FAQ portal | Openn
Frequently Asked Questions
What is Openn?
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 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.
How does Openn Negotiation work?
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 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, making them qualified.
Once qualified, buyers can see the paddles representing other qualified buyers, the current highest bid, the final bidding stage 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 differences between an Openn Offer and Openn Negotiation campaign below.
How does Openn Offers work?
Openn Offers is a private treaty/sale process. It gives agents a centralised offer management system and provides buyers with real-time information on the status of their offer and how many 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 where they can see how many other buyers are involved.
While the platform will display a date and time indicating when 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 it will have more favourable terms for the vendor.
An Openn Offers campaign is identified by the Openn Offers logo on the listing. You can read more about the differences between an Openn Offers and Openn Negotiation campaign below.
Why should I sell my vendor's property through Openn?
Openn provides buyers with transparency, while creating healthy competition.
This means that as an agent, you can offer far more value to your clients because they know exactly what is happening throughout the entire process. It connects you with more prospective clients and restores the value both vendors and buyers see in the profession by making the process clearer and user friendly.
Openn is a more effective and simpler way for you to work because it gives you the flexibility to choose the best sales method for your seller, receive bids and offers to a centralised location, approve buyers and negotiate all from the palm of your hand.
Is this replacing real estate agents?
Openn was created by agents, for agents. Only licensed real estate agents can list with Openn.
How much does it cost?
Openn provides several pricing options designed to suit every agent's needs. Contact us here for more information.
How do I list a property?
What is the final offer/bidding stage?
The final offer or bidding stage brings the Openn process to an end. The platform will display a date and time indicating 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 their next improvement on price. The agent can pause the timer and speak to the owner to set new increments, determine when the home meets the reserve or call buyers direct to encourage an additional bid. The agent is also able to adjust the final bidding stage date, if needed.
In an Openn Negotiation, after the clock runs out, if the property has met reserve then it is sold to the highest bidder. If it has not met reserve, it is passed in and the agent will continue negotiations. In Openn Offers, while there may be a final offer stage date set, the property can still sell at any time.
What if it doesn’t reach reserve price?
If the property doesn’t reach the reserve price, it will pass in and the agent will negotiate with any interested parties, including the existing qualified buyers.
Can we change the reserve price?
In an Openn Negotiation, the reserve price can be changed at any time during the campaign; however, once the reserve price is reached, no additional changes can be made to ensure the legitimacy of the process.
Can the property sell early?
Yes, in an Openn Negotiation, if a sole bidder enters a price that is acceptable to the seller, the property can be sold to them immediately.
If there are other qualified bidders on the property, the final bidding stage must be conducted to give other bidders a fair chance to purchase the property; although, this final stage can be brought forward.
In an Openn Offers campaign, the property can be sold at anytime to anyone, on the vendor's instructions.
How do I know the buyers are real?
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 will have confidence that each paddle on the bidding timetable is linked to a 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. This process has been through a thorough legal review to ensure compliance with the Auction Act. Dummy bids are impossible with an Openn Negotiation.
What if a buyer withdraws?
As with any sales process, if the buyer does not wish to participate, they can pull out at any time.
Are we obligated to take the highest bid?
In an Openn Negotiation, if the highest bid is above your reserve price, the property will sell on the agreed terms to the highest bidder; however, in an Openn Offers campaign, the vendor is not required to accept the highest offer.
Can the sellers make a vendor bid?
Under the terms and conditions of an Openn Negotiation, the seller is not allowed to instruct or make a vendor bid or cause a bid to be made on their behalf.
In the case that they are a co-owner and want to purchase the property, they will go through the qualification process just like any other bidder and will be identified on their paddle number as a vendor.
Is Openn legal?
Absolutely, yes. All sales methods facilitated through the Openn platform have undergone a 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.
Why should I sell my home with Openn?
Choosing to sell your property with Openn ensures you capture a wide buyer pool, get real-time feedback from the market and have less days on market.
Buyers can be anywhere in the world and aren’t locked into specific conditions. They can submit their settlement date, deposit and even finance conditions for your approval from the start. This flexibility allows more buyers to participate.
With an Openn Negotiation, all buyers are pre-contracted and approved by you, meaning you have a real-time indication of how many qualified bidders are placing legally binding bids, from as early as day one.
Can I sell my property myself?
Openn is a sales platform managed exclusively by real estate agents. To sell your property with Openn, you need to do so with a real estate agent who has undergone our training program to become an Openn Certified Agent.
We have over 5,000 certified agents across Australia and New Zealand. You can search our "Find an Agent" portal for one in your area, or you can ask your preferred real estate agent to contact us at firstname.lastname@example.org or 1800 667 366 to get certified today.
Who can watch the Openn process?
Openn has an 'observe' feature, which allows people to view the process as it progresses.
This feature is controlled by the agent and can be turned on or off at any time.
Can a seller accept a cash offer over a subject to finance offer?
In an Openn Offers campaign, the vendor can accept any offer at any time, even if it is not the highest value.
However, an Openn Negotiation allows buyers with flexible terms which, in turn, allows the largest possible number of buyers to participate on a level playing field. In this instance, the vendor is not able to choose the winner. That is determined by whether the reserve is met and who is the highest bidder.
It is vital that you work closely with your agent to set your preferred terms or ask for their advice as to what is fair and equitable when approving buyers to participate.
Why is it important to qualify early?
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.
What is the 'observe' feature?
This feature is made available by the agent. If you are unable to observe via the app, please contact the agent who will be able to assist.
It’s important to remember that being an observer does not mean you are qualified to participate in the negotiations, but it will allow you to observe the process.
What if I change my mind and don't want to participate further?
If you decide you do not wish to participate anymore, you can withdraw during the campaign stage or before the property has met reserve.