Auction Benefits
- Sell in 30 to 60 Days
- Sell with NO Contingencies
- Sell "As - Is"
- Eliminate Holding Expenses
- Attract Quality Buyers
- Safety Net Reserve
- Sell On Exact Day You Want
Selling by Auction vs. Traditional Method
The benefits that the auction method of marketing can offer qualified
property sellers are numerous.
The accelerated marketing campaign focuses the attention of true buyers
on your property. By conducting the auction on a specific date, a sense
of urgency is created which forces potential buyers to make a decision
to purchase or lose the opportunity to own your property. The
traditional method of selling real estate, in contrast, has no time
limit and if the property is unsuccessful in selling, the solution is to
lower the price with the hope of generating interest and possibly a sale
in the future. The seller is afforded the following advantages and
benefits from the auction method including:
Auction Method
- Focus is solely on your property. Aggressive marketing increases buyer interest and be provided with qualified and serious buyers.
- Generates the property's true market value with no upside price point limitation. Value determined at present current market value.
- Auction provides a competitive atmosphere to promote and enhance buyers interest and final sales price.
- Seller pays no Commissions and carrying, ongoing property costs are decreased.
- An accelerated time of sale with seller in control of process. Timing of sale is known and set by you. A sale date is dictated by the seller - results in 30 to 60 days.
- Property is sold without contingencies. Property sold “as is”.
- Fast closing and remittance and closing rate high with auctions due to the large non-refundable deposit required by buyer.
- Eliminates numerous showings and no negotiations with numerous buyers.
- Competitive and fair marketplace with no price ceiling limitation. Creates liquidity for needs or investment opportunities.
Traditional Method
- Your property can be one of many advertised.
- Upside price potential is limited. Little chance to negotiate up, just down.
- A price reduction is typically needed to create buyer interest with a listed property.
- Traditional listing commissions normally range from 5-10%.
- A sale date is unknown - property can become stale on the market for months or even years - if it sells at all.
- Property is typically scrutinized by appraisers, pest control firms, home inspections companies, etc.
- Contingencies are common with traditional listings.
- Closings are terminated or delayed with many properties because the earnest money deposit is too low and easily refundable. Buyers typically are not pre-qualified with deposit and financing.
- A sale date is unknown - property can become stale on the market for months or even years - if it sells at all. Certainty of sale only by auction method.
There are numerous other seller benefits the auction method provides property owners seeking a quick solution to their real estate selling needs.
Why shouldn't I just list my property with a Realtor or sell it myself?
In some cases this might be the best method for your property and
specific situation, however, if your property qualifies for the auction
method there can be numerous benefits:
- Your property can be sold in as little as 30 days on the day you want. Listed properties many times sit on the market for months without an offer.
- You eliminate negotiations with the potential buyers.
- There are only one or two open houses or “previews”, so you're not bothered with people looking through your home at all hours of the day.
- Auction properties are sold in "as is" condition with no contingencies. You are not required to fix or upgrade anything prior to selling your property if you choose.
- The title insurance is paid by the buyer. In traditional real estate transactions, title insurance is paid by the sellers.
- The price you receive for your property is based on a competitive bidding process that isn't locked into a fixed listed price; allowing for an uncapped ceiling price point potential.
- The seller does not pay a commission. Typically, with a Realtor listed property, a 6-7% commission is required to be paid by the seller.