What If It Doesn’t Sell at Auction?

Sometimes a home doesn’t sell at auction. This is a crushing blow to the owner, and it can be for you as well as you still have to sell the property and there’s greater urgency now. In this Coaching Tip I will tell you how recover quickly from this setback and move forward to a successful sale.

Before you go to auction or enter the marketplace it’s important to make clear in your listing presentation that the first attempts to sell may not work. Setting realistic expectations for pricing and conversion from the start makes recovery from disappointing results much easier, so set the stage early for all possibilities.

The set to sell meeting is your next critical step in making the vendor aware of current market conditions and setbacks that may occur. Stress the importance of marketing for greater visibility and upsell as much as possible. Schedule regular meetings with owners so everyone stays on track and adaptable.

Call every vendor every day with updates and recommendations, especially if they have lost a buyer to another property that presented a better value for the price. Clients must understand there is competition and they must be responsive to opportunities. Your input is crucial to helping them make their best decisions.

Setting the reserve price for auction may require pricing compromises the vendor doesn’t want to make. Your task is to keep the vendor informed on offers that are being made on their property and pricing in the market for similar listings. Then advise them on how to align their expectations with reality. Bring in a neutral third party if necessary to offer perspective.

When a property fails to sell at auction you have an even greater responsibility to get it sold quickly whilst calming your vendor’s emotional state. Make sure you have a plan and can explain to your client what you will be doing to sell their home. You will have to work even harder to generate buyer interest and qualify those buyers so that when you do get offers you can make sound recommendations.

Failing to sell on auction day does not mean the process has ended in defeat. Keep calm, move forward with your plan and you’ll fulfil your commitment to get the property sold.

I hope you’ve enjoyed today’s Coaching Tip, and I look forward to seeing you here again next week.

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