Advantages of Selling at AuctionBy Shawn Terrel, President United Country Real Estate | Auction Services & Trina Turner, Executive Secretary for United Country Auction Services
May 11, 2016
Though not for everyone, selling at auction is a convenient and effective method of selling property and provides many unique benefits...
Warm weather is among us – the birds are singing, the flowers are blooming and the sun is shining. Many experts say now is the perfect time to reignite your motivation to sell your property. However, selling your property may not be as quick and painless as you’d hoped. If this sounds like you, you’re not alone. You want to enjoy your property, not be held hostage by it, right? There is an easier way to sell quickly and at a strong market value – auctions.
Though not for everyone, selling at auction is a convenient and effective method of selling property and provides many unique benefits.
- You have full control – Auctions allow you as a seller to set when and where the auction will take place, as well as the pricing, terms and conditions of the sale. This will eliminate contingencies and remove you from the negotiation process while allowing you to maintain control of the property and actively participate in the sale.
- Auctions create sense of urgency – Holding onto property can be expensive and continual showings can be intrusive. If your property is on the market for over a year, you have to account for all the interest, insurance, maintenance and repairs it has cost you. Auctions generate a sense of urgency and competition among buyers. By reducing the time your property is on the market, concentrating all the showing activity into a few specific dates and marketing a specific sale date, you are requiring buyers to take immediate action or risk losing the opportunity to purchase your property.
- Greater exposure for your property – An auction is a full on event which creates “action” in the marketplace. Advertising and marketing via professional brochures, online advertising, print ads in key publications, targeted direct mail, e-mail marketing, property signs, telemarketing and a webpage with photos and documents gives your property targeted and complete market coverage. It drives the marketplace to your property versus waiting for them to find you on their own.
- Buyers arrive ready to bid – An auction tells the market that you are serious about selling and buyers are moved by this message. Properties sold at auction are sold “As-Is, Where-Is,” which means the sale will conclude on auction day without contingencies such as financing, inspections or appraisals, and closing can occur within 30 days from the date of your acceptance of the offer. Buyers are provided due-diligence information ahead of time and arrive to the auction having done their homework. They’ve acknowledged the terms and conditions up-front and must be pre-qualified and registered to bid.
- Fully transparent fair to all parties - Auction sales are conducted in an open forum, which allows both you and informed motivated buyers to watch the property’s true market value be realized as the bidding process progresses. All bids are open and visible, so the marketing process creates a level playing field for everyone. A potential buyer can opt to bid or not bid with a clear understanding of the property’s demand. Rumor and claims that “another buyer may be interested” have no meaning when a buyer can readily see and evaluate a solid bid with money on the table.
Written by: Trina Turner, executive secretary for United Country Auction Services Shawn Terrel, executive vice president for United Country Auction Services Sources: United Country Auction Services, www.auctioneers.org