Observant individuals may have noticed a growing number of “On Auction” signs appearing alongside “For Sale” signs on homes in Johannesburg’s northern suburbs.

According to Denese Zaslansky, CEO of Johannesburg-based Firzt Realty group, which has its own auction division, there’s a clear reason for this trend.

Zaslansky pointed out that there are currently more sellers than buyers in the market. Stubborn inflation and high interest rates are suppressing demand, resulting in slower traditional sales. However, many homeowners are eager to sell quickly and are discovering that auctioning their properties is the most effective way to achieve the swift results they desire, she said.

“As property professionals, we often come across owners who need to sell fast, to meet a deadline on relocating to take up a new job, for example, or because they need to liquidate funds for debt reduction or other investments, or because there has been a sudden change in their family circumstances. Others simply don’t want to deal with lots of viewings by potential buyers. And our advice to such sellers is usually to put their home on auction.” 

 

As a result, real estate auctions are no longer automatically associated with home repossessions or seen as a desperate attempt to finally sell a dilapidated or derelict property that has proved unsaleable by other means and has been on the market far too long.

 

“One of the biggest advantages of sale by auction is that both sellers and buyers get an instant snapshot of the exact value that the market – represented by the bidders at the auction – currently puts on the property.

“However, if you’re a property owner interested in selling on auction, it’s vital to first consult a property professional who can help you to determine if this is the best approach in your specific situation.”

 

Zaslansky said other advantages of selling on auction include:

 

 

 

 

 

 

Meanwhile, for property buyers, she said, the additional advantages of purchasing on auction include:

 

 

 

“Remember, unlike Sheriff’s auctions of repossessed properties, our auction properties are sold with all compliance certificates in place, which adds to buyers’ peace of mind.”