Benefits of The Auction Method of Selling Real Estate:

The seller gets to determine the date and time at which the property will be sold. Using the auction method, property can typically be marketed and sold within a four to six week time frame. A timely auction allows the seller to drastically reduce holding costs such as taxes, insurance and maintenance. An auction environment arouses the competitive spirit among the prospective bidders.

Setting a specific date and time of sale creates a sense of urgency and forces the prospective buyers to a point of decision. The seller can set the terms of the auction, thereby avoiding lengthy negotiations of price and terms. An advertising program is tailored to the seller's property which will attract the largest number of potential buyers. This insures a true "market value" price for the property on the day of the auction.

There is no ceiling price set on the property, which allows the price to increase freely with no limit. Historically, when the market is on the upswing, public auctions have established the highest prices. When the market is declining, an auction will capture the current market price.

The competitive bidding format creates confidence among the buyers when they see other people willing to pay a similar amount for the property.

Q: Can I set a minimum on my property?
A: Yes, we analyze the property and consult with you about a minimum or reserve price prior to sale. The price is not advertised or disclosed to bidders.

Q: How am I protected if the final bid is nowhere near the price I am looking for?
A: You can reject final bid.

Q: Isn't this method usually a distressed sale?
A: Absolutely not! In recent years the popularity of competitive bidding has exploded to estimate 28 billion in estimated sales.

Q: Who is responsible for paying the commission on the sale?
A: In this area, it is common to charge a buyer's premium. The premium is added to the final bid price resulting in the buyer paying for the commission.