Home auctions are becoming an increasingly appealing option for property sellers in Western Australia, despite the state historically lagging behind the rest of the country in this sales method. Currently, only about 2% of properties in Western Australia are sold via auction, compared to significantly higher rates in cities like Adelaide (96 auctions), Sydney (988 auctions), and Melbourne (1,249 auctions) during the week ending October 12, 2025.
With the current Perth property market characterized by fast selling times and limited listings, auctions present numerous advantages for both buyers and sellers. They provide a level of transparency and certainty that can address common concerns among homeowners contemplating a sale. Many sellers face questions about their home’s value, the timing of offers, and potential financing issues with buyers. An auction campaign can alleviate these worries by streamlining the selling process.
In Western Australia, the predominant method for selling a home is through a private treaty. This approach involves advertising a property at an asking price and allowing an agent from the Real Estate Institute of Western Australia (REIWA) to negotiate with interested buyers until a sale is agreed upon. Another common method is the tender process, where offers are invited by a specified date, often referred to as expressions of interest or set date sales. In contrast, the auction method consolidates potential buyers into a single event, enhancing the competitive environment.
The benefits of auctions extend beyond mere numbers. They attract serious buyers who are prepared to make purchases, either with cash or pre-approved financing. This concentration of interested parties allows sellers to gauge the market accurately and can result in a sale that reflects the property’s true value. Buyers who do not succeed in securing the property can take comfort in knowing they have witnessed the competitive dynamics of the bidding process.
One of the most significant advantages of selling at auction is the unconditional nature of the sale. Properties sold under the hammer come with the assurance that buyers cannot withdraw due to financing or other contingencies. This feature offers sellers greater control over the sale process, allowing them to manage the timeline according to their needs. By determining how long the pre-auction marketing period lasts, sellers can strategically plan for their next move in the property market.
For homeowners hesitant to list their properties due to uncertainty, an auction campaign can provide the necessary control and confidence needed to proceed. The expertise of REIWA agents, many of whom are also registered auctioneers, can guide sellers through the auction process, making it a viable option worth considering.
As the Western Australian property market evolves, the potential for auctions to become a more prominent selling method is evident. With their ability to provide transparency, speed, and certainty, auctions could soon reshape the landscape of home sales in the state.
