AUCTION TRICKS  E-mail |

How can they have a conscience?

Just a quick comment on how much we despise Auctions.

We've only been to two auctions for the purpose of seeing how they worked, but that was enough to make us hate the process.

Auction 1. We saw a property we liked at Coomera Waters ( Nth of Gold Coast ). Contacted agent and were told offers around $370,000 would be considered.

The home was beautiful. At the auction there were lots of spectators and lots of agents but very few bids.

The house was passed-in at $540,000 (which we were then told was below the reserve).

Why on earth do agents give the impression it would possibly sell for far less - just to get bodies to the auction?.

Auction 2. To be fair and re-check the auction process, we found another home. This time the LIES were really 'thick'.

This home was very contemporary design, high on a hill with views to distant ocean .

Signs stated, 'Builders Liquidation Sale' - MUST BE SOLD!

We told the agent that we liked the home. We asked about the price. We said we didn't want to spend much over $400,000. The agent suggested an offer of $350,000 as the owner was desperate .

We registered our interest.

At the auction the home was passed-in at $528,000. It is now being advertised for sale for $635,000! This is the home which was supposedly in desperate need of being liquidated.

How on earth can these agents have a conscience? Telling people this was a Liquidation Sale and to make an offer of $350,000 (that was the agent's suggestion, NOT ours).

The info in your book, just two personal experiences plus reading the Home Price Guide weekly e-mail, showing pitiful auction clearance rates - has cured us forever, from either buying or selling at auction.

Who wants to be part of such deceptive practices?

RESPONSE

It's not just the deceit but the sheer foolishness of using auctions to sell real estate.

It is well known in real estate that the majority of homebuyers despise auctions (one survey showed that less than ten per cent of buyers preferred the auction method). So, why do some agents choose a method which buyers detest? Because auctions allow agents to lie and lie and lie and then to blame the market.

What you should do, with such a blatant level of deception as you are experiencing, is report the agents to the Queensland Office of Fair Trading.

The reason so many agents tell so many lies is because they know that most consumers can't be bothered complaining.

The agents know there is almost zero chance of being prosecuted.

For the sake of all buyers and sellers, more complaints should be made about agents who brazenly tell lies.
This article was sourced from the Jenman website in the Question and Answers section
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