The Auction Advantage
Whether you are considering selling real estate, farm, construction, business or estate assets, the auction method in many cases creates advantages for the buyer and seller that traditional property listings cannot match. These are our top five reasons why you should consider the proven auction method when you decide to sell your assets. Give us a call today for a no-obligation consultation!
- The seller controls the terms of sale. The seller, with recommendations from the auction firm, sets the terms and conditions for the auction. Once they are established, all buyers attending will follow the same pre-determined rules allowing the seller to maintain a sense of control throughout the auction process.
- The market sets the price. Through a highly focused marketing plan and competitive bidding at the auction, the market sets the prices realized for the assets being sold. Many of our past buyers closely follow our marketing and are eager to participate in our auctions. They love the fact that they can focus on the date and time the assets will be sold, buy them at the price they are willing to bid, and take possession quickly. For the seller, since the market creates the price, he or she doesn’t have to worry about over or under pricing high value assets, including real estate. The auction method often produces prices in excess of those realized by private sales for many reasons, including:
- Concentrated Marketing With real estate auctions, professional signage, brochures, internet and email marketing, newspapers, specialty publication ads and open house events work together to pinpoint the advertising for your event. This can help raise the profile of your property considerably within the market when compared to traditional listings.
- Competitive Bidding In a traditional real estate sale, the seller establishes an asking price and must then in turn negotiate with the buyer. The buyer usually offers something lower, the seller counter-offers, and the process often continues from there. With the auction method, the buyer competes against other buyers until the final high bid is realized. The seller can then decide whether to accept the high bid presented at the conclusion of the auction, a clear advantage for the seller. In farm, business asset or estate auctions, the marketing is specialized to attract buyers interested in similar assets, thus exposing the goods to the best possible market. The auction process often instills confidence in bidders, encouraging them to bid higher knowing that their competitor is willing to bid nearly the same price.
- Sense of Urgency Since the time and date the assets will be sold are established in advance, auctions create a unique sense of urgency that private sales cannot duplicate. Buyers know that the property will not be available after the auction and that they must act or risk missing out on the opportunity.
- Eliminate contingencies of sale. Real Estate sales are conducted as-is, where is, without the contingencies associated with traditional listings. This allows the seller to conduct the sale on their terms without being subject to financing, home inspections, surveys or contingencies of any kind. Personal property auctions are also sold as is, where is, eliminating any potential comebacks to the seller.
- Auction is the fairest way of selling. Since all buyers can participate, the auction method leaves no ground for criticism. The court system has recognized the auction method for many years, making it an excellent choice to settle estates in which family members are involved. We pride ourselves on our experience and professionalism in conducting fair and high quality auction events for our sellers and buyers.
- Convert your assets to cash quickly. Real estate sales usually close in 30-45 days after the auction date. This can eliminate the months or even years that a traditional real estate listing can remain on the market. Sellers of farm and construction equipment, business and estate assets benefit greatly by the ability to sell all of their assets at once without the burdens associated with individual sales. Clients for non-real estate sales are paid in full by the auction company the week following the auction.