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August 26, 2020

The Virtual World of Auctions

Topics: Press Release, Auctions, Selling, Harcourts, live auctions 0

With the world changing by the hour, people are reminded more than ever to look after the health and wellbeing of their families as a priority.

Andrew North, Harcourts Cooper & Co calling a virtual auction

Andrew North, Business Owner and Auctioneer from Harcourts Cooper and Co. conducting a virtual auction.

Extending beyond this, we are also encouraged to look at new alternative ways to live our lives, whether it be ‘click and collect’ grocery shopping, grabbing a takeaway coffee or buying a home. We are now enabled with the technology that gives us the power to conduct tasks and activities from behind a screen and keyboard.

No matter what your level of ease in the digital world, there is no denying that if you don’t keep up, you’ll be left behind. At Harcourts, the virtual world is holding the key to success for those wanting to sell up or to buy a home.

We know that auctions get maximum exposure for a property in a short period of time through a structured, intensive marketing campaign, but what happens if the country is in an alert level of lockdown because of a pandemic? Do auctions still work then? According to Harcourts Group Limited, National Auctions Manager Aaron Davis, the answer is “yes”.

As Auckland sat at Covid-19 Alert Level 3 on Thursday 13 August and Friday 14 August, Harcourts businesses from across the region held an astonishing 43 auctions. Six of these had been brought forward from their original date of Saturday 16 August at the request of the vendors, which showed high levels of trust and confidence in the speed and efficiency of the auction process.

Over the two days, 30 of the 43 properties on the market were sold under the hammer, which is a success rate of 69%. What was also significant was that the average number of bidders per auction jumped from 2.2 bidders (the average for 2020 to date) to 3.6 bidders per auction, an increase of 63%.

The case study property over this time was 8 Louvain Avenue, Three Kings which was on the market for $2,050,000. On the evening of its auction there was great interest culminating in the fact that 102 bids later an extra $185,000 was offered by the interested party and the property sold for $2,235,000. Davis said, “it felt like there were fireworks in the room”.

He continued, “People are embracing Covid-19 not as an event, but as the new norm. Most buyers and vendors are showing comfort in and embracing live auctions in a virtual world to secure their dream homes. It has been surprising is how relaxed and easily the bidders have adapted”.

“In the current climate there is no need to wait around to sell your home until Covid-19 has gone away. As we have seen in recent weeks, it can sweep through our community rapidly, so if you have a home to sell, contact your local Harcourts agent and get the ball rolling. With eager buyers ready to go, why wait?”