Home Auction. Sounds like a nightmare right? Foreclosure, eviction, all those nasty words come to mind when you see an auction sign.
Now, take a breath and think about it again. An auction. Fine goods are bought and sold at auction. Artwork and artifacts are bought and sold at auction. On-line auctions are a screaming, streaming success.
House Auctions are not just for the court house steps anymore.
Why Auction?
If you have a tight market or a market area that is being heavily invested in, the auction can get the investors to make a move on your property and may end up with a larger sale price than a standard sale.
If you have a smart auction service they will be advertising not only to the local community but will be tied into networks that assist with relocation and investments from other regions. Your market just expanded into St. Augustine real estate.
If you need to close quickly for any reason, auctions normally close within 30 to 45 days. Financing must be in place before the auction. Most of the auction services collect a large cash deposit from the winner of the auction and if they default on closure you get the deposit to help you with whatever your situation is. (The average deposit is 10% of the sale price). The extra benefit is that if the first bidder falls through they go to the second bidder and move them up for the sale. You are not starting over from scratch when selling St. Johns County property.
Going To an Auction
Great idea, go and see a local auction. See how it’s conducted and watch the professionalism of the auction services staff. Ask questions, get cards and have a good look at the advertising packages they’ve prepared for the auction.
Some services go to the individual homes for the auction; others announce an auction and handle several properties in a space like a hotel meeting hall. Both have advantages and neither is ‘better’ than the other. It’s a matter of style, preference and effective communication.
Posted by Carey Frankel on
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