Openn Negotiation Limited (ASX: OPN) is an Australian property technology (‘Proptech’) company offering a proprietary cloud-based software platform to support real estate agents in selling property online with greater transparency.
The Openn platform facilitates a negotiation process, featuring streamlined digital contracting and automated communication tools, which enhances a property transaction. The solution provides buyers with real-time feedback through their device on how much competition exists and where their price stands in the negotiation, resulting in an optimal sales outcome
Openn keeps everyone informed about property negotiations in real time, allowing for confident decisions about buying or selling real estate.
Openn Negotiation is a unique sales process that combines the best of auction and private treaty sales methods. This sales method ensures a buyer can’t miss out because they didn’t know what to pay.
In a nutshell, a buyer must start the qualification process by searching for the property they’re interested in and entering a starting price.
They will then be asked to complete terms for the owner’s consideration which can include level of deposit, settlement date and any other terms that can be flexible. Once the vendor agrees to your terms, the pending price becomes live on the property and the Buyer is allocated a unique paddle number and they are qualified.
Once qualified, Buyers can see the paddles representing other qualified buyers, the final bidding date and a bidding timeline. They can improve their price at any time or sit tight for the final stage. Alternatively, if they are the sole qualified buyer and the price submitted is acceptable, the seller can instruct the Agent to sell at any time.
An Openn Negotiation campaign is identified by the Openn Negotiation logo on the listing and you can read more about the difference between an Openn Offer and Openn Negotiation campaign here.
Openn Offers is a private treaty/sale process. It gives agents a centralised offer management system and provides buyers with transparency of where their offer ranks and how many other buyers there are.
Buyers will submit a starting price, terms, and personal details for review by the agent and vendor. The starting price is then progressed to the next stage, and they can see how many other buyers are involved.
While the platform will display a date and time the Final Offer Stage will begin, the vendor can accept any offer, at any time. The offer accepted may not be the highest offer but have more favourable terms for the vendor.
An Openn Offers campaign is identified by the Openn Offers logo on the listing and you can read more about the difference between an Openn Offer and Openn Negotiation campaign here.
If you like the property, it is best to get qualified straight away because it could sell at any time. The qualification process can take up to 24 hours.
This feature is made available by the agent, allowing users to watch and learn the process or the sale, without having to place a bid. If you are unable to observe a property via the app, please contact the agent who will be able to assist.
Remember, observing does not mean you are qualified to participate in the negotiations but it will allow you to watch the process.
If you decide you do not wish to participate anymore, you can withdraw during the campaign stage or before the property has met reserve.
The Final Offer or Bidding Stage brings the Openn process to an end. The platform will display a date and time for when this will begin. Once this starts, new buyers cannot be accepted and qualified buyers will participate and decide if they wish to improve their bid or offer further, under a countdown timer.
Each time someone improves their bid or offer, or the increment is adjusted by the Agent, the countdown timer resets. This is designed to provide plenty of time for each buyer to determine you’re their next improvement on price. The agent is also able to pause the timer. Usually this is so they can speak to the owner to set new increments, determine when the home meets the reserve or call buyers direct to encourage an additional bid.
In an Openn Negotiation, after the clock runs out; if the property has met reserve, it is sold to the highest bidder. If it has not met reserve, it is passed in and the Agent will continue negotiations.
In an Openn Negotiation, all buyers are required to complete and sign a fully binding contract as part of the qualification process, which is then signed by the seller. As a result of this process, Buyers can have confidence that each paddle on the bidding timetable can be linked to a fully legally binding contract.
The contract documentation and verification process all bidders and sellers sign before being allowed to bid is more rigorous than traditional selling methods and has been through an incredibly thorough legal review to ensure compliance with the Auction Act. Dummy bids are impossible with an Openn Negotiation.
Absolutely yes. All sales methods facilitated through the Openn platform have undergone an incredibly thorough legal review to ensure compliance in all states.
Additionally, the contract documentation and verification process all bidders and sellers sign before being allowed to participate in an Openn Negotiation is more rigorous than traditional selling methods.