Buyers Guide to Deadline Sales

When a property is sold by deadline sale, it is marketed for a set period with an advertised end date.

The vendor is not obliged to accept any offers and can choose to accept an offer at any point during the listing period. The marketing should make this clear for interested buyers by stating this, eg, ‘unless sold prior.’ As with a tender process, deadline sales do not require a property to have an advertised price.
 

If you wish to submit an offer

Offers can be made at any point up to the end date. Offers are made on a standard sale and purchase agreement. Because vendors can choose to accept an offer at any point, buyers need to be proactive in registering their interest.
 

Consideration of offers

The vendor can either wait until the end date has been reached and consider all the offers together before making a decision, or the vendor can accept an offer at any point during the listing period.
 

How is it different from a tender process?

Vendors have more flexibility in a deadline sale than in a tender process. The vendor can choose to accept what they want, when they want. They may also choose not to accept anything before the end date. Offers are made on standard sale and purchase agreements rather than on specific tender documents. Prospective purchasers are able to include whatever terms they wish on their offer.
 

Is there a price indication?

There may be, although like a tender process, there does not need to be an indication of what price the vendor is expecting.
 

Is the vendor bound to accept the highest offer?

The vendor is not bound to accept the highest offer. They reserve the right to accept any or none of the offers and may start negotiations with anyone who submit offers.


SOURCE - REAA Website