Auction Types

Modern Method of Auction MMoA

The Modern Method of Auction (MMoA) is an innovative approach to selling properties that combines elements of traditional auctions and private treaty sales. Key features and aspects of the MMoA include:

Conditional Sales:

The MMoA allows for conditional sales, meaning buyers can place offers with conditions such as arranging finance, surveys, or other requirements. The highest conditional bid can be accepted, and the buyer then has a specific timeframe (usually 28 or 56 days) to complete the purchase.

Fixed Timeframe:

Properties are listed online for a set period, typically between 30 and 45 days, during which interested buyers can bid. This encourages competition and provides a sense of urgency among buyers.

Non-Refundable Reservation Fee:

Upon acceptance of a winning bid, the buyer must pay a non-refundable reservation fee, which forms part of the final purchase price. This ensures commitment from the buyer and reduces the risk of fall-throughs.

Transparency:

Property information and bidding details are publicly available, enabling buyers to make informed decisions. Bidders can monitor competing offers and adjust their bids accordingly.

Speed:

MMoA offers a faster sales process than traditional estate agency methods, providing sellers with a more efficient way to sell their properties.

Potential for Lower Selling Prices:

While MMoA can provide quick sales, properties sold through this method may achieve lower prices compared to private treaty sales due to the conditional nature and urgency involved in the process.

The Modern Method of Auction aims to provide a more flexible, transparent, and efficient property selling process for both buyers and sellers while offering the convenience of an online platform.