Making property auctions more accessible to home buyers
If lockdowns have taught us anything, it is that technological and digital innovations have proven invaluable in ensuring continued efficiency of business, including meeting increasing customer demand for mobility, ease, convenience and speed that we’d never previously have dreamed possible,” says Pam Golding Property group chief executive, Dr Andrew Golding.
“With true SA resilience and determination, we saw a change in mindset as people around the country resolved to get on with their lives – and business – accepting and utilising technology to its fullest, to the extent that this has now become more a standard expectation than not.” Golding says this adoption of technology was particularly pronounced as far as the buying and selling of property is concerned. “Companies which leveraged the latest technology while maintaining client relationships and personal service were able to transact while expanding their reach amid extremely difficult times,” he says.
In retrospect, this has now catalysed the local real estate market to significantly evolve as far as ease and convenience is concerned, these aspects of service being central to customer needs in the modern world. “While in no way detracting from preferred and still primary selling methodology, namely the more traditional ‘private treaty’ and, with it, the importance of personalised, professional service, this new world has given rise to a continually emerging worldwide trend towards online property auctions in instances where an urgent sale is required,” says Golding
“Notably, during the past two years it’s become evident to us that there is a certain category of sellers who require a different approach to the marketing and sale of their properties, whereby urgency and a degree of certainty – in terms of timing and the non-suspensive nature of the offer – are prerequisites. This is the sweet spot for the auction strategy, with the pricing of these properties aimed at enticing buyers,” he adds.
PEOPLE POWER TECHNOLOGY
“To cater for this need, our specialist auction division, Pam Golding Auctions, has now evolved to redefine the online property auction arena, with what we refer to as ‘people-powered technology’, by offering buyers access to a portfolio of select properties at significantly reduced prices, along with the ease of being able to make online offers – prior to or on the auction itself – but with the assurance of a personalised and dedicated buying service offered by our auction team.”
Head of new business development for Pam Golding Properties, Anthony Stroebel, says: “Drawing on our network, backed by the latest real-time property technology, our next-generation online property trading platform now provides our primary home buyers, as well as property investors, with an additional opportunity to access properties specifically mandated by our sellers to secure an urgent sale and therefore priced accordingly.
“Traditionally, properties on auction have been perceived to be in a state of ‘distress’ and not ideally suited to the joys of house-hunting for your dream home. These auction events are also often considered to be highly pressured and somewhat mysterious, serving the needs of bargain hunters and investment opportunists.
“We’ve realised the need to demystify property auctions and to make them easier and more accessible to home buyers across the board, with the added benefit of more than just competitive pricing, with specialist agents on hand to assist 24/7,” says Stroebel. “And why shouldn’t buyers enjoy the best of both worlds? While the properties on auction are ‘on sale’ for a limited window of time, you still have the time you need to ensure you’re making the right decision.”
Tania Smit, who heads up Pam Golding Auctions, says: “Every property is listed for four weeks prior to the auction, during which time you can make a pre-auction offer if you wish. Prices will typically be up to 15%-20% below what the property was previously listed on the market for.” Adds Stroebel: “This innovative sales platform is enabled by Offr, an offer processing engine, allowing us to provide our buyers with a fully-mobile, smooth, hassle-free, end-to-end online property transaction, including both pre-auction offers and auction bidding. “Our sellers are open to considering all pre-auction offers which can be made right there on the online platform and are transparently shown live. These will then be presented to the seller for consideration. During this time, you will automatically be advised should a new offer come in subsequent to yours, in which case you can increase your original offer. You can also sign up to be alerted when new properties are added to our portfolio.” Smit says that after the four-week period, the auction will commence for a period of six days.
NO BUYER’S FEE PAYABLE
“Buying through our auction is a straightforward process – simply register on our platform, which pops up on the property page and follow the easy steps, and includes direct contact with our auctions team in order to ensure immediate personal service. You can even book your ideal viewing time on the platform, as well as apply for pre-approved mortgage finance,” says Smit. “Unlike traditional property auctions, there is no buyer’s fee payable.”
“Online pre-auction offers and live auction bids are made anonymously, securely and transparently with ease, convenience and peace of mind, from any device from anywhere in the world. The buyer’s dashboard also provides a real-time view of your offer or bid status plus that of other interested buyers.” Smit says, “It is important to note is that an auction sale is legally binding, so if you are a successful buyer, you will be required to sign a binding contract, pay a non-refundable deposit within 24 hours and the balance on the closing date as set out in the contract. However, any pre-auction offers are treated just as they would be in the traditional sense, regarding contracts and timing.
“Set a price limit to suit your budget and stick to it. You can even set an automated maximum bid on the bidding platform which will then automatically bid on your behalf up to this amount. In order to carry out due diligence on the property in good time prior to bidding, all the legal documents relating to the property are also available for immediate download.” “In a nutshell, this strategy is designed to provide our buyers with a completely unique and innovative opportunity to buy a home through us with increased convenience and at an exceptional price. All the advantages of an auction but without any of the hurdles,” said Stroebel.
For further information visit
The next Pam Golding Auction goes live on the new website (auctions.pamgolding.co.za) in late May 2022.
For further information contact Tania Smit, head of Pam Golding Auctions via firstname.lastname@example.org .