in Marketing Time: From the time you make the decision to employ our
services until auction day is usually 30 to 45 days, depending upon the property.
Even in good markets, this compares favorably with traditional sales methods. In
good markets and low markets, auctions allow you to get your property sold
quickly and efficiently.
in Costs of Ownership: Once the decision is made to sell, the
quicker the process can be accomplished the better. Typical costs
associated with the ownership of real property can be drastically reduced such as
maintenance, insurance, taxes, and interest. Many times, over the course of
traditional listings, market conditions change affecting the price a willing and able
purchaser will pay. Even in good markets, interest rates fluctuate, thereby
causing a risk in the marketplace, over which you have not control.
Qualified Buyers: Most of the time, an auction finds success because the
company you have chosen understands the best means to reach a targeted audience.
Marketing your property to those incapable of making the decision to purchase or lacking
the ability to purchase, is a genuine waste of time and money. At the same time,
your auction cannot be kept a secret, advertising is essential to produce
results. Each auction marketing campaign is carefully planned and
thought out to insure all possible prospects become aware of your property and the
opportunity afforded by the auction scheduled.
in Marketing Time & Absorption: We have successfully offered and
sold many properties for lenders, developers, corporations, and others with a need or
desire to liquidate communities. This can include developed subdivision lots,
completed residential units, acreage, or nearly any other type of real estate. At
auctions, it is possible to accomplish in one day what may have taken months or years to
sell out using traditional methods. Auction marketing is compacted into
a well-defined time frame. This reduces holding costs, interest
charges, expensive marketing campaigns, and risks associated with the marketplace.
Between Sellers and Buyers Defined: At an auction, all negotiations
between sellers and bidders are carried out while the auctioneer is at the podium. Offers
to purchase are made under predetermined conditions which bidders have agreed to comply
with. This eliminates the need for complicated negotiations, offers,
counter offers, and confusion. Through the process of competitive bidding, final
prices are established.
Terms and Conditions of Sale: At an auction, the terms of sale
are determined in advance of the event. In most cases, your property will be offered
in "As-Is" condition requiring interested parties to conclude any inspections
they deem necessary before the first bid is made. Upon the conclusion of the
auction, the top bidder will be required to execute a simple contract of sale requiring a
non refundable deposit of usually 10% of the purchase price. In most cases, the
contract will require closing 30 to 45 days following the auction. While many
purchasers obtain financing on properties purchased at auctions, the contract
is not contingent upon the ability to obtain financing. Many
purchasing at auctions are pre-qualified by mortgage lenders or have the ability to close
without financing. This allows you to leave the auction knowing your property has
of Fair Market Value: Through the process of competitive bidding, you can be
assured your property brings a fair price. This is contrasted with traditional
listings as the final price is achieved as qualified bidders react to your property.
At an auction, you are able to observe what others are willing to pay for your
property. It is one thing to obtain a current appraisal on your property or hear
what brokers think your property is worth, yet these are really not that important. The
price a willing, qualified purchaser is willing to pay on a date certain is really what
matters. This is the price achieved at professionally conducted
auctions and favorable compares to the written definition of current market value.
Sometimes auctions are equated to negative financial events and, certainly, some
properties typically offered are troubled. Many times, properties become stale
having been on the market for long periods of time. Sometimes, they become shopped
out, passed from one broker to another without a sale. Some bidders attend auctions
expecting to pay "pennies on the dollar." The reality is most properties,
when offered by professional auction companies, bring prices that are fair to the seller
on Your Time: In most traditional listing agreements, there is no
time frame stated for the sale of your property. It could take as little as one day
or as long as the listing lasts. At auction, you set the date and time
the property will be sold. Auction advertising and promotion is
designed to attract the attention of qualified bidders who must act quickly as there is an
established date and time for the event. This sends a powerful message -
you are motivated and committed to selling.