Online sales are still a relatively new concept for buyers in Victoria’s Ocean Grove market, but a recent auction went $123,000 above reserve after listing through Openn Negotiation.
Pavilion Property agent Jack Cassin said he was stunned when 16 Stringybark Place achieved the price, with the coastal home attracting fierce competition from 10 prospective buyers – and 114 bids – on the Openn Negotiation platform.
“We were watching it just trying to figure out when they were going to stop bidding,” Mr Cassin said.
“Once it reached $767,000 it came down to two buyers, who battled it out all the way to $838,000.”
Mr Cassin said he had been looking for an opportunity to trial Openn Negotiation, following a frustrating experience with a private negotiation sale.
“I sold a house around the corner a month ago, at a similar price point and I had five offers within the first week.
“I told the buyers there was interest above the price guide, but it was that typical thing where they think you’re having them on.
“When that happens, a lot of buyers just put it in the too hard basket and move on to another property.”
Mr Cassin said his Ocean Grove sellers were open to the idea of a transparent online sale, once he explained the benefits of Openn Negotiation.
“Buyers need an environment where they can compete openly and get the social proof there’s someone out there that they are bidding against. It’s really just a no-brainer in this market,” he said.
Prior to launching the property to Openn Negotiation, Mr Cassin said the sellers would have been happy to sell for $680,000.
“The house was a very tired, 40-year-old property and the land value is about $1000 per square metre. Based on the 632sq m block, we priced it from $650,000 to $695,000,” he said.
Mr Cassin said the property attracted interest from a wide demographic of potential buyers and within a day, the bidding had climbed rapidly, and reached more than $700,000 two weeks out from the final bidding stage.
“During the final bidding stage, I wasn’t with the vendor as they didn’t live locally, but I was on the phone to her the whole time,” he said.
“She had a bottle of wine open and couldn’t have been more excited.
“It’s great because the sellers could see we haven’t left any money on the table. You know it was down to the very last $1000 bid in this case, it was the absolute best price that the market was willing to pay on the day.”
