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Terms and Definitions

Some commonly used real estate terms to help get you started

Auction

Offering property for sale by public auction requires the vendor to stipulate terms and conditions under which offers to purchase (bids) will be considered either prior to or at auction. This method sets the timing of the sale and therefore urgency for prospective buyers to act. The auction method is most suitable where it is known that there will be several prospective buyers interested in the property and/or the property is unique and the price is difficult to set.

Private Sale

The offering of real estate by private treaty usually necessitates the vendor to nominate the sale price and the basis of acceptable terms and conditions. An agreement is reached by private negotiations between the agent acting on behalf of the vendor and prospective purchasers.

Tender

As the name suggests with a public tender the whole of the buying public is made aware that the property is available to be purchased and tenders are sought from purchasers at large.
Expressions of Interest

This method of sale can offer flexibility for purchasers when a purchaser needs to carry out an in-depth analysis or research on the property to ascertain the suitability of that property for its intended use.

Clearing Sales

Clearing Sales are often completed on rural properties or predetermined venue with the function of selling off all plant and equipment contained on a rural property. This is often completed after a property sale.