Many agents say, “No!” but then again, they’re trained to say that.
There can be no doubt that auctions often get a high price, but can they guarantee to get the highest price?
Buyers Agents represent purchasers, and not home sellers. A Buyers Agent assists purchasers to buy cheaply. This is what one Buyers Agent (Patrick Bright – Buyers Agent and Author of “The Insider’s Guide to Saving Thousands at Auction) had to say about auctions:
“I attend many auctions and bid for properties on behalf of my clients. At the majority of the auctions where we were not successful, we had “money left on the table” – that is, we spent less than our authorised limits.”
No negotiation expert favours allowing competing parties in a negotiation to hear what another party has offered, yet this is what auction does.
A better alternative to auction is to negotiate privately using the Buyers’ Price Declaration.
Based upon an idea developed by economist the late William Vickery – one of several ideas that earned him the Noble Prize for Economics – this negotiation tool is demonstrably better than auction for sellers, buyers, and agents.
With the Buyers’ Price Declaration, no competing party is privy to another party’s offer.. This means that each buyer must offer his or her highest price without being influenced by what somebody else may have offered.
Ask your agent about negotiation with a Buyers’ Price Declaration.
If he or she still insists on auction, insists upon a price guarantee.