Selling - Open market or modern method of auction(MMoA)

Worried_of_wakefield

Have researched on the internet so I understand the mechanics, but would like to hear from people who have experienced the MMoA.

Inherited property, detached bungalow, circa £300K aged mother in-laws house so quite 'tired' needing work at some stage.

My worry is the estate agents are pushing hard on MMoA, which they would as thier rewards are greater

user1977

Worried_of_wakefield said:

My worry is the estate agents are pushing hard on MMoA, which they would as thier rewards are greater

It's to nobody else's advantage, and many potential buyers would run a mile. We've had a recent thread by a buyer looking at a MMOA property which has had several offers fall through - presumably the EA is pocketing a fee from each mug who turns up...

I would just sell conventionally, assuming it's mortgageable.

Lespaul1960

The only person to benefit from MMOA is the agent.  The losers are both seller and buyer.  If I see a property advertised this way, I immediately disregard it. I also know for a fact that many other people feel the same.

FreeBear

Worried_of_wakefield said: Inherited property, detached bungalow, circa £300K aged mother in-laws house so quite 'tired' needing work at some stage.

Priced appropriately to reflect the condition, it will sell just fine using the traditional methods. If you want a quick sale, then go for a conventional auction.

diystarter7

Hi
Main reason IMO EA is "pushing hard" is they are guaranteed a much quicker completion and yes, you have guessed it, their fee.

Are there any costs if it does not meet your realistic reserve?

Thanks

youth_leader

A neighbour has just told me her daughter, who has been with a local EA  on the open market for three weeks, has just been phoned to try to persuade her to go to traditional  auction with them.  I have noticed their signs changing to auction on properties here very quickly.   

I sold at auction and found that each viewing was like an open day, with many viewers.  I wasn't happy as my personal possessions were still there.

mi-key

MMoA is a complete scam. When I  have been looking at properties recently I immediately ignore any that are adverstised that way.

There are absolutely no benefits for the buyer over a normal sale or even standard auction, and lots of downsides.

For sellers they are also no more secure or guaranteed than selling from a normal listing

p00hsticks

diystarter7 said:

Hi
Main reason IMO EA is "pushing hard" is they are guaranteed a much quicker completion and yes, you have guessed it, their fee.

Are there any costs if it does not meet your realistic reserve?

Thanks

Op is talking about the 'Modern Method of Auction', not a traditional auction. So your comments about a much quicker completion and a reserve don't apply here as they would for the latter method.

youth_leader

I did sell at traditional auction but the day after the actual auction - and my buyer asked for eight weeks, which I agreed to.  Unfortunately I was nervous because the auction had to go on line in March 2020 as lockdown had just started, and I wasn't sure when or if viewings would be allowed if I'd refused to sell there and then.  More fool me allowing eight weeks - I had another month of bills as well as having to order more oil, and then the buyer refused to pay for it.  

gld73

I've moved around the country a fair bit and am now on to my 7th purchased house. I've never viewed a house that's been advertised as being sold via MMOA, it's something that always put me off if I saw it mentioned in the listing. Knowing that I would never buy a house by way of MMOA, I assumed many other people would be the same, so never sold my houses that way either!

SusieT

If I saw MMOA I would not bother looking at that property. What will normally happen is the estate agent will get their fee which is often higher than an open market fee, the buyer will lose that amount if the sale does not go through, and the seller will get less because the buyer will deduct the amount from their offer as it will reduce their deposit, and therefore the mortgage available. The only winner is the agent