Yes, you are required to take the highest bid no matter if it is finance or a cash offer. You cannot pick and choose as the Terms and Conditions of sale were set and agreed to with your agent prior to the Openn Negotiation process commencing.
As stated under the contract conditions, if the Auctioneer reasonably determines that a technical problem has occurred or one or more of the Qualified Bidders is experiencing difficulty with the App, the Auctioneer can cancel and then restart the Negotiation.
In this circumstance, the Qualified Bidder shall be bound by any prior bid and shall be free to recommence bidding at any amount the Qualified Bidder wishes.
If the property doesn’t reach the reserve price, the agent can negotiate with any interested Party.
The reserve price can be changed upward or downward during the Campaign Bidding Stage.
During the Final Bidding Stage, it can only be amended downward to ensure the legitimacy of the process is not compromised.
Once the reserve has been met, it cannot be changed.
No. Under the terms and conditions of an Openn Negotiation , the seller is not allowed to undertake a vendors bid, or cause a bid to be made on their behalf.
Each Qualified Bidder is full pre-contracted prior to joining the Openn Negotiation and are contracted to purchase the property should they be the highest bidder once the reserve price has been met.
Should a buyer wish to bring forward the Openn Negotiation, there are two strategies. Firstly, by clicking the Buy it Now button and the property can be purchased at that price. Alternatively, to reduce the competition from more bidders registering, the best strategy is to put forward a bid that will reach the sellers reserve price which will likely result in the seller bringing the negotiation forward with the existing registered bidders.
You will generally be sitting with the Agent throughout the Final Bidding Stage. This allows direct discussion regarding any change in reserve price and bidding increments and to sign off on the final purchase price that is determined by the bidding on the Openn App.
No, the whole premise of having buyers Terms Accepted is that it allows the maximum possible number of buyers by creating a level playing field. The cash buyer is generally seeking to get a “discount” for being cash, but if the seller is happy with the terms of the other bidders, then all bidders are considered “ equal ”. It’s important when setting the terms and conditions of sale with your agent you are clear as to what you will and won’t accept ie . length of settlement, offers subject to finance, deposit amount or any other item you consider important. It is vital that you work closely with you agent to set these terms or ask for their advice as to what is fair and equitable.
At the outset, interested buyers make formal registration with the Real Estate Agent, clearly stating their proposed sale conditions such as finance clauses, deposit amount, settlement period and any other conditions they wish to include as part of the sale. The buyer’s registration is complete once the seller agrees to all their terms and conditions and only buyers who have completed this stage are allowed to engage in the Openn Negotiation process. At this point, the interested buyer will be requested to submit their starting price for the property on the Openn app – this does not have to be their highest price however it commences the bidding process. As the number of registered buyers is accessible to all parties, this creates confidence about the level of market interest in the property. The Openn app and agent informs all buyers of each new price that is submitted which gives everyone the chance to increase their offer if they wish to. Buyers may stop bidding and withdraw at any time.
Openn Negotiation is a method of sale which takes the best parts of auction, private sale and closing date sale and blends them into one, streamlined process. This process creates a competitive environment and allows complete transparency for all qualified buyer’s ensuring they do not miss out on a property because they didn't know what price they had to beat.
To take part in the Openn Negotiation process a Bidder is required to submit a Pending Price at www.openn.com.au or via the App and complete the documentation. Once the Seller agrees to those terms, that pending price becomes a live bid and the bidder is qualified. The bidder is able to improve their bid at any time until the completion of the process. Once they have made their pending bid, they are under no obligation to bid again
As with any sales process, if the buyer does not wish to participate, they can pull out at any time prior to having their offer accepted by the seller.
The $400 fee for conducting an Openn Negotiation through the Open App is paid by the Vendor under Vendor Paid Advertising. This covers the cost of downloading the property onto the Openn Negotiation web portal, advertising the property on the Openn Negotiation web portal, and managing the sale through the Openn App. As the listing Agent you receive 400 complimentary Observer tokens, valued at $800. These can be sent to your database, particularly those who may be interested in buying the property, or those who have a similar property and might be considering selling.
Observers are individuals who are interested in downloading the Openn App and watching the Openn Negotiation process you are conducting. Observers is an excellent marketing tool for you to generate interest in the property, and attract both potential buyers and potential sellers. When uploading a property to the Openn Negotiation platform, the Agent can choose whether they want Observers to provide their details or can remain anonymous.
Qualified Bidders will receive an email as well as a push notification from the Openn App with relation to key events that occur during the Openn Negotiation process. To ensure bidders receive all communications it is important they turn ‘on’ push notifications and verify their email address within the app.
It is advisable that the Agent maintains consistent communication with Bidders and the Vendor(s) throughout the process.
If the seller decides to bring forward the Openn Negotiation Final Bidding Stage, all Qualified Bidders will receive a minimum 12 hours-notice of the new date and time on the assumption they have a verified email address.
The amount and timing of deposit payments will be addressed in the Terms and Conditions of the Contract of Sale that are submitted to the seller for acceptance.
The Agent should provide guidance as to what would be acceptable to the owner and ensure they are meeting the appropriate legislation requirements to execute the contract.
Terms Accepted bidders sign a full legal contract to purchase the property. The conditions acknowledge that should a bidder place the highest bid above the reserve price, will have purchased the property at that price. The Auctioneer will then sign off on their behalf to complete the contract.
Like any other form of sales process, the onus is on the prospective purchasers to make themselves avaialble at the time the sales process is undertaken.
The Final Bidding Stage of the Openn Negotiation will always occur between the hours of 8:00am and 9:00pm in the timezone of where the property is located.
Bidders can be located wherever they wish to be so as long as they have appropriate access to the internet and the Openn Negotiation platform.
No, under the terms and conditions of an Openn Negotiation the seller is not allowed to instruct for or make a vendor bid, or cause a bid to be made on their behalf.
The Agent and the Seller are in control of when the Final Bidding Stage is set to commence to ensure an optimal outcome is achieved for all Parties. Under the Terms, the Final Bidding Stage can be moved forward to any time so long as at least 12 hours-notice is provided and it is run between 8am and 9pm Standard Time.
With Openn Negotiation, if there is no competition, the Seller may accept a Sole Bidders bid and sell the property through the App immediately.
Where there are already other Qualified Bidders, the Agent must give all Bidders fair opportunity to compete to purchase the property in the Final Bidding Stage.
The owners will generally be sitting with the Agent throughout the Final Bidding Stage. This allows direct discussion with the Seller regarding any change in reserve price and bidding increments and to sign off on the final purchase price that is determined by the bidding on the Openn App.
The decision to bring the Final Bidding Stage forward would most likely occur when numerous potential buyers have become Qualified Bidders and the current bid is nearing the reserve price.
The Agent and Auctioneer will work with all Parties to ensure an optimal outcome is achieved through the process.
To take part in the Openn Negotiation process you need to place a pending price on the property via the Openn App during the Campaign Bidding Stage. During the Campaign Bidding Stage. During the Final Bidding Stage, you can bid simply by clicking the Make Bid button. Once you have made your opening bid you are under no obligation to make further bids.
As with any sales process, if you decide you do not wish to participate, you can withdraw your participation any time prior to having your offer accepted by the seller. You may also withdraw from the Openn Negotiation at anytime during the process.
Terms Accepted bidders will receive an email as well as a push notification from the Openn App. Agents will likely also call you to notify you directly.
If the seller decides to bring forward the Openn Negotiation Final Bidding Stage, all qualified bidders will receive a minimum 12 hours' notice of the new date and time for the Final Bidding Stage.
The amount and timing of payment of the deposit will be addressed in the Terms and Conditions of sale that are submitted to the seller for acceptance. The Agent will make recommendations to you as to what would be acceptable to the owner, generally with a portion to be paid within 3 days of the Openn Negotiation being completed, and the balance of the deposit 7 working days thereafter.
In order to become a Qualified Bidder, bidders are required to sign a full legal contract to participate in the Openn process. The conditions acknowledge that should you be the highest bidder, after the reserve price has bene met, you will be the purchase of the property.
Yes. The app has a dedicated training environment that allows buyers, sellers and agent to practice the use of this very simple to operate technology.
If you are the sole-bidder on the property the seller may elect to sell the property to you at your current bid or negotiate a higher sale price without the need for the campaign to enter the Final Bidding Stage.
However, if there are other bidders on the property the Final Bidding Stage must be conducted in order to give other bidders a fair chance to purchase the property.
You may place as many bids as you like to successfully purchase the property. Making bids above the agreed bid amount can show confidence and sometimes knock out other bidders early or may also discourage other potential bidders from registering, hence reducing competition in the Final Bidding Stage. During the Final Bidding Stage, each time someone bids, the bidding clock resets and allows two minutes for any other bidder to make their next bid. You can decide to increase and decrease the amount that you wish to bid if it is above the minimum bid amount. If the agent sees the bidding slowing down, they can reduce the bidding increment. When the bid is improved, the 2 - minute clock restarts to give all buyers a chance to bid at the lower bid amount. Once the property is past the reserve price it will sell to the highest bidder; when the bidding stops, and the clock runs out. The two - minute clock is designed to give buyers multiple bids and provide plenty of time for you to determine your next bid. Note that the agent, who is usually sitting with the owner, can pause the negotiation if required and speak to the owner to; set new bidding increments; to determine when the home meets the reserve or reduce the reserve if required; to call the buyer direct to encourage an additional bid or to determine if you are out of the process.
Becoming a qualified bidder immediately is important as the property could sell as early as tomorrow. Once you are a qualified bidder you can withdraw at any time – you are in complete control. If your Terms & Conditions are accepted, the property cannot be sold without you having a fair chance to purchase the property.
Throughout the whole process, you will be advised as to where the pricing of the property sits and therefore what price you will need to beat to secure the property. You will know where the current bid is throughout the campaign and the control rests with you.