As we covered in Standing by your call, knowing your rights and responsibilities as an auctioneer is paramount to achieving the best sale price for your client and maintaining a successful career.
But as we transitioned to a buyers’ market, more and more media coverage, guides, booklets, websites and checklists emerged providing tips, tactics and insights into the auction process.
It is – without a doubt – better for the industry to have an informed buyer base. In saying that, agents must then ensure they know their stuff.
We chatted with Briannan Davis, Auctioneer at Cooley Auctions, to find out how and why buyer knowledge is increasing and how auctioneers must respond.
Savvy buyers
“Buyers are becoming more savvy at auctions,” says Davis. “Especially in areas that I auction in, primarily being Sydney and the Eastern Suburbs.
“I think there are a lot of buyers out there at the moment who have been watching the market for quite some time. They have probably been to multiple auctions whether to bid or just to see what happens. Over time, they have seen multiple and varied situations play out at these auctions and have seen agents and auctioneers handle them in myriad ways.”
Sticky traps
Davis says it is important for auctioneers to be across the terms and conditions governing an auction.
And while this sounds obvious, there is no shortage of industry urban legends describing the untimely demise of an auction at the hands of an educated bidder.
So what do auctioneers need to be aware of?
“As auctioneers and agents, it is very important to know the prescribed conditions of sale by auction and the laws surrounding it,” says Davis. “You don't want to be caught out by clued-up buyers!
“Understanding all aspects of property legislation is important because, now more than ever, buyers are using the legislation in play.”
Davis says auctioneers and agents are entrusted with their clients’ biggest assets – and their actions should reflect the enormity of this trust.
“If we do or say something that is incorrect as an auctioneer, and it has a negative impact on the sale, we are in a position where we could potentially be sued,” she says. “It will also impact the sale for the vendor.
“It is our job to know the auction conditions and the laws surrounding it. If we don’t, can we really say we are the best person to sell someone’s biggest asset?”
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