Methods of Sale

There are several methods of selling real estate in New Zealand, namely with a set price, by negotiations, through auction, tender or a deadline sale.

Selling at an advertised price or by negotiations (called private treaty) means that a buyer can make an offer on a property at any time.

For auction, tender or a deadline sale a property is marketed for a set period of time with an advertised end date.

An auction is an transparent process where buyers bid against other buyers to purchase a property at a day of the auction.

When a property is being sold by tender or deadline sale, prospective buyers make confidential written offers to the salesperson before a deadline.

Private Treaty

The benefits of sale by this process are:

An asking price is placed on the property
Purchasers can make conditional offers on the property at any time during the marketing campaign
Encourages both conditional and unconditional offers
Benefit to purchasers as they are aware of the vendors expectations
No time pressure on vendors or purchasers

Auction

The benefits of sale by this process are:

The best possible price can be obtained through open buyer competition
The time frame and sense of urgency gives the buyer a focus and an incentive to perform
Price will not be an objection and therefore we can establish a buyer’s need to own your property

MORE ABOUT AUCTIONS

Tender or Deadline Treaty

The benefits of sale by this process are:

A Tender allows the vendor to deal with the preferred party
It sets a specific timeframe (usually over a 4-5 week period) which allows purchasers time to carry out their due diligence and then make a formal offer
It provides the flexibility for the vendor to countersign the preferred offer
It also encourages tenderers to complete due diligence and have finance in place, reducing the time delay between acceptance and settlement
The tender process requires purchasers to submit on the vendor’s pre-determined terms and conditions

MORE ABOUT TENDERS

Expression of Interest

The benefits of sale by this process are:

This method of sale requires parties to register their interest in the property within a certain period of time
There is no price set so price is not an objection
Vendor may choose who they negotiate with
Invites conditional and unconditional offers
Most commonly used where there are multiple possibilities for the sale or lease of the property

What’s right for you?

The answer will depend on your property and your circumstances. Let me help you to work out what method of sale is going to work best for you.

This is the private website for Beata Pociecha at Bayleys Queenstown, a part of Queenstown and Southern NZ Realty Ltd licensed under the REAA act 2008.

The contents of this website do not form part of any contract. It has been compiled using information provided by third parties, and Bayleys accepts no responsibility for its accuracy or completeness. In all cases, interested parties should conduct their own verification of the information in this website, as well as their own investigation and analysis of the property described in it. All parties are urged to take legal advice before entering into any contract or agreement regarding the property described herein. Queenstown and Southern NZ Realty Ltd, Licensed under the REA Act 2008.