As we head toward the festive season, time is running out for those considering selling their homes this year. For sellers looking to complete the process before Christmas, a four-week auction campaign is an ideal way to ensure their property has maximum exposure and competitive energy at a time when market activity is on the rise. With interest rates easing and increased buyer engagement, now is the time to list if you want to sell before Christmas.
“Auctions offer sellers the chance to capitalise on the current market climate, which is trending positively as we see more people active in the market,” LJ Hooker Group Head of Network NZ Campbell Dunoon said.
“As interest rates continue to come down, buyers have renewed confidence in their purchasing power, and auctions are proving to be a successful way to harness that.”
The auction advantage
With the holiday season quickly approaching, the window of opportunity is narrowing. To ensure a sale before Christmas, sellers should launch an auction campaign as soon as possible. Ideally, campaigns should begin by mid-November at the latest, allowing enough time to attract bidders and complete the necessary pre-auction activities.
“The beauty of the four-week auction campaign is that it provides ample time to build momentum and attract competitive bids while creating a sense of urgency for buyers,” Dunoon said.
“Depending on the level of interest and specific circumstances, campaigns can sometimes be streamlined, with the auction held mid-week after three weeks of open homes and inspections.
“In today’s market, buyers are less inclined to wait, particularly with the holidays just around the corner.”
A structured auction campaign includes several stages:
- Pre-market preparation: Staging, professional photography, and preparing marketing materials.
- Buyer engagement: Advertising across online property websites, social media, and open homes to maximise interest.
- Intensified interest: As the campaign progresses, potential buyers are more likely to show genuine interest and seek to position themselves as serious contenders.
- Auction Day: A result of the campaign’s efforts, bringing bidders together for a competitive process where final offers are often higher than expected.
The competitive edge of auction sales
As our property market adjusts to the current economic landscape, more buyers are entering the scene with restored purchasing confidence, particularly due to recent interest rate cuts. Auctions allow sellers to take advantage of this momentum by fostering a sense of competition among buyers.
“Auctions create a heightened sense of excitement and competition, which can often drive the final sale price above initial expectations. In the past few months, we’ve seen growing clearance rates at auctions, with more people showing up to take part in auctions, which speaks to their effectiveness in today’s climate,” Dunoon said.
Activity boosted by rate cuts
The recent cuts in the official cash rate (OCR) have provided a welcome boost to the property market, encouraging more buyers to step forward and bid.
“The impact of lower interest rates on market activity is clear. For sellers, this means a growing pool of buyers who are motivated and able to compete. Auction is the perfect avenue for sellers to leverage this renewed confidence,” Dunoon said.
This year, as the OCR decreased, the flow-on effects for the property market led to increased buyer turnout at auctions and higher clearance rates. Many buyers see auctions as an opportunity to secure a property without protracted negotiations, which is particularly appealing for those looking to make a move before the new year.
Selling at auction also offers sellers the advantage of certainty, as auction sales are unconditional. Once the hammer falls, the sale is final, allowing sellers to move forward with confidence and make plans for the holiday season knowing their property transaction is complete.
Key dates and considerations for sellers
For those planning an auction campaign, there are several critical dates to keep in mind. Launching the campaign mid-November will provide enough time for marketing, open homes, and other pre-auction preparations. Dunoon advises sellers to consider the typical slowdown in the week leading up to Christmas.
“The final weeks of the year are always busy for property transactions. Sellers should aim to complete their campaign by early December to allow for settlement, ideally before everyone shifts their focus to the holidays.”
In addition to timing, sellers should work closely with their agents to develop a campaign that maximises their property’s exposure. LJ Hooker’s agents provide tailored auction strategies, including targeted digital advertising and local market outreach, ensuring that properties are showcased effectively to attract serious buyers.
Tips for a successful auction campaign
To make the most of a pre-Christmas auction campaign, consider the following strategies:
- Enhance property presentation: First impressions are crucial. Invest in professional staging and photography to highlight your property’s features.
- Targeted marketing: Use a combination of digital and traditional channels to reach a broad audience.
- Transparent communication: Keep potential buyers informed with regular updates and provide information on the property and auction process.
- Flexible open homes: Scheduling open homes that accommodate potential buyers’ busy end-of-year schedules can help increase attendance.
“Selling via auction before Christmas is not just about achieving a quick sale; it’s about creating a competitive environment where buyers feel a sense of urgency,” Dunoon said.
“When the right strategies are applied, sellers can achieve excellent results in the current market, ensuring their property stands out as a desirable option.”
Looking ahead to the New Year
For those who miss the pre-Christmas deadline, the New Year offers another prime opportunity. Dunoon points out that while there’s typically a lull in late December, the market starts to come back in mid-January, with buyers eager to act on their property goals for the year.
“In many cases, auctions held in late January are met with a wave of fresh buyers,” Dunoon said.
“However, for those looking to settle and complete their transaction in 2024, acting now is the best course of action.
“The deadline for a pre-Christmas sale is tight, but with an experienced agent and a focused auction campaign, sellers can achieve exceptional results and start the New Year with peace of mind.”
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