Auction, Tender or Negotiation

Choosing how to sell your property is one of the most important strategic decisions you will make. The right method depends on your property, the current market conditions in Blockhouse Bay, and your personal circumstances. As your agent, our role is to provide the insight you need to choose the strategy that will achieve the best possible result for you.

This guide explains the three main ways property is sold in New Zealand, so you can understand the benefits of each.

Sale by auction

An auction is a public sale where the property is sold to the highest bidder, provided the price meets or exceeds the seller’s confidential reserve price. It’s an intense, transparent, and fast-paced process designed to create maximum competition among buyers.

How it works: A short, high-impact marketing campaign is run for 3-4 weeks, leading up to a specific auction day. Buyers bid against each other in an open forum, and when the hammer falls, the property is sold.
Key feature: All bids at an auction are unconditional. This means buyers must have completed all their due diligence—such as securing finance and getting building reports—before auction day. This results in a clean, cash sale with no complicated conditions.
Best for: Creating a competitive environment in a strong market or for properties with high demand. The transparent bidding process can drive the price up, and the fixed sale date provides certainty for the seller.

Sale by tender or deadline sale

A tender or deadline sale is a more formal and private process. All interested buyers are invited to submit their best offer in writing by a specific date and time. Unlike an auction, these offers are confidential.

How it works: The property is marketed for a set period, usually 3-4 weeks, without a listed price. Buyers submit their confidential offers to the agent before the deadline. The seller can then review all offers and choose to accept one, negotiate with a preferred buyer, or reject all offers.
Key feature: This method allows both conditional and unconditional buyers to participate. This can widen the pool of potential buyers, as it gives people time to include conditions such as “subject to finance” or “subject to the sale of another property.”
Best for: Unique or high-value properties where it may be difficult to estimate the price. It is also a good option when privacy is important to the seller, or in a market with a mix of buyer types.

Sale by negotiation (or price by negotiation)

This is the most common and flexible method of selling property in New Zealand. The property is marketed with an asking price, a price range (e.g., “By Negotiation”), or no price at all, and buyers are invited to make offers at any time.

How it works: There is no fixed end date for the sale. When a buyer makes an offer, the agent presents it to the seller. The seller can accept it, reject it, or make a counter-offer. This back-and-forth negotiation continues until an agreement on price and conditions is reached.
Key feature: Its flexibility. There is less time pressure on both buyers and sellers, and it allows for private negotiation on all aspects of the sale, including the price, settlement date, and conditions.
Best for: A wide range of properties in all market conditions. It’s a straightforward process that many buyers are comfortable with, and it gives the seller full control to negotiate with buyers one-on-one.

Which method is right for you?

The best sales strategy depends entirely on your property, your personal goals, and the current state of the Blockhouse Bay market. If you’d like to discuss which approach would create the most value for your home, we’re here to provide clear, honest advice.

Call us today on (09) 626 6119 for a friendly, confidential chat.