As auctions become an increasingly prominent method of sale in real estate, it’s more important than ever for sellers and buyers to have a clear understanding of both the auction process and the role an auctioneer plays.
Place’s Chief Auctioneer, Peter Burgin, is an expert in all-things auction related and breaks down for us some of the most common questions he receives.
About Peter Burgin
With a reputation as one of Queensland's most highly skilled auctioneers, and having achieved the coveted REIQ Auctioneer of the Year Award in 2010, Peter Burgin is a certified authority on the subject.
Peter holds the prestigious title of Chief Auctioneer within Place Estate Agents. Although previously acting as both a director of the Ascot Office and Chief Auctioneer, as of 2019 Peter now solely focusses on the growing auction sector. With over 20 years’ experience, Peter has become one of the most respected names in the real estate industry.
1. What’s the role of an auctioneer?
“An auctioneer has two primary roles. The 1st is a public role, which requires them to present the property to the market in the most favourable way possible to try and build atmosphere, evoke emotion and promote bidding. The auctioneer must also master the art of controlling the tempo of the bidding sequence to try and build momentum to favour the end result."
"The 2nd role of an auctioneer is behind the scenes but is equally as important. This is to ensure the seller is prepared for any eventuation that may take place on auction day, and ensuring all parties have a clear view of appropriate strategies based on number of bidders registered.”
2. What are the benefits of selling at auction?
“Auction properties always attract motivated buyers because they respond positively to the seller’s intent to sell. Additionally, buyers do all due diligence before auction day, positioning themselves to bid unconditionally on the day and therefore the seller benefits by knowing the property is sold without condition.”
3. How popular are auctions?
“Auctions are increasing in popularity across Brisbane and becoming the cornerstone of the Brisbane inner-city and fringe inner-city property market. The popularity of auctions will only continue to grow, and I believe that in the next few years we will see close to 50% of properties in prime markets be sold via auction.”
4. What exactly is a reserve?
“The reserve price is a compliance document and it is required by law before the auction commences, otherwise it would be a no-reserve auction which may not be favourable for sellers. We always encourage sellers to set a reserve they’re comfortable with as it can be adjusted on the day if necessary.”
Stay tuned for the second instalment of our interview with Chief Auctioneer Peter Burgin.