Quote it low, watch it go. Quote it high, watch it die.
Veronica Morgan airs every Wednesday at 10:00 am +10 UTC, LIVE on Facebook, Twitter and YouTube.
What is an auction price guide for?
Pretty much every state or territory in Australia has laws that prevent agents from underquoting to make sure that agents quote prices that are realistic – realistic for the buyer to expect the property to sell for.
The price guide was made to get a reaction from buyers. If they under quote, it will generate a lot of buyer interest in the property, but if they quote it too high, then buyers won’t consider the property to be worth the price.
You might be thinking: why don’t they just underquote all the time?
Aside from possibly being illegal and the fact that agents and sellers will lose out on a lot of money, too many buyers will show up. A lot of buyers will do the work, but only one of them will get to buy the property – which will just cause a lot of disappointment for a lot of people.
So what should you do? How do you make sure you quote or buy property at the right price?
Watch the interview above for Veronica Morgan’s tips.