Why Auctions

Auctions offer another avenue for buyers and sellers to purchase and sell property. They play a major role in today’s real estate marketplace as a greater number of home buyers and investors choose to purchase at auction, and for bankers and builders to sell, rather than the conventional, time consuming unknown and expensive retail sales methodology.

Simply, buyers determine the selling price; the open forum style of bidding shows the true value of the property and how much other interested parties are willing to pay. For sellers, the auction process dramatically reduces the sales cycle to a known timeframe and gives them confidence in the volume of interested and qualified buyers. Auctions provide great advantages for both parties:

Seller Advantages:

• Property will be sold at true market value
• Bidding creates competition among interested purchasers
• Auction requires buyers to pre-qualify for financing through their institution of choice
• Scheduled auction date gives the seller a certain date of sale
• Quicker sale, reducing long-term carrying costs
• Property viewings are controlled to a limited timeframe
• Auction day bidding replaces lengthy negotiations

Buyer Advantages:

• Buyers make smart investments because competitive bidding reveals true market price
• The buyer knows that the seller is committed to sell at auction
• Buyers are free to stop bidding at any time
• Auctions eliminate the uncertainty of long negotiation periods
• Buyers determine the purchase price which can often save money
• Auctions reduce the time it normally takes to purchase property through normal channels
• The purchasing and closing dates are known and determined by the auction schedule
• Buyers know they are competing together on the same terms
• Buyers receive full and comprehensive information on a property
• Buyers are pre-qualified before the auction relieving fears of  property loss