The property industry has been undergoing a significant transformation in recent years, with the rise of PropTech and online auctions playing a significant role in this evolution. Online auctions offer a range of benefits to buyers and sellers and agents, as well as to the industry as a whole. In this article, we will explore the advantages of online auctions and their impact on the PropTech industry.
One of the primary benefits of online auctions is transparency. By allowing buyers to see the bidding process in real-time, online auctions make it easier to monitor the progress of the sale and ensure that the process is fair and transparent. This can lead to more competitive bidding and higher sale prices, as well as increased trust between buyers and sellers.
Online auctions can also be more cost effective than traditional property transactions. With fewer fees associated with online auctions, including agent commissions, appraisals, and inspections, buyers and sellers can save money on the transaction. This can make it easier for buyers to get into the market and help sellers sell their properties more quickly and efficiently.
Online auctions can also streamline the property transaction process, making it faster and more efficient. With online auctions, buyers can submit bids from anywhere worldwide, reducing the need for physical showings and open houses. This can be particularly beneficial for buyers looking to move quickly, such as those relocating for work or those who need to sell their current property before purchasing a new one.
According to recent data from Rightmove, it takes 133 days on average to complete a house move via private treaty. That’s a lot of time and energy spent in limbo, and it’s not just the movers that suffer—it’s also the industry. Working through the agent, buyers and sellers can transact properties faster and with much more certainty. All in all helping to reduce the stress of all parties in the process.
Online auctions can also increase accessibility for buyers and sellers. With online auctions, buyers and sellers from anywhere in the world can participate in the auction process, opening up new markets and opportunities for buyers and sellers. This can help to drive demand for properties and increase competition, ultimately leading to higher sale prices for both vendor and agent. We have agents using Bamboo’s technology who have buyers from over 50 countries accessing their auctions on a regular basis.
Online auctions also offer the opportunity to leverage innovative technology, such as virtual reality and 3D tours, to showcase properties to potential buyers. These technologies can create a more immersive and engaging experience for buyers, allowing them to see the property from different angles and get a better sense of the space. This can be particularly beneficial for buyers who cannot attend in-person showings. By combining the best technology with the best customer service, agents can create distinct competitive advantages in their local markets.
The impact on the PropTech industry
Online auctions are a vital component of the PropTech industry, which is rapidly transforming the way we buy and sell properties. PropTech companies are leveraging innovative technology, such as artificial intelligence and machine learning, to create new tools and platforms that make the property transaction process faster, more efficient, and more transparent.
The growth of online auctions is a testament to the power of PropTech and the potential for technology to revolutionise the property industry. As more buyers and sellers turn to online auctions to buy and sell properties, we can expect to see continued innovation in this space, with new technologies and tools being developed to streamline the transaction process further and drive demand for properties.
Expect more innovation in the online auction space
Online auctions offer a range of benefits for the property industry and the PropTech industry as a whole. From increased transparency and cost-effectiveness to a more streamlined process and increased accessibility, online auctions are changing how we buy and sell properties. As the industry continues to evolve and adapt to new technologies, we can expect to see continued growth and innovation in the online auction space, driving demand for properties and creating new opportunities for buyers and sellers alike.