what sets them apart and learn their secrets to success.

featured podcast

featured podcast
How this agent grew his database by 50% in five years

In this episode of Secrets of the Top 100 Agents, Robert Pignataro joins host Tim Neary to explain how he increased his personal database by...

View all podcasts

Does the benefit of being part of a branded group outweigh the cost?

Depends on the group
Do you have an industry update?