Hammer time: ‘No better time to sell by auction’ with homes set to fetch at least $200k more
THERE has never been a better time to sell at auction, with new data showing homes sold under the hammer in Brisbane can fetch at least $200,000 more than those sold privately.
The data from realestate.com.au reveals properties sold at auction deliver higher prices and spend less time on market than those sold via private sale.
It comes as agents say Brisbane homeowners thinking of selling should do so now, with low stock levels pushing sale prices up.
With spring selling season just around the corner, agents are crying out for more property listings to meet buyer demand, with the latest figures from SQM Research showing new listings in Brisbane were down 1.9 per cent in July.
The realestate.com.au research shows properties taken to auction in metropolitan Brisbane sell for $54,800 above the asking price, on average, compared to only $12,800 more through private sale.
The data also reveals properties that go to auction in Brisbane sell in less than half the time (33 days) of properties that are put on the market for private sale (83 days).
And the average sale price of a home sold at auction in metropolitan Brisbane is $229,000 more than one sold privately, with an auction sale of a house or townhouse fetching $832,038 on average compared to $602,778 achieved through a private sale.
Realestate.com.au chief economist Nerida Conisbee said that in recent weeks, clearance rates had increased, interest rates had dropped, and buyers were back, signalling increased confidence in the auction market.
“There’s no better time to sell by auction,” Ms Conisbee said.
“We’re in really unique conditions where listings are so far down that sellers would have the market to themselves.
“Buyers are back in a big way, creating increased competition, and we know that properties that go to auction return better results for sellers, and on average are sold in half the time of those listed for private sale.”
Ms Conisbee said that the data showed that sellers who took their homes to auction consistently achieved higher sale prices than those who listed by private sale.
“We know the buyers are back and the market is changing rapidly, so sellers should get in now to name their price while stock levels remain low,” she said.
Brisbane couple Hannah and Anthony Perry are taking their renovated, two-bedroom cottage in Red Hill to auction at 10am today.
Mrs Perry said they decided to sell the property at 17 Ella Street via auction on advice from their real estate agent.
“Because of the location, they figured there would be quite a bit of interest and it was the cleanest way to get a good result,” Mrs Perry said.
“From what we’ve been told, it seems to be a good time for auctioning.
“And having seen the amount of interest in the property, the pure logistics of trying to negotiate out of auction with that many interested parties would be pretty much impossible.”
Judi O’Dea of Ray White Paddington, who is marketing the property at 17 Ella Street, sold a similar house in the same suburb last weekend for $864,000 under the hammer.
The auction of the cute, three-bedroom cottage at 18 Woolcock Street attracted 12 registered bidders.
Ms O’Dea said there were at least 80 people in the living room on the day, and the winning buyers would move from nearby Petrie Terrace.
“They are over the moon with their new home. The seller has done an incredible renovation,” Ms O’Dea said.
“Confidence is heating up.”
Data from SQM Research reveals property listings in the Brisbane suburbs of Heathwood, Albany Creek and Rochedale have tightened significantly over the past month, meaning increased competition for stock in these areas and good opportunities for sellers to achieve higher sale prices.
TOP FIVE BRISBANE SUBURBS WITH BIGGEST DROP IN NEW LISTINGS
4035 Albany Creek
(Source: SQM Research, based on the past 30 days)