Using Auctions to Sell FarmlandBy Rob Gash, United Country Broker
November 18, 2021
Whether you're looking at farmland for sale or selling your agricultural property, an auction may offer you more flexibility and control.
Whether you're looking at farmland for sale in the United States or selling your agricultural property, an auction may offer you more flexibility and control over the real estate transaction than a traditional real estate sale.
For buyers, a real estate auction often provides you with a better deal for more than just the property alone. To learn more about what you should look for in an agricultural property, check out this other article, "6 Things to Ask Your Broker Before Buying Colorado Farmland."
As a real estate auctioneer and real estate broker, I recommend auctions to many of my sellers who would otherwise have to sell equipment separately or are working with a specific deadline to sell. Find out if a real estate auction is the best way to approach buying or selling agricultural property!
Are You Selling Real Estate or Personal Property Too?
A real estate auction is often the preferred way to sell when the transaction includes real estate and personal property, which frequently occurs with farmland sales. In addition to selling their property, many sellers also want to sell farming equipment, tools, machinery, animals, feed, and other items required for a functioning farm. This scenario is especially true when the seller moves out of state and cannot easily transport equipment or farm animals.
Do You Need to Sell by a Certain Date?
Choosing to sell your property via auction gives you more control over the sale date than a traditional listing. When you list your property traditionally, you may get a great offer within a week, or it could sit on the market for months (especially without a strategic real estate pricing approach). Say you list your farmland for sale on November 1, and you need to sell by December 15 to fulfill obligations in your new state. There's no way to guarantee that closing happens when you need it. With an auction, on the other hand, you can set a date of December 14 and (most times) guarantee a sale on that day.
Do You Want a Backup Option for Selling Your Property?
If you like what a real estate auction has to offer for your farm property, but you're not completely sold, then you can talk to your broker about including an auction deadline in the listing contract. This option stipulates that if your property doesn't sell by a specific date, we will set an auction date instead.
A real estate auction usually works well for niche properties that might not align with your local real estate market's needs. You can test the waters with a traditional listing but have a backup plan that appeals to a wider pool of real estate investors.
Is a Real Estate Auction Right For You?
If you answered "yes" to the three questions above, then selling your property with a real estate auction is probably the best move for you! Luckily, United Country Real Estate is one of the world's largest auction companies with offices and auctioneers all over the nation. Get in touch with one of our professional auctioneers by visiting www.UCAuctionServices.com.
About the Author:
Colorado Country Broker is your source for everything about the Western Colorado lifestyle. After moving to Colorado in 2007, founder Robert Gash fully embraced small-town living and sustainable farming. As the owner of Mountain G Ranch and broker-owner of United Country Real Estate Western Land & Lifestyle Properties, Robert is passionate about taking people behind-the-scenes of his lifestyle and teaching them how they can attain their ideal lifestyles too. Learn more at www.WeSelltheWest.com.